Here are some of the most frequently asked questions.
Who is LendStreet?
LendStreet Financial, Inc. is an Oakland, California based company that has been providing loans to consumers in debt settlement programs since 2013. LendStreet is a lender, not a debt settlement company. We work with debt settlement companies to help people in financial distress settle their debt and start the rebuilding process quicker. We only work with debt settlement companies that we trust, to get our clients the help they need.
How long does the approval process take?
LendStreet can usually let you know whether you are approved for a loan within two business days.
Do I have to put my co-borrower on this application?
Many households with multiple members elect to take out one loan to consolidate and restructure debt belonging to both members of the household. It’s not a requirement, but you can apply with a co-borrower if you would like a single loan and payment.
Is there a credit score or FICO requirement?
If your credit score is above 400, you’re eligible to apply. If your score is below 400 and you need help with debt please reach out to us and we can put you in touch with a trusted third-party credit counseling company.
How does this loan work?
If you are approved, you will sign your loan documents now, but LendStreet will fund your loan in multiple steps late. For the first six months you will be working with a debt settlement company and building savings in a dedicated account. This is your money and your bank account. After six months, your current debts will likely be charged-off by your creditors, and your debt settlement company will be able to begin negotiations with your creditors on your behalf. Your debt settlement company will get your approval for each settlement and then LendStreet will deposit the funds into your dedicated account so it is available for payment right away. This process will continue until all of your accounts have been settled. Typically it takes another six months to complete settlements on most of your accounts.The timing of settlements may vary because we aim to ensure that you pay the lowest available settlements on your accounts. So, if it takes a little longer to reach settlements, it is because the debt settlement company is still working with the creditor to attempt to negotiate the best possible settlement terms. The whole program, including paying back the LendStreet loan, usually takes 48 to 60 months.
What is debt settlement?
Debt settlement companies negotiate with your creditors on your behalf to reduce the amount you owe on your debts In order to reach a settlement, you typically need to default on your debt with your creditors, which means your accounts get closed. In return, you are able to satisfy your legal obligation to repay your debt by paying less than you owe.