Online mortgage lender Quicken Loans is expanding into the personal loan business.
The Detroit Free Press reports Detroit-based Quicken has started RocketLoans, an online service offering cash loans of $2,000 to $35,000 to prospective borrowers with good credit scores and financial histories.
RocketLoans CEO Todd Lunsford says it’s “the first financial service that is not a mortgage product that we have offered in 30 years of existence.”
The loans have fixed terms of three to five years and carry interest rates from just over 5 percent to the low or mid-teens. There’s also a loan origination fee.
The newspaper says the loans are generally aimed at consumers who wish to consolidate high-interest credit card debt, do home improvements, pay medical expenses, finance weddings or help with a small business.