CrowdFundBeat News Wire,
SAN FRANCISCO, Nov. 23, 2015 /PRNewswire/ — Lending Club (NYSE: LC), the world’s largest online marketplace connecting borrowers and investors, announced today that its marketplace is now available to retail investors in Alabama, Kentucky, Michigan, and Washington, D.C., bringing the total number of states open to retail investors to 42 plus the District of Columbia. Lending Club’s platform was previously available to accredited investors only in Kentucky.
“Individual investors continue to be key to the long term growth and efficiency of the Lending Club marketplace, and are fueling many of the network effects that have helped the platform to double again over the last 12 months,” said Lending Club founder and CEO Renaud Laplanche. “There are now well over 100,000 active retail investors participating in the Lending Club marketplace, and we’re excited that investors in 42 states and our nation’s capital can now enjoy the benefits of investing in consumer credit, an asset class that was previously only available to banks and large institutions.”
Lending Club is a two-sided marketplace that brings together borrowers looking for lower rates and a great experience, and investors looking for attractive returns. Individual retail investors use the platform to access consumer credit as an asset class not previously available to them. Investors on the Lending Club platform can invest in loans in increments as low as $25, diversifying across hundreds or thousands of borrowers, to quickly and easily build a portfolio that fits their investment objectives. Each fraction of a loan is invested in through a Note. Lending Club Notes have Net Historical Returns by Grade A-C of 5.23% to 8.82%.* Among investors who own 100 or more Notes of similar size representing loans to different borrowers, 99.9 percent have seen positive returns.
Alabama, Kentucky, Michigan, and Washington, D.C. residents can now create an account at www.lendingclub.com, and choose either a traditional investment account or retirement account. Investors receive monthly payments of principal and interest as borrowers repay their loans, and can withdraw available cash at any time via a linked bank account.
*As of September 30, 2015. To be included in the Historical Returns calculation, a Note must have been originated prior to March 31, 2014. Historical Returns are Lending Club’s adjusted net annualized returns (Adjusted NAR) for Notes with Grades A through C. Adjusted NAR is calculated using the formula described on our website. Historical Returns are not a promise of future results. Lending Club Notes are not insured or guaranteed and investors may have negative returns. Individual portfolio results may be impacted by, among other things, the diversity of the portfolio, exposure to any single Note or group of Notes, as well as macroeconomic conditions. Notes are offered by prospectus filed with the SEC and you should review the risks and uncertainties described in the prospectus prior to investing in the Notes.