How LendingsTree works.
From the moment you start the form to the day money lands in your account — here's exactly what happens, and why a marketplace beats calling lenders one by one.
If you've ever shopped for a loan by calling banks one at a time, you know the problem. Each call eats half an hour. Each lender pulls your credit (hard inquiry). Each offer comes back in its own format — different APR, different fees, different terms — making real comparison nearly impossible. A loan marketplace inverts that workflow. You submit one form. Multiple lenders compete for your business. You see the offers side-by-side and pick.
LendingsTree is built on this exact model — the same approach pioneered by sites like LendingTree, NerdWallet, and Credit Karma. We are not a lender. We don't fund loans or make credit decisions. Our role is to match you with our network of 500+ partner lenders who provide their own prequalified offers based on what you tell us about your situation. The lender you ultimately work with is the one who funds the loan.
From "what do I need" to funded.
Tell us what you need
Pick a loan type — personal, debt consolidation, mortgage, home equity, auto, or business. Enter the amount you'd like to borrow. Answer a handful of basic questions about your income, employment, and where you live. The form is intentionally short. We don't ask for things lenders won't need at the prequalification stage. The credit check at this point is a soft inquiry — invisible to lenders pulling your file, and zero impact on your score.
Get matched with lenders
Your information goes to our partner lender network. The algorithm filters for lenders whose criteria match your profile — credit band, loan amount, state, loan type. Typically up to five lenders will return prequalified offers, usually within a few minutes. Each offer includes the lender's name, the proposed APR, monthly payment, loan term, and any origination fee. Some lenders may also reach out by phone, email, or text to discuss details. That's part of how the marketplace works — and it's how you get real prices instead of estimates.
Compare offers side-by-side
Look at APR (not just the monthly payment — APR includes most fees, which is the closer comparison). Look at the origination fee separately if it's not rolled into APR. Look at the term — a longer term lowers the monthly payment but increases total interest paid. Look at any prepayment penalties (most personal loans don't have them; some auto loans do). Take your time. The offers are valid for a window — usually 14 to 30 days depending on the lender — so there's no need to decide in five minutes. Call the lender, ask questions, compare to a competing offer.
Choose your lender and get funded
Once you pick a lender, you move from prequalification to formal application. This is the step where a hard credit inquiry occurs — the lender will pull your full credit report and verify income, employment, and identity. You'll sign loan documents electronically. Funding speed varies by product: a personal loan or auto refinance can land in your bank account within 24 hours to 7 days. A mortgage takes 30 to 45 days because of appraisal and underwriting requirements. Funding is between you and the lender — LendingsTree is not involved in the disbursement.
Why does this cost me nothing?
Lenders pay LendingsTree a referral fee when they connect with a borrower through the platform. That fee is paid by the lender regardless of whether you ultimately accept their offer. The fee structure does not affect the rate the lender quotes you — competitive markets keep that honest, because lenders know consumers see every other offer in their inbox. This is the same business model used by NerdWallet, Bankrate, Credit Karma, and the original LendingTree marketplace.
What this means for you: the comparison itself is free, and it stays free because the lenders are paying for access to qualified borrowers. We make money when good matches happen. You save money — sometimes thousands of dollars over the life of a loan — by comparing instead of taking the first offer you see.
Soft credit check vs. hard credit check — the distinction
A soft inquiry (also called a soft pull) is a credit check that doesn't appear on your credit report from the perspective of other lenders, and doesn't affect your credit score in any way. Soft inquiries happen routinely — when you check your own credit, when a creditor pre-screens you for an offer, and when a marketplace like ours pulls a snapshot to match you with lenders. You can do as many soft inquiries as you want, as often as you want.
A hard inquiry (also called a hard pull) happens when you formally apply for credit — a loan, a card, a mortgage. It's recorded on your credit report and typically lowers your score by a small amount (3–10 points) for a few months. With LendingsTree, the only hard inquiry occurs after you've decided to proceed with a specific lender and start their formal application. The comparison stage uses soft pulls only.
Even better: most credit scoring models (FICO and VantageScore) treat multiple hard inquiries for the same loan type within a 14–45 day window as a single inquiry. That's called "rate-shopping" and the scoring models account for it because they understand consumers compare. So even if you formally apply with two lenders to see which gives you the final best deal, your score impact is minimal.
Frequently asked
Ready to see your offers?
It takes about three minutes. No fees. No impact to your credit to compare.