Community Banks Join the Lending Club Platform Alliance a key step to making credit more affordable for U.S. households
SAN FRANCISCO, June 20, 2013 /PRNewswire/ -- Lending Club (http://www.lendingclub.com) today announced that two of the nation's community banks, Titan Bank and Congressional Bank, are starting to buy loans through the Lending Club platform. Titan Bank will also offer personal loans to their banking customers through the Lending Club platform.
"Lending Club has demonstrated that it attracts creditworthy customers while efficiently pricing, underwriting and servicing loans," said Congressional Bank President Jeff Lipson. "We are pleased to partner with a proven leader."
"Lending Club brings a low cost operating model to consumer lending. Banks, on the other hand, have a low cost of funds and deep roots in local communities. Our alliance with Lending Club truly combines the best of both worlds to bring down the cost of credit for our customers. This is the future of bank lending," commented Titan Bank Director Jonathan Morris.
Lending Club uses technology to make the customer acquisition, underwriting and servicing process more efficient and to operate at lower costs than traditional branch-based banks.
"This is another step in our quest to make credit more affordable for consumers," said Lending Club CEO Renaud Laplanche. "The combination of our low operating cost and banks' low cost of funds helps create a significantly lower cost structure for providing personal loans, which enables consumers to either pay off or avoid expensive credit cards."
The Lending Club platform continues its significant growth with more than $1.9 billion in loans originated since inception including over $148 million in May 2013. By focusing on high-credit-quality borrowers, the Lending Club platform has generated 23 consecutive quarters of positive returns.
The company's wholly-owned subsidiary LC Advisors, a SEC Registered Investment Advisor, has launched several funds since 2011 and now has more than $492 million in assets under management*.
About Lending Club
Lending Club utilizes technology and innovation to reduce the cost of traditional banking and offer borrowers better rates and investors better returns. Over $1.9 billion in personal loans have been issued through the Lending Club platform, which has more than doubled annual loan volume each year since launching in 2007. The Company has been prominently recognized as a leader for its growth and innovation, including being named one of Forbes' America's Most Promising Companies in 2011 and 2012, a 2012 World Economic Forum Technology Pioneer, and one of The World's 10 Most Innovative Companies in Finance by Fast Company in 2013. Lending Club is based in San Francisco, California. More information is available at: http://www.lendingclub.com. Currently only residents of the following states may invest in Lending Club notes: CA, CO, CT, DE, FL, GA, HI, ID, IL, KY (accredited investors), LA, MN, MO, MS, MT, NH, NV, NY, RI, SD, UT, VA, WA, WI, WV, or WY.
About LC Advisors
Lending Club Advisors, a wholly owned subsidiary of Lending Club, is registered with the Securities and Exchange Commission as an investment advisor. LC Advisors was founded and registered in 2010.
About Congressional Bank
Congressional Bank is a commercial bank located in the Washington, D.C. metropolitan area. In addition to focusing on the lending and deposit needs of small businesses and consumers, Congressional Bank offers several niche products nationwide including political campaign deposits, corporate lending and health care finance. Congressional Bank is committed to being a safe, secure and green partner for its clients' financial success. The Bank currently serves its customers from locations in the District of Columbia, Maryland and Virginia and on-line at www.congressionalbank.com.
About Titan Bank, NA
For more than a hundred years, Titan Bank has been committed to providing our clients with outstanding service and powerful expertise to help them meet their financial goals. Headquartered in Texas, Titan's loan officers are located nationwide and make loans in all 50 states. We specialize in making small business loans and have been commended for this work by the SBA, which recently honored us with their prestigious Rising Star Award. Known for our reputation for funding loans promptly and keeping our word, Titan invests in the industry's best technology and most experienced staff, enabling us to excel in lending sectors most banks choose to ignore. http://www.titanbank.com/
Some of the statements in this above are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "predict," "project," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. The Company may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. The Company does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
*Assets under management as of April 30, 2013.
Information in this press release is not an offer to sell securities or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
Additional information about Lending Club is available in the prospectus for Lending Club's notes, which can be obtained on Lending Club's website at https://www.lendingclub.com/info/prospectus.action.
SOURCE Lending Club