Rocket Loans Reviews

9

Overall

9.0/10

Funding Speed

9.3/10

Advance Amount and/or Fees

8.8/10

Transparency

8.9/10

Service and Support

8.8/10

Pros

  • APRs for top borrowers below 6%.
  • Offer small business personal loans.
  • Repayment through fixed, monthly withdrawals.
  • Get funded as fast as same business day.
  • Can opt out of marketing solicitations after applying.

Cons

  • Must use autopay for best rates.
  • Least credit worthy borrowers, without autopay, incurs APRs of nearly 30%.
  • Application may lead to text solicitations, phone calls or robo-dialers.

Rocket Loans Reviews

See above info for Rocket loans reviews. If you are a current or former Rocket Loans customer, we’d like to hear from you. How was your experience? Are you a repeat borrower?

Headquartered in Detroit, Michigan, Rocket Loans is a specialty finance company offering products ranging from personal loans to reverse mortgages. Dan Gilbert’s Rock Holdings is the parent company of Rocket, as well as online lending pioneer Quicken Loans.1

By filling out just one simple, online application, borrowers receive funding offers (primarily personal loans) in 5 minutes. Rocket Loans platform issues personal loans for business, debt consolidation loans, home improvement loans, auto loans and medical expenses.

Similar to Lendio, Kabbage loans and National Funding, Rocket loans is a financial technology platform backed by serious institutional investors (see our Fundera reviews and Kabbage reviews to see how Rocket scores in comparison). Like these other fintechs, provide quick business loans through the use of advanced data analytics. 

But since Rocket’s online small business loans are offered via personal loans, there is personal liability associated with potential non-payment. Keep in mind, most bad credit business loans require a personal guarantee from at least one of the owners and potentially more.

Given the strong economy and disruptive technologies, there’s incredible demand in the personal loans space. The only caveat for Rocket’s small business personal loan is that it be used for business expenses related to everyday operations.

A nice thing about Rocket loans is the extra amount you can borrow compared to other personal loan funders (see our Discover personal loans reviews and Lending Club reviews for more details). Annual percentage rate vary from about 6% to 30%. Your interest rate is determined by several variables, including your debt to income ratio, which Rocket’s algorithms will calculate. All Rocket loans are funded by Cross River Bank, a New Jersey industrial bank and origination fees (1%-6%) go to them.

Potential borrowers start the process by entering information through the Rocket platform. According to their website, the lender requests include:

·       Full Name

·       Address

·       Date of Birth

·       Social Security Number

·       Bank statements

·       Tax forms

·       Whether you own your home or rent

·       Email Address

·       Cell Phone Number.

How is Rocket Loans Different from Factoring Companies?

Rocket loans does not offer invoice factoring. They deliver personal and online small business loans via its technology platforms. Invoice finance provides funding via an asset sale, in the case of factoring, or uses the invoices as collateral for a loan, as with invoice financing.

Factoring companies tend to finance only B2B operations with temporary cash flow shortages stemming from late-paying customers. They do not provide personal, auto or debt consolidation loans like Rocket.

Rocket Loans Pros and Cons

In addition to the Rocket loans reviews above, we reiterate the key pros and cons:

Main Pros:

·       APRs for top borrowers below 6%.

·       Offer Small Business Personal loans

·       Repayment through fixed, monthly withdrawals.

·       Get funded as fast as same business day.

·       Can opt out of marketing solicitations after applying.

 

Main Cons:

·       Must use autopay for best rates.

·       Least credit worthy borrowers, without autopay, incurs APRs of nearly 30%.

·       Application may lead to text solicitations, phone calls or robo-dialers.

 

For more information on Rocket Loans:

Who Uses Rocket Loans?

Who else provides their small business funding?

Do they offer specialty financing options?

1https://finance.yahoo.com/news/exclusive-rock-holdings-buy-dictionary-180422442.html