Posted by Renaud Laplanche :: June 9, 2009 @ 7:00 amDear Lending Club Members,
As more of you are saying “no” to credit cards and are choosing the path of responsible credit, and as more investors look for higher returns after last year’s devastating stock market performance, our financial community is showing better results than ever.
This week we are releasing new data showing strong growth among both Lending Club investors and loan originations:
- From January 1st to May 31st 2009:
- 60% growth in total loans issued by Lending Club, from $25M to $40M
- 70% growth in total Lending Club membership from 82,000 to 140,000
- 72% growth in loan applications, from $212M to $365M
- The average net annualized return earned by Lending Club investors since June 2007 grew from 9.05% as of December 18, 2008 (as reported by analyst firm Javelin Research at that time) to 9.90% as of today.
These excellent results demonstrate the responsible behavior of our community of investors and borrowers and show that in the long run, sound underwriting and cautious investment beat the most aggressive strategies.
Better Rates, Together.
Renaud
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9 Comments
Congrats to the Lending Club team for the growth and success. I certainly hope this is just the beginning. Most people out there still do not understand or even know about p2p lending. Lending Club has done a fantastic job so far in making this concept possible, where others had failed.
Yeah!!!
As a new investor ( two months) my excitement is still extremely strong for LendingClub. This is where I want to be, it where I want MY money, and if need be, its where I want to borrow. Until one gets involved, its hard to assess just how different this is from Stocks as an investment tool. These days in the stock market, there are winners and losers at near every turn; money is not made, its taken. At Lendingclub, if there were one million more investors I still would not be in a position to "compete" with them, to need to out smart them, out track, out analyze... Others lenders doing well does not diminish my ability to do well also, in fact its just the opposite.
Thanks for this great opporutnity provided to us by this website. I hope you guys maintain this standard of sound underwriting and keep our investments less risky. I dont like to see LC turning out as another 'Prosper'. Also the return on investment calculation is really cool and it helps to keep me motivated.
So far I am averaging 10.68%. Easy money! Thanks Lending Club!
I have done a lot resaerch on investing, and I am glad I found this one. I see it being around for a long time. A good solid investment that is a win, win situation if you do it smartly. Be using the system put before you. No more bosses, or worries if done right. definately good for the average person. An retirement if that is your dream, a good one with you at the wheel,and no one else. I just wish it had been out ten years ago. But better late than never.
Better than bonds,CD's, stock, notes, and mutal funds, atleast I think. Basically your own bank, with better returns.
Great news, Renaud. This new data clearly proves the vitality of both the Lending Club concept and the integrity of your growing community. Kudos!
[...] 2009, and loan growth has averaged nearly 7% month-over-month during that period. According to a blog post in June by CEO Renaud Laplanche, as of May 31, Lending Club had 140,000 registered [...]
I'm very happy with my Lending Club experience and love the P2P lending model in general.
P2P lending is a twenty-first centuy reemergence of the old savings & loan idea: we invest in one another. The S&Ls worked well until Wall Street and greedy managers sought to undo restrictions that kept them acting in the best interest of their members; after that, they collapsed.
Hopefully, P2P will do better. We need ethical lending as an alternative to commercial credit slavery.
Lendingclub should start offering unsecured credit to those with no credit history(not bad or negetive credit)
Some people with no credit history(or a zero credit score) are credit worthy.
Like people with currently good or positve credit, some people with no credit have a steady income and an excellent payment history of paying thier rent and utility bills on time ,which are basically not credit builders.
To prove my point, on the link below, watch and listen how NorthSide credit union rescued this young lady from the payday loan trap before her credit became bad or negetive. http://hffo.cuna.org/13519/video/1856/html
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