The internet gives answers for all our probable questions. It gives relevant results for money searches too. It helps to link the moneylenders, venture capital investors to the people who want to get a base in finance or someone who want to refinance his credit card debt.
In lending club, the borrowing rate is 14.5 percent for three to five years loan. The rate also differs based on their credit scores. The investors get an interest rate of 8.5 percent. The defaults of loans account for 3.5 percent and the annual company fee is 2.5%.
Many well known investors like Norwest venture partners, Canaan Partners and many others are some of the Lending club’s investors. These investors are enjoying 1000% profit, as per their public records. This has pulled in a lot of other venture capital firms into the club. Lending club has reached 2 billion dollars in loan amount.
Growth of lending cub
The lending clubs have grown up to 50 worldwide. The main platform of online lending in US is held by two entities. They are the Lending Club and the Prosper Marketplace. Britain is blessed with Zopa and Ratesetter and Society Is the institute which holds sway in Australia. There are lending clubs that focus on micro lending too like On Deck and Kabbage. There are financing platforms for students like Social Finance, Common Bond, Pave and many.