Barclays Review

In a Nutshell  

Barclays US is the fast-growing American arm of Barclays plc, the 325-year old British bank and financial services company with operations all around the world. It offers entirely digital personal loans for all types of purposes, including debt consolidation, home improvements, and major purchases. Unlike many of its rival lenders, Barclays US doesn’t charge any fees for taking out a personal loan.

Pros and Cons

Pros:

  • Better than market rates
  • No fees or prepayment penalties
  • Check rate without affecting credit score

Cons:

  • Contact details required to get quote
  • Limited loan terms

Barclays at a Glance

Loan TypesUnsecured personal loans
Loan Amount$5,000-$35,000
Repayment Terms   36,48, or 60 months
APR5.74%-18.99%
Minimum credit score680
Best forHigh-credit borrowers

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Best For?

Barclays’s high minimum credit score and restrictive repayment terms make it best-suited to borrowers who have good-to-excellent credit and the means to meet high monthly payments. It offers 3 loan terms: 36, 48, or 60 months, or, in other words, 3, 4, or 5 years. It doesn’t impose any prepayment penalties, so technically you can pay off your loan in quicker than 36 months if you wish. Barclays doesn’t offer loan terms of longer than 60 months, making it unsuitable for borrowers who would prefer to stretch their loan out over a longer period and make smaller monthly payments. This is a solid option for people with good-to-excellent credit and the means to make high monthly payments. With a minimum APR of 5.74%, it edges out most of its competitors, but only borrowers with credit scores of close to 850 stand any chance of qualifying for such a low rate.

Loan Features

The standout feature here is the no-fee promise. Even in the digital age, most lenders deduct origination fees of around 1%-6% from the total loan amount. Barclays doesn’t charge any fees—no origination fees, no processing fees, and no prepayment fees. The interest rate you see is the interest rate you get.

Here are some of the other highlights:

  • Loans can be used for any purpose
  • Checks your rate without running a hard credit inquiry
  • No fees of any type
  • No prepayment penalties, so you can pay off your loan early
  • Completely digital application and approval process
  • Funding within a few business days of approval
  • Backed by Barclays, one of the biggest names in global banking

The Application Process

Barclays is somewhere in the middle of the lending crowd when it comes to the speed of its application process. Its fully digital platform cuts out a lot of the delays typically associated with brick-and-mortar lenders, and it promises to send funds to borrowers within “a few business days” of approval.

Anyone can check their rate just by filling in their desired loan amount and a few details about themselves, such as:

  • name
  • address
  • email
  • date of birth
  • Social Security number
  • housing situation
  • occupation
  • annual income

Getting a quote is free and doesn’t involve a hard credit inquiry, meaning your credit score won’t be affected.

If you like the rate offered, you’ll have the chance to select a loan term and begin a formal application.  At that stage, Barclays will run a hard credit inquiry. It will send you a message through its Application Center to inform you which documents it needs to process your application.

Like other lenders, Barclays asks for the following documentation:

  • Social Security number
  • Proof of address
  • Proof of identity, such as driver’s license or another form of photo I
  • Proof of income, in the form of pay stubs or tax returns
  • Recent bank statements
Note that in an effort to streamline the process and make it quicker, not all consumers will be asked to provide verification documentation. 

How Much Can You Borrow?

Barclays offers loan amounts of $5,000 to $35,000. It can send funds straight to the borrower’s checking or savings account, or the borrower can have Barclays pay off up to 5 credit card balances directly.

Loan Requirements

  • Aged 18 years or over
  • Must be a US citizen or permanent resident
  • Credit score of at least 680 to qualify for a personal loan; “excellent” credit for single-digit rates

Repayment Terms

Barclays offers 3 repayment terms: 36, 48, and 60 months. However, because it doesn’t impose any prepayment penalties, you can sign up for a 36-month loan but pay off the entire balance ahead of the scheduled end-date.

Privacy & Security 

Barclays US is a relatively new venture, but it is wholly owned by Barclays plc, a 325-year old British bank with a global reputation. Barclays US is a completely digital bank. It serves residents in all 50 states, and has no physical branches. Its website is secured by Norton and Dell Technologies’ RSA Business-Driven Security solutions.

Help & Support

Being a purely digital bank, there are only 2 points of contact: website or phone. Barclays’ website is designed to allow borrowers to go through the entire process—from getting a quote through to getting approved and receiving their funds—entirely online or through their mobile phone. It also provides a toll-free number for general inquiries.

Summary

Barclays US plays on its parent company’s global banking reputation to entice borrowers with excellent credit and an ability to pay back their loan within 3-5 years. Its terms and loan amounts may appear restrictive, but borrowers with strong financials will find a lot to like here, including a market-beating minimum APR of 5.79%.

Physical Address

Barclays Bank Delaware

125 South West Street

Wilmington, DE 19801

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