Comments on: Lending Club Breaks $1 Million, Expanding http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/ Startup and Technology News Tue, 10 Nov 2009 03:04:26 -0800 hourly 1 By: Dominic http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1619450 Dominic Fri, 14 Sep 2007 21:40:44 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1619450 Patrick..... being licensed in a state or state is all well and good, however, you invite investors to loan money for what appears to be a guaranteed rate of return. This borderlines on selling unregistered securities. Do you have a no action letter from the S.E.C. ? Patrick…..

being licensed in a state or state is all well and good, however, you invite investors to loan money for what appears to be a guaranteed rate of return. This borderlines on selling unregistered securities. Do you have a no action letter from the S.E.C. ?

]]> By: Patrick Gannon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1618543 Patrick Gannon Fri, 14 Sep 2007 14:36:43 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1618543 Fabian - your stats: Default rates: none so far....but we have projected default rates laid out by credit grade on our website. Max loan amount: $25,000 per borrower Max repayment time: 3 year term loan Min repayment time: you can pay off your 3 year loan after 6 months Credit level distribution: see our CEO's writeup that includes those stats: http://blog.lendingclub.com/2007/09/13/100-days-and-a-million-dollars-in-loans/ Patrick from Lending Club Fabian – your stats:

Default rates: none so far….but we have projected default rates laid out by credit grade on our website.
Max loan amount: $25,000 per borrower
Max repayment time: 3 year term loan
Min repayment time: you can pay off your 3 year loan after 6 months
Credit level distribution: see our CEO’s writeup that includes those stats: http://blog.len...llars-in-loans/

Patrick from Lending Club

]]> By: Wiseclerk http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1617785 Wiseclerk Fri, 14 Sep 2007 08:41:05 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1617785 Rex, congrats on this expansion. I sure that this step will allow Lendingclub to accelerate its growth Claus Lehmann P2P-Banking.com Rex,

congrats on this expansion. I sure that this step will allow Lendingclub to accelerate its growth

Claus Lehmann
P2P-Banking.com

]]> By: Fabian Schonholz http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1617456 Fabian Schonholz Fri, 14 Sep 2007 06:03:47 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1617456 Wow .. this is cool. I wonder how it affects the banking industry and how this can translate to real estate lending. Does anybody have some stats: * rate of defaults * max loan amount * max and min repayment times * credit level distribution etc. Wow .. this is cool. I wonder how it affects the banking industry and how this can translate to real estate lending. Does anybody have some stats:

* rate of defaults
* max loan amount
* max and min repayment times
* credit level distribution

etc.

]]> By: Tom http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1617438 Tom Fri, 14 Sep 2007 05:56:37 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1617438 Nice work Lending Club. I knew this was coming but I didn't expect it anytime soon. Everything seems to move so slow in the peer to peer market (mostly due to state regulations I think) that for some reason I didn't expect to see this until next year. You beat GlobeFunder, Loanio and Zopa to a general U.S. launch. The peer to peer loan market is quite fascinating to watch. Nice work Lending Club. I knew this was coming but I didn’t expect it anytime soon. Everything seems to move so slow in the peer to peer market (mostly due to state regulations I think) that for some reason I didn’t expect to see this until next year.

You beat GlobeFunder, Loanio and Zopa to a general U.S. launch. The peer to peer loan market is quite fascinating to watch.

]]> By: Rex Dixon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616295 Rex Dixon Thu, 13 Sep 2007 19:50:53 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616295 @Film Asia - Let me just clarify that we are not here to replace the banking system. We are here to offer great rates for people. We are not here to replace banks, but just offer smart consumers a better option - p2p lending - it's not new, just do some googling and you will find a long history of how p2p lending has been around for centuries. Rex Dixon Director of Social Media Content Lending Club @Film Asia – Let me just clarify that we are not here to replace the banking system. We are here to offer great rates for people. We are not here to replace banks, but just offer smart consumers a better option – p2p lending – it’s not new, just do some googling and you will find a long history of how p2p lending has been around for centuries.

Rex Dixon
Director of Social Media Content
Lending Club

]]> By: Film Asia http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616216 Film Asia Thu, 13 Sep 2007 19:00:46 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616216 One day our current banking system that requires facing the banking officers would be obselete. It would be replaced with a smart electronic online banking system just like this one. Even now you can do loans online..wow.. One day our current banking system that requires facing the banking officers would be obselete. It would be replaced with a smart electronic online banking system just like this one. Even now you can do loans online..wow..

]]> By: Rex Dixon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616160 Rex Dixon Thu, 13 Sep 2007 18:24:47 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616160 @Jeremy - Facebook worked out great. Now that the real outside of facebook site is live, other people who don't want/or have a Facebook account can now experience the benefits of p2p lending. Rex @Jeremy – Facebook worked out great. Now that the real outside of facebook site is live, other people who don’t want/or have a Facebook account can now experience the benefits of p2p lending.

Rex

]]> By: Jeremy http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616103 Jeremy Thu, 13 Sep 2007 17:48:18 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616103 This seems like the kind of application the could make Facebook indispensable. Of course, its the only thing on FB that fits that category so far. Without more, FB risks being the CB radio of the late 2000s (if thats how you say it). This seems like the kind of application the could make Facebook indispensable. Of course, its the only thing on FB that fits that category so far. Without more, FB risks being the CB radio of the late 2000s (if thats how you say it).

]]> By: Patrick Gannon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616093 Patrick Gannon Thu, 13 Sep 2007 17:43:03 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616093 Matt - bottom line - we offer lower rates to prime borrowers than banks offer. Matt – bottom line – we offer lower rates to prime borrowers than banks offer.

]]> By: Patrick Gannon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616090 Patrick Gannon Thu, 13 Sep 2007 17:41:57 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616090 Dominic, Great question. We are a regulated entity - we operate as a licensed lender in the states where we lend. Patrick from Lending Club Dominic,

Great question. We are a regulated entity – we operate as a licensed lender in the states where we lend.

Patrick from Lending Club

]]> By: Patrick Gannon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616087 Patrick Gannon Thu, 13 Sep 2007 17:40:17 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616087 Dominic Dominic

]]> By: Matt http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616075 Matt Thu, 13 Sep 2007 17:34:05 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616075 What's the point of this? If someone has a prime fico and income as these guys are claiming, then why wouldn't they just use a bank loan, or line of credit? What’s the point of this? If someone has a prime fico and income as these guys are claiming, then why wouldn’t they just use a bank loan, or line of credit?

]]> By: Mac http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616034 Mac Thu, 13 Sep 2007 17:13:17 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616034 Er, borrowing money (not buying) that is. Er, borrowing money (not buying) that is.

]]> By: Dominic http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616033 Dominic Thu, 13 Sep 2007 17:13:14 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616033 i'm just curious as to if there are some State and Federal guidelines and regulations these people have to follow. This is almost like loan sharking 2.0. Even as a broker or faciitator, I am sure some type of licnsing is required. Do they make mention of this anywhere. They're handling lenders funds and collecting monthly payments. Something just isn't right about this business model. Sub prime mortgages are at least legal. Is this? i’m just curious as to if there are some State and Federal guidelines and regulations these people have to follow. This is almost like loan sharking 2.0.
Even as a broker or faciitator, I am sure some type of licnsing is required. Do they make mention of this anywhere. They’re handling lenders funds and collecting monthly payments. Something just isn’t right about this business model.

Sub prime mortgages are at least legal. Is this?

]]> By: Mac http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1616031 Mac Thu, 13 Sep 2007 17:12:42 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1616031 If the service is at all comparable to Prosper (I haven't checked it out yet), then I would have no concern buying or lending money on the site, especially with the stricter lending standards. I've been both a lender and borrower on Prosper and the process has been seamless and completely legitimate. If the service is at all comparable to Prosper (I haven’t checked it out yet), then I would have no concern buying or lending money on the site, especially with the stricter lending standards. I’ve been both a lender and borrower on Prosper and the process has been seamless and completely legitimate.

]]> By: Joaquin Delgado http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615956 Joaquin Delgado Thu, 13 Sep 2007 16:40:20 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615956 Mirunga: The real news is that we are expanding beyond facebook and, in addition, adding a bunch of new functionalities to the site, including a homepage redesign. Obviously making $1M of loans among just facebook users in less than 4 months is a great achievement! I'm sure you will find our next posts even more interesting ;-) Mirunga: The real news is that we are expanding beyond facebook and, in addition, adding a bunch of new functionalities to the site, including a homepage redesign. Obviously making $1M of loans among just facebook users in less than 4 months is a great achievement! I’m sure you will find our next posts even more interesting ;-)

]]> By: mirunga http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615911 mirunga Thu, 13 Sep 2007 16:18:28 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615911 hey is the next post going to be Lending Club breaks 1.5 million, next one 2 million - you get my point!! hey is the next post going to be Lending Club breaks 1.5 million, next one 2 million – you get my point!!

]]> By: Jimmy Huen http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615870 Jimmy Huen Thu, 13 Sep 2007 15:56:57 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615870 I've liked Lending club from the beginning. Now if they will expand a sub section for the "in betweens" of prime and sub-prime, it'll add another segment of the population. I’ve liked Lending club from the beginning. Now if they will expand a sub section for the “in betweens” of prime and sub-prime, it’ll add another segment of the population.

]]> By: Andrew http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615860 Andrew Thu, 13 Sep 2007 15:53:06 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615860 does FB get a piece of the action on these loans? How is this affiliation formed. does FB get a piece of the action on these loans? How is this affiliation formed.

]]> By: John Donovan http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615790 John Donovan Thu, 13 Sep 2007 15:19:11 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615790 To the ghost of alan greenspan: Lending Club is regulated, via state level licensing. The $1 million represents less than 20% of the loan requests submitted to Lending Club as we have stringent credit requirements (640 FICO minimum, 20% DTI or less, etc.). To the ghost of alan greenspan: Lending Club is regulated, via state level licensing. The $1 million represents less than 20% of the loan requests submitted to Lending Club as we have stringent credit requirements (640 FICO minimum, 20% DTI or less, etc.).

]]> By: www.techtagg.com - See Tech Taggers view on this story! http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615720 www.techtagg.com - See Tech Taggers view on this story! Thu, 13 Sep 2007 14:55:01 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615720 <strong>Lending Club Breaks $1 Million, Expanding...</strong> This is a great service. Lending Club, the Facebook exclusive person-to-person lending service has passed the $1 million mark in loans to Facebook users. The milestone comes just short of 3 months since the the site hit the $100,000 mark, and 3 1/2 mon... Lending Club Breaks $1 Million, Expanding…

This is a great service. Lending Club, the Facebook exclusive person-to-person lending service has passed the $1 million mark in loans to Facebook users. The milestone comes just short of 3 months since the the site hit the $100,000 mark, and 3 1/2 mon…

]]> By: Patrick Gannon http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615666 Patrick Gannon Thu, 13 Sep 2007 14:28:38 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615666 chrisco - a lot of people have that reaction, but Lending Club only offers loans to prime borrowers who meet strict FICO score and debt level standards. None of our borrowers are in the subprime category. Have a look at the site and browse through the loan inventory. Let us know what you think! Patrick from Lending Club. chrisco – a lot of people have that reaction, but Lending Club only offers loans to prime borrowers who meet strict FICO score and debt level standards. None of our borrowers are in the subprime category. Have a look at the site and browse through the loan inventory. Let us know what you think!

Patrick from Lending Club.

]]> By: Steve Ballmer http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615655 Steve Ballmer Thu, 13 Sep 2007 14:23:46 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615655 Now THIS is one baaaaddd idea! Whew! http://fakesteveballmer.blogspot.com Now THIS is one baaaaddd idea! Whew!

http://fakestev...er.blogspot.com

]]> By: Learn PHP http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/comment-page-1/#comment-1615624 Learn PHP Thu, 13 Sep 2007 14:09:38 +0000 http://www.techcrunch.com/2007/09/13/lending-club-breaks-1-million-expanding/#comment-1615624 but that wouldn't be too intelligent now would it be? but that wouldn’t be too intelligent now would it be?

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