How Upstart's AI Model Evaluates You
Unlike traditional banks that rely on a single three-digit FICO score, Upstart incorporates over 1,600 non-traditional data points into its machine learning underwriting model. These include your field of study, degree obtained, university attended, current job title, and trajectory of income growth.
According to third-party studies, Upstart's model approves up to 43% more borrowers than traditional banks, with an average APR that is significantly lower for borrowers with limited credit files.
Pros & Cons
| Pros | Cons |
|---|---|
| ✓ Approves borrowers with no FICO score or thin credit history | ✗ Origination fees can reach up to 12% for higher risk tiers |
| ✓ Fast next-day deposit for 99% of approved loans | ✗ Maximum loan amount capped at $50,000 |
| ✓ Automated instant approvals on over 70% of applications | ✗ Only offers 36 and 60-month loan terms |