Interest Rate Change: +1% for Risky Grades

Today Lending Club disclosed an interest rate change. Compared to the previous rates, it’s a relatively large adjustment to the risky grades. This is to address the higher-than-average default rates we’ve seen in the D and E grade loans. It’s...

2015 – A Big Year for Eligible Investor States

Lending Club opened 14 new states to retail investors in 2015, which made the platform available to over 92 million Americans (+29% of the U.S. population). The biggest states were Texas and Michigan. This was in the works since the company went IPO in late 2014,...

Lending Club Raises Interest Rates by 0.25%

Lending Club increased interest rates just days after the Fed raised the Fed Funds rate by 0.25%, being one of the first in the industry to do so. However, an environment with interest rate hikes is foreign to P2P investors and many of us have questions on its...

Interest Rate Changes – Sub-grade Analysis

Lending Club changed their interest rates again effective 5/13/2015. Here’s how it compares against the last change from February 2015: Compared to the February 2015 interest rate changes, the May 2015 changes seem to focus on the extreme ends of the risk...

LendingClub Reports First Earnings Results Tomorrow

LendingClub (LC) reports earnings tomorrow after the market’s close as confirmed late last month, their first time ever since they IPOed on 12/15/2014. They will be hosting a webcast/conference call at 5:00pm EST (2:00pm PST) to discuss their financial...

How the Partnership with BancAlliance Helps LendingClub

Withe the recent partnership with Alliance Partners, which controls over 200 community banks under BancAlliance, it gives LendingClub a business advantage. Here is my take on its implications: Lower and more stable borrower acquisition costs – The details of the...