CircleBack Lending is No Longer Lending

CircleBack Lending is no longer originating loans, Bloomberg reports. A Lending Club competitor, the company was an online lending darling, having secured a $500 million deal with Jefferies just two years ago. At that time, company CEO Michael Solomon said in an announcement, “we are taking a rigorous approach to credit underwriting and want to make sure we know our customers before issuing any loans.”

Along the way something must have gone wrong. According to Bloomberg, Solomon recently said that if the lender can’t raise money, it will transfer existing loans to another company to handle collections and payment.