Online Lending

LendingPoint Places Seventeenth on Inc. 5000

August 14, 2019
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Today Inc. 5000 released is 2019 list of the fastest growing private companies in America, featuring alternative finance company LendingPoint in seventeenth place after it witnessed a three-year revenue growth of 9,265%. LendingPoint offers consumer loans of up $25,000 and provides financing to merchants, service providers, and medical institutions via its LendingPoint Merchant Solutions program. This is […]

Lending Club Still Logging Losses, But Not For Long?

August 9, 2019
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LendingClub released its second quarter report this Tuesday. Loan originations reached a new high of $3.1B, but the year-over-year growth rate for the quarter clocked in at only 11%, down from the 18% growth experienced the three straight previous quarters in a row. The company also generated a net loss of $10.6M. Beyond Q2 however, […]

Fox Corp / Credible Deal – What’s Online Lending Got To Do With TV Broadcasting?

August 5, 2019
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On Sunday Fox Corp announced it had agreed a deal to buy a majority share of 67% in Credible, a San Francisco-based online lending platform that is publicly traded in Australia. Credible, which was valued at $397 million by Fox, provides credit checks for mortgages, personal loans, and student loans; gathers the information yielded; and […]

Lending Express Rebrands to Become

July 16, 2019
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Lending Express, a company whose CEO was once a master gamer, has rebranded to Become. “This transition comes at a pivotal point in the company’s growth and highlights its dedication to providing businesses with opportunities to improve fundability, secure funding, and ultimately become more,” a company spokesperson wrote. According to the company, their online loan […]

Amazon Now Among The Top Online Small Business Lenders in The United States

May 8, 2019
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Jeff Bezos

Amazon has joined PayPal, OnDeck, Kabbage, and Square as being among the largest online small business lenders. On Tuesday, Amazon revealed that it had made more than $1 billion in small business loans to US-based merchants in 2018. Amazon says the capital is used to build inventory and support their Amazon stores. By selling on […]

Small Businesses Rank Online Lenders More Transparent Than Big Banks

April 16, 2019
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challenges with lenders

When it comes to business loans, small businesses say online lenders are more transparent than big banks. Specifically, 15% of respondents to a Federal Reserve survey reported challenges with transparency experienced at big banks versus only 12% with online lenders. Small businesses also ranked big banks worse on credit decision wait times, application process difficulty, […]

Direct Lending Fund CEO Resigns, Investigation

March 20, 2019
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Ross moderates a panel

In this dark blurry photo, Ross moderates an online lending panel in 2014 Direct Lending Fund CEO Brendan Ross, has resigned, according to Bloomberg News and numerous individuals identifying themselves as investors on an industry blog. The fund not only lost nearly 25% of its portfolio in a single sour investment, but it’s reported that […]

Elevate Reflects on Success of Fintech in Personal Loans

February 21, 2019
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Jason Harvison - Elevate COO

The unsecured personal loan market hit an all-time high in 2018, jumping 17 percent year-over-year to $138 billion, according to data from TransUnion released today and featured in a CNBC story. “The rapid growth in consumer loans sits squarely on the shoulders of fintechs,” said Jason Laky, senior vice president and leader of TransUnion’s consumer […]

‘Peers’ Are Almost Gone From Lending Club’s Funding Mix

February 20, 2019
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Lending Club breakdown

Long gone are the days of peer-to-peer lending. On Tuesday, Lending Club, a pioneer in the peer-to-peer lending space, reported that only 6% of its Q4 originations came from individual self-managed accounts. Accounts professionally managed for individuals made up 16%, with the rest of the loans being funded by a combination of banks, institutions, and […]

LendingPoint Gets Even More Financing

February 4, 2019
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lending point

LendingPoint announced today that it has closed an increase of its mezzanine funding, a hybrid of debt and equity financing. The company’s mezzanine financing now totals more than $67.5 million. Paragon Outcomes Management LLC is the primary investor and was joined for this round by an unnamed co-investor. “Paragon Outcomes continues to provide outstanding support […]

Multimillionaire CEO Claims Predatory Lenders are Causing Him to Sell His Furniture for Food

November 22, 2018
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Two months ago, a billionaire hedge-fund manager named Philip Falcone, the 377th richest person in the United States who once “put the squeeze on Goldman Sachs,” led a Virginia-based investment group to make a strategic purchase of a local Telemundo TV station in Columbus, Ohio. The seller, a company led by local businessman Richard Schilg, […]

LendingClub Funds $1 Billion in CLUB Certificates

November 20, 2018
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Scott Sanborn - Lending Club

LendingClub announced today that it has funded $1 billion in CLUB Certificates, in just under a year since the company introduced the offering. According to its website, CLUB Certificates are “pass-through securities with CUSIP numbers backed by LendingClub prime or near prime personal loans.” What does this mean? LendingClub was unreachable at the time, but […]

Credit Karma Moves Towards Home Mortgages with Acquisition

August 20, 2018
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home equity

Credit Karma acquired Approved last week, according to a blog post written by Approved CEO and founder Andy Taylor. Approved is a platform that simplifies and facilitates the process of obtaining home mortgage loans. “When we left Redfin three years ago to tackle the often painful and tedious process of getting a home loan, nearly […]

SoFi Has Massive Loss in Second Quarter

August 7, 2018
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SoFi sign

SoFi had a second quarter adjusted loss of about $200 million, according to a Bloomberg story from yesterday, citing people familiar with the company’s situation. “Our Q2 financial results were negatively impacted by significantly lowered valuation of legacy loans and assets as well as the slow start to increasing prices in the face of a […]

CommonBond Issues Securitization

August 3, 2018
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CommonBond  Student Loan Refinancing   Consolidation

CommonBond, which helps people finance student loans, announced today its second AAA-rated securitization from Moody’s and DBRS. At $292 million of total collateral, the transaction is the company’s largest to date. It is CommonBond’s second securitization of 2018 and its seventh altogether. The company, which competes with SoFi, now has a total securitized loan amount […]

Square Capital is Funding $130 Million a MONTH

August 1, 2018
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Outside the Square Headquarters in San Francisco

Today Square released its Q2 2018 earnings, revealing that in the second quarter Square Capital facilitated over 60,000 business loans totaling $390 million. This is an increase of 22% year over year, and a 13% increase compared to last quarter’s loan volume of $339 million. Square’s growth was also driven by its Instant Deposit, Caviar […]

PayPal’s Actions Convey Continued Expansion of Lending Business

July 27, 2018
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paypal

PayPal announced its Q2 2018 earnings yesterday. Notably, total payment volume grew 27%, which is 1% higher than Q2 of last year. And the popular payment app Venmo, which is owned by PayPal, grew 78%, only slightly less than its growth of 80% from the last quarter. As expected by Wall Street analysts, revenue growth […]

Elevate Offers Prime-like Credit Card to Non-prime Consumers

July 23, 2018
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Credit Cards

Last week, Elevate (NYSE: ELVT) launched the Today Card, a credit card for non-prime consumers with features typically included only on cards for prime users. Some of the features for the new card include credit lines up to $3,500, a mobile app where consumers can check their balance, pay their bills, zero liability fraud protection, […]

Australia Brimming with Alternative Lending Activity

July 18, 2018
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Australia Lending

OnDeck announced today that it has closed on a $75 million (AUD) asset-backed revolving credit facility with Credit Suisse for its business in Australia. This will be used to refinance OnDeck Australia’s current loan book at a significantly lower cost, as well as to fund future originations there.   This comes shortly after Lending Express […]

DFS Releases Recommendations for Online Lending

July 12, 2018
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One Commerce Plaza, Albany, NY

At left, One Commerce Plaza where DFS’ Albany office is based The New York State Department of Financial Services (DFS) released a report on Wednesday on the subject of online lending in the state. The report was mandated by a bill signed by New York Governor Andrew Cuomo on June 1 of last year. According […]