Marketplace Lending

Prosper Lost A Whopping $119 Million in 2016

March 20, 2017
Article by:

Prosper Marketplace

Prosper might be the online lender for the who’s who of Wall Street these days, but the company still lost $119 million in 2016. To add perspective, Prosper only had $136 million in revenue for the year, meaning that for every dollar it earned it spent almost two. The loss was also more than 4x […]

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WebBank Releases Earnings, Market Valuation

March 20, 2017
Article by:

Utah flag on money

WebBank, a Salt Lake City-based bank commonly used by online lenders such as Avant, CAN Capital and Prosper to make loans nationwide, reported year-end figures last week through an SEC filing. The company is 91.2% owned by Steel Partners Holdings L.P (NYSE:SPLP). The bank reported net income of $29.2 million for 2016. “Despite significant declines […]

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Are Those Shopping for an Online Loan More Risky?

March 18, 2017
Article by:

potential stacking

ID Analytics is enabling online lenders to know a thing or two they might not be able to find out on their own. For example, did a loan applicant apply for other loans on the same day? There’s a good chance ID Analytics can tell you the answer since they claim their Online Lending Network […]

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How Whitepages Turned Their Data into an Identity Verification Tool for Online Lenders

March 15, 2017
Article by:

Whitepages Pro

Whitepages might be a 20-year old company but the data they’ve amassed over time can add significant value to online lenders, the company claims. Whitepages Pro, which offers identify verification, allows lenders to gauge if an individual is real. “It examines fraud risk, not credit risk,” company CEO Rob Eleveld said in a brief interview […]

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See You At LendIt

March 3, 2017
Article by:

Peter Renton, Chairman and Co-Founder
LendIt,  speaking to LendIt USA 2016 conference in San Francisco, California, USA on April 11, 2016. (photo by Gabe Palacio)

Monday kicks off the LendIt conference at the Javits Center in NYC. Given that it’s the biggest event of the year for the industry, I certainly hope to meet as much of you there as possible. If you still haven’t registered, make sure you at least take advantage of a 15% discount by using promo […]

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In The UK, Regulators Advise Where The Line Between Banks and Non-banks Lies

March 1, 2017
Article by:

UK Flag

Online lenders shouldn’t be borrowing money from other online lenders and using that money to lend, the Financial Conduct Authority in the UK warned on Tuesday. Doing so without regulatory permission, they explained, would constitute accepting deposits and be a criminal offense. A copy of the official letter signed by Jonathan Davidson, Director of Supervision […]

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Prosper, A Marketplace for the World’s Richest Banks and Billionaires?

February 28, 2017
Article by:

gold

Credit Suisse, Deutsche Bank, Goldman Sachs, Morgan Stanley, and funds tied to some of the world’s richest billionaires (including George Soros) all make up the “consortium of institutional investors” and “syndicate of lenders” involved in Prosper’s recently announced landmark deal. The terms allow for the investors to purchase up to $5 billion of loans on […]

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For Lending Club Borrowers, Interest Now Accrues During Grace Periods

February 26, 2017
Article by:

Lending Club CEO Scott Sanborn Presents at Money2020

On February 24th, Lending Club eliminated a courtesy that had long been afforded to borrowers, interest waivers during grace periods. Specifically, borrowers who missed a monthly payment were given 15 extra days to make the payment with no extra interest assessed or late fees. Going forward, interest will indeed accrue during grace periods. “we are […]

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Catching Up With Marketplace Lending – A Timeline

February 20, 2017
Article by:

A timeline of alternative finance

This article is from deBanked’s Jan/Feb 2017 magazine issue. To receive copies in print, SUBSCRIBE FREE This is the expanded update to the timeline of events taking place in the industry. 12/16 Chicago-based Argon Credit filed for bankruptcy 12/20 Bizfi announced that it had surpassed $2 billion in originations since inception 1/4 Strategic Funding integrated […]

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‘Peers’ Continue Retreat from Lending Club

February 18, 2017
Article by:

escape

The peer aspect of peer-to-peer lending continued to erode last year, according to Lending Club’s year-end earnings presentation. Self-managed individuals, those still making their own investment decisions, only made up $263 million of their 4th quarter’s origination volume, reaching the lowest level in two years. That’s nearly 38% lower from the peak of $419 million […]

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