What the Avant Credit Card Is
Avant does not issue a credit card. Avant is a personal loan company that offers unsecured loans to people with fair or poor credit, typically ranging from $1,000 to $35,000. If you arrived here from a bad credit cards section, you may have been looking for information about credit-building options or loans for people with lower credit scores—Avant is a loan product, not a card.
Avant's loans come with fixed interest rates and fixed monthly payments. You receive the full loan amount upfront (usually within one business day of approval), and you repay it over a set term, typically 24 to 60 months. This is different from a credit card, where you borrow as you spend and pay interest only on your balance.
If you are specifically looking for a credit card to build or repair your credit, you may want to explore secured credit cards or cards designed for fair credit instead. If you need cash upfront and can handle a fixed monthly payment, Avant's personal loan may be worth understanding.
Key Takeaways
- Avant offers personal loans, not credit cards, with fixed rates and terms ranging from 24 to 60 months.
- Loans range from $1,000 to $35,000, and you receive the full amount within one business day if approved.
- Avant reports to the three major credit bureaus, so on-time payments can help build your credit history.
- Interest rates vary based on your credit profile and loan term, and Avant charges an origination fee that is deducted from your loan amount.
- A personal loan does not build credit the same way a credit card does, because it does not show your ability to manage revolving credit.
How Avant Loans Work
When you request a loan from Avant, the company performs a soft credit check to give you an estimate. This does not affect your credit score. If you move forward, Avant performs a hard credit inquiry, which does show on your credit report.
Avant typically funds loans within one business day of approval. The money goes directly to your bank account. You then repay the loan in fixed monthly installments. The loan term you choose (24, 36, 48, or 60 months) affects both your monthly payment and your total interest cost—shorter terms mean higher monthly payments but less interest overall.
Avant charges an origination fee, typically between 0% and 9.95% of the loan amount, which is subtracted from what you receive. For example, if you borrow $5,000 with a 5% origination fee, you receive $4,750 and repay $5,000 plus interest.
Interest Rates and Fees
Avant's interest rates range from roughly 9.95% to 35.99% APR, depending on your credit score, income, and loan term. The company does not publish exact rates upfront—you receive a personalized rate after the hard credit check. Rates are fixed, meaning your rate does not change over the life of the loan.
Beyond the origination fee, Avant charges a late fee if you miss a payment. The company does not charge prepayment penalties, so you can pay off the loan early without extra cost. Some states have usury caps (maximum legal interest rates), which may limit what Avant can charge you.
Because Avant reports to Equifax, Experian, and TransUnion, on-time payments show up on your credit report and can help raise your score over time. Missed or late payments also report and will hurt your score.
Who Avant Loans Are For
Avant targets people with credit scores typically between 580 and 669, though the company may work with scores outside this range. You need a steady income (employment, self-employment, or benefits), a valid Social Security number, and a U.S. bank account. Avant does not require collateral.
Avant loans work well if you need a lump sum of cash for a specific purpose—paying off high-interest debt, covering medical bills, or handling an emergency expense. They are less useful if you need ongoing access to credit or want to build credit through regular card spending and payments.
If your goal is to build credit history, a secured credit card or a card designed for fair credit may serve you better, because they show lenders your ability to manage revolving credit over time. A personal loan shows you can handle a fixed installment payment, which is valuable but different.
How to Request an Avant Loan
Start at Avant's website and enter basic information: your name, email, phone number, and the loan amount you need. Avant performs a soft credit check and shows you an estimated rate and monthly payment within minutes. This does not affect your credit score.
If the estimate looks reasonable, you can move forward. Avant will ask for more details: your income, employment status, housing situation, and banking information. At this point, Avant performs a hard credit inquiry, which does show on your credit report.
Once approved, you review and sign the loan agreement electronically. Avant funds the loan to your bank account within one business day. Your first payment is typically due 30 days after funding, though this varies by state.
Risks and Drawbacks
Avant's interest rates can be high, especially if your credit score is lower. A 35% APR on a $5,000 loan over five years costs significantly more than the same loan at a lower rate. Compare Avant's offer to other personal loan lenders before you commit.
The origination fee reduces the amount you actually receive. If you borrow $10,000 with a 9.95% origination fee, you walk away with $9,005. Make sure you account for this when deciding how much to borrow.
Missing a payment or defaulting on an Avant loan will damage your credit score and may result in collection action. Avant does not offer hardship programs or payment deferrals, so if your situation changes, contact the company when ready to discuss options.
A personal loan does not help you build a credit card history. If you are trying to show lenders you can manage credit cards responsibly, a loan alone will not do that. You may need both a loan and a credit card to build a well-rounded credit profile.
Avant Loans vs. Credit Cards
| Feature | Avant Personal Loan | Credit Card (Fair Credit) |
|---|---|---|
| What you get | Full amount upfront | Credit limit you use as needed |
| How you repay | Fixed monthly payment | Minimum payment or full balance |
| Interest | Fixed rate, charged on full amount | Variable rate, charged only on balance |
| Builds credit history | Shows installment payment ability | Shows revolving credit management |
| Time to repay | 24 to 60 months (fixed) | Ongoing, as long as you use it |
| Origination fee | Yes, 0% to 9.95% | No |
Frequently Asked Questions
Does Avant do a hard credit check?
Avant performs a soft credit check first, which does not affect your score. If you move forward with the loan, Avant performs a hard inquiry, which does show on your credit report and may lower your score slightly. The impact is usually small and temporary.
Can I pay off an Avant loan early?
Yes. Avant does not charge prepayment penalties, so you can pay off the loan in full at any time without extra fees. Paying early reduces the total interest you pay.
What happens if I miss a payment?
Avant reports late payments to the credit bureaus, which will hurt your score. The company also charges a late fee. Contact Avant when ready if you cannot make a payment—the sooner you communicate, the more options you may have.
Is Avant a scam?
Avant is a legitimate licensed lender, not a scam. However, like any lender, it charges interest and fees. Read the loan agreement carefully before signing, and never send money upfront to a lender. Avant funds loans to your bank account, not the other way around.
Will an Avant loan help me build credit?
Yes, but differently than a credit card. On-time Avant payments show up on your credit report and demonstrate you can handle installment debt. However, they do not show your ability to manage revolving credit, which is what credit cards measure. For the strongest credit profile, you may need both.