Upgrade vs Upstart
Choose Upgrade if you are consolidating debt and want funds sent straight to your creditors, or want to apply with a co-borrower. Choose Upstart if you have a limited credit history and want a lender that looks at factors beyond your credit score. Both offer soft-pull rate checks, and loans from both commonly include an origination fee.
Upgrade
Best for debt consolidationUpstart
Best for limited credit historyUpgrade vs Upstart at a glance
| Upgrade | Upstart | |
|---|---|---|
| Lender type | Online lender via partner banks | Lending platform via partner banks and credit unions |
| Soft-pull rate check | Yes | Yes |
| Origination fee | Yes; check your offer | Common; check your offer |
| Direct creditor payment | Yes, for debt consolidation | Check lender's site |
| Joint applications | Yes | Check lender's site |
| Underwriting focus | Credit profile and income | Factors beyond credit score, such as education and employment |
| Our editorial score | 8.9 / 10 | 8.4 / 10 |
Which should you choose?
Pick Upgrade if you want the lender to pay your credit cards directly or want to add a co-borrower.
Pick Upstart if your credit history is short and you think your education or work history tells a better story.
How they differ
Upgrade and Upstart are both online platforms whose loans are issued by partner banks (and, for Upstart, credit unions). Both let you check your rate with a soft credit inquiry. The difference is who each one serves best. Upgrade is built around flexibility, especially for debt consolidation. Upstart is built around underwriting: it says its models look at factors beyond your credit score, such as education and employment.
Debt consolidation
Upgrade lets you choose to have loan funds sent directly to your creditors. That removes a step and reduces the temptation to spend the money elsewhere. It also accepts joint applications, which can help if a co-borrower has stronger credit or income. For Upstart, check its site for current consolidation and co-borrower options.
Eligibility
If you are early in your career or have a thin credit file, Upstart's approach may give you a better chance of an offer. That does not mean approval is guaranteed, and the rate can still be high if your overall profile is weaker. Upgrade also considers a range of credit profiles, so it is worth checking both.
Cost
Many loans from both lenders include an origination fee that is deducted from the loan amount. That means you may receive less than you borrow, and the APR will be higher than the interest rate. Compare the APR and the net amount on each offer.
After you borrow
Both lenders let you manage your loan online and offer ways to set up automatic payments; Upgrade also offers an autopay rate discount. Neither publishes hardship support as prominently as SoFi's unemployment protection, so if you are worried about future income, ask each lender what options exist before you accept an offer. Check the late-fee and prepayment terms in your loan agreement too.
The bottom line
Check your rate with both. They each use a soft inquiry, so comparing costs you nothing on your credit score. Pick the offer with the lower total cost, then weigh Upgrade's direct-pay feature if you are consolidating debt.
Upgrade vs Upstart FAQ
Is Upgrade or Upstart better for fair credit?
It depends on your profile. Upstart may suit borrowers with limited credit history because it looks beyond the credit score, while Upgrade considers a range of profiles and allows co-borrowers. Check your rate with both using a soft inquiry.
Do Upgrade and Upstart charge origination fees?
Many loans from both include an origination fee deducted from the loan amount. Your offer will show the fee and APR, so compare those before you accept.