I have an over 790 credit score on all platforms. I applied for this loan thinking I would have no issues at all as I have never been late or questioned for any credit in the past. I was wanting to purchase a jeep wrangler that was $4,000 under market value. After applying for the loan they had me submit multiple forms which I complied. They asked for proof of income which clearly shows I have an income of $160,000 and after submitting the requested forms I was denied for the loan. I'm confused who lightstream is trying to loan money to. I don't have any idea how a company this large will deny you on absolutely no reason and still be in business. Maybe they are wanting people who have terrible credit hitstory who will default on their loan..... I don't know. If you don't want a hard inquirey for nothing I'd recconmend not wasting your time with lightstream.
Obviously, I can only go based on my own experience with LightStream, but I am quite pleased. Their guarantee about (approved borrowers) having the best loan experience rang true for me. I wanted to get a loan for a new swimming pool and was nervous about having my credit pulled and being denied considering so many negative reviews. (To be fair, I don't think the 4.7 stars is accurate. Credit Karma by default shows "recommended reviews", not all reviews, and only takes "recommended reviews"into account when coming up with the average rating. That's a bit shady.) However, on the flip side, I also think LightStream is getting unfair low reviews. They clearly tell you up front that it is only a lender for borrowers with excellent credit. You can't fault the company for not being transparent. (No lender tells you exactly what their approve/deny formula is, and they're all different.)
I was nervous when applying because after my recent home purchase, I had one outlying credit score with Equifax at 716, but my Experian and TransUnion scores are 815 and 825, respectively. Wouldn't you know it, LightStream pulled my Equifax score, at the second lowest rate. Within a half hour, they emailed with instructions on how to submit a pay stub and a driver license. I did so within 15 minutes. I then received a call on my cell phone with an update on the approval process. The person was very professional and pleasant. They asked a question about my new house purchase and a second home that I own in a different state, as to which was my correct permanent address. The phone call took 3 minutes. I provided the answers and that was that. About 30 minutes later, I got a call on my work phone (we had previously talked on my cell phone.) I think that was their way of proving that I was actually still employed. The caller said it was just another update and that within the hour I should get my decision.
About 45 minutes later, I received an approval email. I was given a rate of 5.25%. (I had previously been approved by Best Egg for the same loan amount and same terms. They had offered me a rate of 4.32%.) I called customer service and asked them how their 0.1% loan match program worked. They told me to scan and email the loan agreement from Best Egg. Within 2 hours, my LightStream loan agreement had been updated online to offer me the better rate of 4.22%. No questions asked. The only thing I would have changed or thought could have been better was that they did not notify me at any point that they had beat the other lender's rate. No notification that they updated my loan agreement. I had to go in and find it for myself. On the flip side, I really liked that they gave me 4 weeks from the approval date to fund the loan. It allowed me to get the contractor in place for the pool and not have to begin to pay interest on the loan before I got the pool I was buying.
The approval DEFINITELY is not only about your credit score. They look at your finances, debt-to-income ratio, do you have assets and property equity that exceeds the amount of the loan, is all of your application information absolutely correct (I get the impression this is a big one--they check various random data on your application.). Ultimately, it's their money. It's their decision on whether or not they trust you in loaning it to you.