Prosper Origination Fee... *sad face*

[Creditaddict]

Ran the pre-qual for my partner and it has been pre-approved all the way up to $35k with rates ranging from 8-14% depending on amount and 3 or 5 years... Went to next step on $25k at 10.89% to be greeted with the lending sheet with all terms and it showing a cash amount to him of $24k if the loan of $25k was funded an an upfront non refundable $1k origination fee IF loan funded... seeing it as one lump sum really hurts so went  back out to look at terms of fees and it shows a AA borrower rating is 2% for 3 years and an A rating is 4% for 3 year loans... So while it's great that he is an A rating, I think paying 4% dilute out the savings and nice idea of having a loan on a fixed term over getting in a habit of paying the same amount on a credit card at a similar rate (the only up side would really be to have the installment loan vs the revolving credit but just don't think I can justify it in my mind.

[coldnmn]

I don't blame you there with cards like the Barclay Ring at 8% and other cards even better.