LendingClub P2P Investors Will Be Able to Transfer Funds to Founder Savings Account
When Lending Club retires its peer-to-peer lending platform on December 31st, users will have the option to transfer their remaining funds to Radius Bank into something called a Founder Savings Account. The company acquired Radius Bank in February this year and has communicated that its efforts have been dedicated to this initiative.
As part of this shift, peers that were part of their soon-to-be discontinued platfrom will be eligible for a “Founder” Savings account.
“We will let you know of the interest rate at launch,” Lending Club’s FAQ says on the matter. “You can expect that it will be a compelling rate, as an exclusive way to thank our investors for their dedication to our community.”
At present, a standard “high-yield” savings account at Radius Bank earns up to .25% APY.
The company acknowledes that not everyone will want to become a banking customer. “If you don’t choose to open a Founder Savings account, your Notes account cash position will continue to build until you transfer those funds to another financial institution.”
Bankrate awarded Radius with the title of “Best online bank of 2020.”Last modified: December 11, 2020