# Upstart: Competitors and alternatives

Source: https://www.bankingnewsai.com/fintech/upstart/competitors
Last updated: Nov 2, 2026

*Part of the [Upstart AI strategy profile](https://www.bankingnewsai.com/fintech/upstart).*

## Who are Upstart's competitors?

Upstart's FY2025 10-K, filed February 10, 2026, says it competes 'with all other sources of unsecured and secured consumer credit, including banks, non-bank lenders (including retail-based lenders), and other financial technology lending platforms', and with credit cards, which personal loans often replace. On the lender side it competes with lending-technology providers, old and new, and warns that companies with large machine learning teams and vast consumer data could build their own credit models. By name, the closest consumer-lending rivals are SoFi and LendingClub, which renamed itself Happen, Inc. in June 2026; The Motley Fool counted both, with Upstart, among the biggest fintech players in unsecured personal loans. In Q3 2026 SoFi originated a record $12.6 billion of personal loans and Happen $3.3 billion of loans. Pagaya is the closest AI-credit peer: Zacks describes both as AI lending platforms, Pagaya as a credit network connecting lenders with institutional capital and Upstart as a marketplace connecting borrowers with financial institutions; Pagaya's network volume was $3.6 billion in Q3 2026. Upstart originated $4.2 billion across 558,014 loans in Q2 2026, up 50%, and fully automated 91% of loans in 2025. On AI, Happen says AI-powered agent support tools led to an automation rate above 90% on originations, and SoFi has tested an AI adviser called Coach. ([Upstart Holdings via SEC EDGAR](https://www.sec.gov/Archives/edgar/data/1647639/000164763926000027/upst-20251231.htm), [The Motley Fool](https://www.fool.com/investing/2022/02/22/upstart-sofi-lendingclub-which-fintech-has-leading/), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000140/lc-20260622.htm), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1818874/000181887426000065/a2026q3earningsrelease.htm), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000198/q326exhibit991er.htm), [Yahoo Finance (Zacks)](https://finance.yahoo.com/news/pgy-vs-upst-ai-credit-160800486.html), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1883085/000188308526000062/a3q26earningspressreleas.htm), [Upstart](https://ir.upstart.com/news-releases/news-release-details/upstart-announces-second-quarter-2026-results), [Banking Dive](https://www.bankingdive.com/news/sofi-bank-ai-adviser-coach-financial-planning/822329/))

## What does Upstart's 10-K say about its competition?

"Consumer lending is a vast and competitive market, and we compete in varying degrees with all other sources of unsecured and secured consumer credit, including banks, non-bank lenders (including retail-based lenders), and other financial technology lending platforms. Because personal loans often serve as a replacement for credit cards, we also compete with the convenience and ubiquity that credit cards represent." (Form 10-K for 2025, Item 1, "Competition", filed February 10, 2026.) ([Upstart Holdings via SEC EDGAR](https://www.sec.gov/Archives/edgar/data/1647639/000164763926000027/upst-20251231.htm))

"On the lending partnership side, we compete with a variety of technology companies that aim to help lenders with the digital transformation of their business, particularly with respect to all-digital lending. This includes new products from legacy lending technology providers as well as newer companies focused entirely on lending software infrastructure for lenders." ([Upstart Holdings via SEC EDGAR](https://www.sec.gov/Archives/edgar/data/1647639/000164763926000027/upst-20251231.htm))

"We may also face competition from lenders or companies that have not previously competed in the consumer lending market, including companies with large and experienced machine learning teams and access to vast amounts of consumer-related information that could be used in the development of their own credit risk models." Upstart lists its own edge first as "Constantly improving AI models". ([Upstart Holdings via SEC EDGAR](https://www.sec.gov/Archives/edgar/data/1647639/000164763926000027/upst-20251231.htm))

## Who are Upstart's main competitors, line by line?

Upstart's filing names categories, not companies, so each row cites the press or filing that places the rival in Upstart's market. Volumes are each company's own, for the period shown, and measure different things. A dash means no sourced figure was found.

| Competitor | Where they compete | Dated scale figure | How they compare on AI | Sources | Sources |
| --- | --- | --- | --- | --- | --- |
| SoFi | Unsecured personal loans; The Motley Fool counted SoFi, Upstart and LendingClub among the biggest fintech players in that market (2022) | Record personal loan originations of $12.6 billion in Q3 2026, up 69%, including $3.6 billion originated for third parties through its Loan Platform Business | Has tested Coach, an AI-powered financial adviser (June 2026) | Motley Fool; SoFi 8-K; Banking Dive | [The Motley Fool](https://www.fool.com/investing/2022/02/22/upstart-sofi-lendingclub-which-fintech-has-leading/), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1818874/000181887426000065/a2026q3earningsrelease.htm), [Banking Dive](https://www.bankingdive.com/news/sofi-bank-ai-adviser-coach-financial-planning/822329/) |
| Happen (formerly LendingClub) | Personal loans; renamed from LendingClub Corporation to Happen, Inc. effective June 22, 2026 | Origination volume of $3.3 billion in Q3 2026, up 26%; total net revenue of $263.2 million | AI-powered agent support tools led to an automation rate above 90% on originations (Q3 2026) | Motley Fool; Happen 8-Ks | [The Motley Fool](https://www.fool.com/investing/2022/02/22/upstart-sofi-lendingclub-which-fintech-has-leading/), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000140/lc-20260622.htm), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000198/q326exhibit991er.htm) |
| Pagaya | AI-driven credit: an AI-powered credit network connecting lenders with institutional capital, against Upstart's AI lending marketplace (Zacks) | Network volume of $3.6 billion, up 29%, and total revenue and other income of $390 million in Q3 2026 | Describes itself as a global technology company delivering AI-driven product solutions for the financial ecosystem; more than 170 institutional partners (Zacks) | Yahoo Finance (Zacks); Pagaya 8-K | [Yahoo Finance (Zacks)](https://finance.yahoo.com/news/pgy-vs-upst-ai-credit-160800486.html), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1883085/000188308526000062/a3q26earningspressreleas.htm) |
| Banks and credit card issuers | All sources of consumer credit; personal loans often replace credit cards, per Upstart's 10-K | — | — | Upstart 10-K | [Upstart Holdings via SEC EDGAR](https://www.sec.gov/Archives/edgar/data/1647639/000164763926000027/upst-20251231.htm) |

## What companies are similar to Upstart?

Pagaya: the AI-credit company Zacks pairs with Upstart, running a credit network that connects lenders with institutional capital; it reported $3.6 billion of network volume in Q3 2026. ([Yahoo Finance (Zacks)](https://finance.yahoo.com/news/pgy-vs-upst-ai-credit-160800486.html), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1883085/000188308526000062/a3q26earningspressreleas.htm))

SoFi: a digital financial services app whose personal loan originations reached a record $12.6 billion in Q3 2026. ([U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1818874/000181887426000065/a2026q3earningsrelease.htm))

Happen: the former LendingClub, renamed Happen, Inc. in June 2026, with $3.3 billion of originations in Q3 2026. ([U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000140/lc-20260622.htm), [U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/1409970/000140997026000198/q326exhibit991er.htm))

Zest AI: a lending-technology company whose data scientists build custom, product line-specific credit models for each lender, "validated and tailored to your community", per its product page. ([Zest AI](https://www.zest.ai/product/underwriting/))

FICO: annual recurring revenue from the FICO Platform reached $412.8 million at June 30, 2026, up 62% year over year and 51% of FICO's software ARR. ([U.S. Securities and Exchange Commission (EDGAR)](https://www.sec.gov/Archives/edgar/data/814547/000081454726000030/fico-20260630.htm))

## What does the Upstart profile record on this topic?

| Date | Move | Detail | Sources |
| --- | --- | --- | --- |
| Jul 23, 2026 | OCC conditionally approves Upstart Bank, N.A. | The branchless, Delaware-based bank would originate consumer loans nationwide and take FDIC-insured deposits once FDIC and Federal Reserve approvals and OCC conditions are met; partner banks, credit unions and funds are expected to keep buying the vast majority of platform loans. | [Upstart](https://ir.upstart.com/news-releases/news-release-details/upstart-receives-conditional-approval-occ-establish-upstart-bank), [American Banker](https://www.americanbanker.com/news/inside-upstarts-journey-to-get-a-bank-charter-approval) |
| Apr 7, 2026 | Securities class action over Model 22 | A complaint filed in the US District Court for the Northern District of California alleges Upstart and four executives misled investors between May 14 and November 4, 2025 about Model 22's accuracy, alleging it overreacted to negative macroeconomic signals and cut approvals; these are allegations, not findings. | [Business Insider (TipRanks)](https://markets.businessinsider.com/news/stocks/upstart-holdings-faces-investor-lawsuit-over-alleged-ai-model-misrepresentations-and-stock-drop-1036057292), [Robbins LLP via GlobeNewswire](https://www.globenewswire.com/news-release/2026/04/09/3270618/0/en/UPST-Stockholder-Alert-Shareholder-Rights-Law-Firm-Robbins-LLP-Reminds-Investors-of-Class-Action-Filed-Against-Upstart-Holdings-Inc.html) |
| Mar 10, 2026 | Upstart applies for a national bank charter | Upstart said it would apply to the OCC and FDIC, and to the Federal Reserve as a bank holding company; Gu said 'the time is right to launch the first bank built from the ground up on AI'. | [Banking Dive](https://www.bankingdive.com/news/upstart-apply-occ-fdic-fed-national-bank-charter-ai-lending/814429/) |
| Nov 4, 2025 | Q3 2025 revenue miss later tied to Model 22 | Upstart reported Q3 2025 revenue of $277 million against guidance of about $280 million and cut its full-year revenue guidance to about $1.035 billion; the stock fell 9.71% to $41.75 on November 5. A later lawsuit alleges the shortfall stemmed from Model 22, the underwriting model launched in May 2025, overreacting to negative macroeconomic signals. | [Robbins LLP via GlobeNewswire](https://www.globenewswire.com/news-release/2026/04/09/3270618/0/en/UPST-Stockholder-Alert-Shareholder-Rights-Law-Firm-Robbins-LLP-Reminds-Investors-of-Class-Action-Filed-Against-Upstart-Holdings-Inc.html), [Business Insider (TipRanks)](https://markets.businessinsider.com/news/stocks/upstart-holdings-faces-investor-lawsuit-over-alleged-ai-model-misrepresentations-and-stock-drop-1036057292) |
| Jun 8, 2022 | No-action letter terminated at Upstart's request | After Upstart told the CFPB on April 13, 2022 that it would add a significant number of new variables to its model, it asked to end the letter rather than wait for review; the CFPB terminated it, ending Upstart's special regulatory status. | [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/about-us/newsroom/cfpb-issues-order-to-terminate-upstart-no-action-letter/) |
| Nov 30, 2020 | Second no-action letter covers the AI underwriting model | The CFPB granted Upstart a new no-action letter regarding its automated model for underwriting and pricing unsecured, closed-end loans. | [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/about-us/newsroom/consumer-financial-protection-bureau-issues-no-action-letter-facilitate-use-artificial-intelligence-pricing-and-underwriting-loans/) |
| Sep 14, 2017 | CFPB issues its first no-action letter, to Upstart | The CFPB issued its first no-action letter to Upstart, which uses alternative data and machine learning in credit underwriting and pricing, conditioned on a model risk management and compliance plan and reporting on access-to-credit and fair-lending outcomes. | [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/about-us/newsroom/cfpb-announces-first-no-action-letter-upstart-network/), [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/about-us/blog/update-credit-access-and-no-action-letter/) |

## Common questions

### Who are Upstart's biggest competitors?

In personal loans, SoFi and Happen, the former LendingClub, which The Motley Fool counted with Upstart among the biggest fintech players in unsecured personal loans; in AI credit, Pagaya; and, per Upstart's own FY2025 10-K, banks, non-bank lenders and credit cards, which personal loans often replace.

### What companies are similar to Upstart?

Pagaya is the closest: Zacks describes both as AI lending platforms, Pagaya as a credit network and Upstart as a lending marketplace. SoFi and Happen (formerly LendingClub) are fintech personal lenders, and Zest AI and FICO sell credit-decisioning software to lenders, the market Upstart's 10-K calls the lending partnership side.

### Is LendingClub still an Upstart competitor?

Yes, under a new name. LendingClub Corporation became Happen, Inc. effective June 22, 2026, per its Form 8-K. In Q3 2026 Happen reported $3.3 billion of origination volume, up 26%, and said AI-powered agent support tools led to an automation rate above 90% on originations.

### How does Upstart compare with Pagaya?

Both apply AI to consumer credit. Zacks says Upstart runs an AI lending marketplace connecting borrowers with financial institutions, with more direct exposure to loan origination, while Pagaya runs a credit network connecting lenders with institutional capital. Upstart originated $4.2 billion in Q2 2026; Pagaya's network volume was $3.6 billion in Q3 2026.

### How do Upstart's competitors use AI?

Happen says AI-powered agent support tools brought its origination automation rate above 90% in Q3 2026; Pagaya calls itself a company delivering AI-driven product solutions; SoFi has tested an AI adviser, Coach. Upstart says it fully automated 91% of loans in 2025 and lists constantly improving AI models as its first competitive factor.
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