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Lending Club Submits Response to Treasury RFI on Online Marketplace LendingSAN FRANCISCO, Sept. 30, 2015 /PRNewswire/ -- Lending Club (NYSE: LC), the world's largest online marketplace connecting borrowers and investors, today submitted a response to the U.S. Treasury Department's Request for Information (RFI) on Expanding Access to Credit through Online Marketplace Lending. "We appreciate the Treasury Department's continued interest in understanding how online marketplace lending can expand access to credit, and how the financial regulatory framework should evolve to support the industry's safe growth," said Lending Club founder and CEO Renaud Laplanche. "Our response reflects our company values and commitment to transparency, consumer friendliness, and responsible credit products, and takes advantage of this opportunity to offer input and ideas that can help the industry grow safely and responsibly." Lending Club's response starts by explaining the benefits it delivers to both borrowers and investors. Lending Club uses technology to reduce costs and pass on the cost savings to borrowers in the form of lower interest rates and to investors in the form of better returns. More specifically, borrower benefits include:
Investor benefits include:
At the invitation of the Treasury, Lending Club offered four recommendations for legislative or regulatory consideration that it believes would enhance or clarify the development and operation of online credit marketplaces to the benefit of consumers, small businesses, investors and the financial system more broadly:
About Lending Club Lending Club's mission is to transform the banking system to make credit more affordable and investing more rewarding. The company's technology platform enables it to deliver innovative solutions to borrowers and investors. Since launching in 2007, the Lending Club platform has facilitated over $11.2 billion in consumer loans and has more than doubled annual loan volume each year. We operate at a lower cost than traditional bank lending programs, so we're able to pass the savings on to borrowers in the form of lower rates and to investors in the form of solid returns. Lending Club has been prominently recognized as a leader for its growth and innovation, including being named one of Forbes' America's Most Promising Companies three years in a row, a CNBC Disruptor two years in a row, a 2012 World Economic Forum Technology Pioneer, and one of The World's 10 Most Innovative Companies in Finance by Fast Company. Lending Club is based in San Francisco, California. More information is available at https://www.lendingclub.com. Currently only residents of the following states may invest in Lending Club notes: AR, AZ, CA, CO, CT, DE, FL, GA, HI, IA, ID, IL, IN, KS, KY (accredited investors), LA, MA, ME, MN, MS, MT, NE, NH, NV, NY, OK, RI, SD TX, UT, VA, VT, WA, WI, WV, or WY. All loans made by WebBank, a Utah-chartered Industrial Bank, Member FDIC. Some of the statements in this above are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "predict," "project," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. The Company does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law. Information in this press release is not an offer to sell securities or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. Additional information about Lending Club is available in the prospectus for Lending Club's notes, which can be obtained on Lending Club's website at https://www.lendingclub.com/info/prospectus.action. 1 Based on responses from 14,986 borrowers in a survey of 70,150 randomly selected borrowers conducted from July 1, 2014 – July 1, 2015, borrowers who received a loan to consolidate existing debt or pay off their credit card balance reported that the interest rate on outstanding debt or credit cards was 21.8% and average interest rate on loans via Lending Club is 14.8%. Logo - http://photos.prnewswire.com/prnh/20140417/76307
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/lending-club-submits-response-to-treasury-rfi-on-online-marketplace-lending-300151399.html SOURCE Lending Club |