Lending Club Archives - Page 15 of 23

Finovate Alumni News– February 7, 2013

By Julie Muhn (@julieschicktanz) Posted on February 7, 2013
Categories: Affinity Solutions, Fuze Network, InComm, Kabbage, Lending Club, Moven, Movenbank, ReadyForZero, Thomson Reuters, True Office

Market Watch’s Jennifer Openshaw reviews the ReadyForZero user experience.

Movenbank drops the “bank”, changes name to Moven. Come see the launch of its new features at FinovateEurope February 12 and 13 in London.

Kabbage appoints Simon Yoo, former co-head and managing director of Citigroup’s FI Group, as CFO. Come see Kabbage’s live demo at FinovateEurope.

Lending Club opens low-interest, fixed-rate personal loan platform to Tennessee residents.

Fuze Network guarantees no late fees for credit card payments made before noon CST on due date.

True Office partners with Thomson Reuters to develop new, ramified compliance applications.

Affinity Solutions raises more than $6 million in equity and convertible securities.

InComm wins in 4 categories in seventh annual
Paybefore Awards.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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SocietyOne Reaches $1 Million in Loan Originations on ClearMatch Lending Platform

By Julie Muhn (@julieschicktanz) Posted on January 28, 2013
Categories: Lending Club, SocietyOne

SocietyOne, a FinovateAsia Best of Show winner, announced last week that it has reached $1 million in loan originations on its P2P lending platform, ClearMatch.

The Australia-based startup launched the ClearMatch platform, which allows investors to bid together at different interest rates and amounts against a single loan, six months ago in August of 2012.

In the six months since its launch:

Has originated over $1.1 million in loans
Borrowers faced an average interest rate of 14.4%
Investors earned average interest rate of 11.3% per annum
Investors have received $15,600 in interest payments

The following graph charts the growth of the loan amount originated since its inception.

For comparison, SocietyOne charted the growth of LendingClub’s originations over time.

Matt Symons, SocietyOne CEO, states that he plans to replicate the success of Lending Club in Australia.

To check out SocietyOne’s award-winning platform, watch its FinovateAsia 2012 demo.

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Finovate Alumni News– January 25, 2013

By David Penn Posted on January 25, 2013
Categories: BillFloat, Cachet Financial Solutions, Concur, Geezeo, Lending Club, Simple, Tradeshift, TransferWise, TSYS, ValidSoft

Silicon Valley Business Journal interviews BillFloat CEO and co-founder Ryan Gilbert.

Commercial Bank of Qatar to deploy latest version of TSYS card and merchant management platform.

TransferWise wins “Best Middleweight Startup” at The Europas. See them demo at FinovateEurope in February!

Concur rolls out new datacenters in France and the Netherlands.

Santander receives 2012 Banking Technology Award for Best Security Initiative for its SIM swapping solution, developed with ValidSoft.

Portland’s KATU.com features Simple.

UK’s KashFlow integrates with Tradeshift to enable SMBs who use its cloud-based accounting software.

The Paypers reports: Geezeo enters 2 new partnerships.

VatorNews considers what’s next for Lending Club.

Cachet Financial Solutions partners with Volunteer Corporate to provide mobile RDC to their 325 member CUs.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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Finovate Alumni News– January 21, 2013

By David Penn Posted on January 21, 2013
Categories: ACI Worldwide, BBVA, Credit.com, Dwolla, Lending Club, Movenbank, Pageonce, SafetyPay

Android Does takes a look at the latest update to Pageonce Money & Bills app.

ACI Wordwide announces winners of its Excellence Award for 2013.

Forbes considers Movenbank’s view of online reputation. See Movenbank demo live at FinovateEurope February 12 and 13.

The Des Moines Register takes an inside look at Ben Milne’s thoughts on the future of Dwolla.

SafetyPay announces record growth: Number of transactions in 2012 increased 149% over 2011, the dollar value of transactions increased by 88.5% in 2012 over 2011.

BBVA announces mobile RDC for iPhone. Come see BBVA demo its new tech at FinovateEurope in London.

Lending Club issues the 100,000th loan on its lending platform.

Credit.com‘s “Credit Cards” app now available on Google Play.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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Finovate Alumni News– January 11, 2013

By David Penn Posted on January 11, 2013
Categories: Bazaarvoice, Equifax, EZBOB, Fiserv, ImpulseSave, Leadfusion, Lending Club, MiiCard, NICE Systems, Prosper, TradeHero, TSYS, Zopa

Bazaarvoice featured in Salon.com.

iOSnoops reviews TradeHero Mobile.

Netbanker considers how Prosper, Zopa, and Lending Club have disrupted lending.

American Banker reports on NICE Systems’ launch of voice authentication technology. Watch its live demo at FinovateEurope Feb. 12 and 13.

P2P Lending News: Zopa CEO talks to BBC Radio.

BostInno talks with ImpulseSave CEO on how it can help with all kinds of New Year’s resolutions.

Equifax partners with DocuSign for easy e-sign and submission of Transcript of Tax Return form.

Fiserv enhances TradeFlow, its post-trade processing solution. Come to FinovateEurope in London to see the live demo of its new technology.

ZDNet looks at how miiCard is solving identity verification headaches.

Digital Journal reports on EZBOB’s battle with Amazon in the small business financing space. See them at FinovateEurope in February.

Leadfusion collaborates with McCulluy Design Lab to get a new look.

Happy birthday, TSYS! Company celebrates 30th anniversary on Friday.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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Crowdfunding (aka P2P Lending): The First Pure Internet-Induced Disruption in Financial Services

By Jim Bruene Posted on January 10, 2013
Categories: Lending Club, P2P Lending, Prosper

I am an unabashed fan of peer-to-peer (P2P) finance (see notes 1, 2). In theory, it makes so much sense to tap Internet efficiencies to match the buyers and sellers of money. On the other hand, there are good reasons to have highly regulated intermediaries, although that system is far from perfect as well. So, I’m looking forward to the hybrids we’ll be seeing in the next few decades.

Back to the present day. In the last 12 years of writing Online Banking Report, only two product launches have made me stop what I was doing and immediately start writing a new report:

PayPal’s launch of P2P payments in 1999 (OBR 54)
Prosper’s launch of P2P lending in 2006 (OBR 127; note 3)

And I believe P2P lending is way more disruptive than what PayPal has done. PayPal introduced a vastly improved front-end to bank checking accounts and credit cards. The company created an extremely valuable franchise (note 4), but the banking system is still intimately involved in most transactions. PayPal stole revenues from acquirers and held a few deposits, but for the most part, had little impact on card issuers.

That’s competition.

However, Prosper, Zopa, Lending Club and the other P2P lending pioneers created virtual banks (taking in deposits and lending the money out) completely separate from existing financial institutions.

That’s disruption.

And it’s about to get way more interesting as the concept takes off in the business financing/investing arena via what’s been called “crowdfunding” (note 5).

Bottom line: If you are a bank, learn to love crowdfunding and P2P. It’s disruptive, yes, but you can harness it to both help those who don’t qualify under your existing underwriting and increase your bottom line (note 6).

————————————

Notes:
Graphic: One of more than 50 books for sale at Amazon about Crowdfunding and Kickstarter.
1. Unfortunately, I’ve backed only one loan so far, earning a nice return on my $100 loan in 2006.
2. We have published three reports in this area (OBR 127 in 2006, 148/149 in 2007, and SR-5 in 2009). We are working on our fourth. It will focus more on equity and debt crowdfunding for small and mid-sized businesses.
3. Zopa 2005 launch in the United Kingdom beat Prosper to market by almost a year.
4. eBay’s market cap is $60 billion, of which a significant chunk is attributed to PayPal.
5. There are hundreds of companies entering this space. We are most familiar with two Finovate alums involved in debt-based crowdfunding (SoMoLend and Rebirth Financial). And we’ve written about equity-crowdfunder CircleUp, which was also featured in the NY Times along with SoMoLend this week.
6. Our latest P2P lending market forecast is contained in the current Online Banking Report here (Jan 2013, subscription).

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New Online Banking Report Published: Online & Mobile Forecast Through 2022

By Jim Bruene Posted on January 8, 2013
Categories: Lending Club, Metrics & Market Research, Online Banking Report, P2P Lending

Our latest research is now available: Online Banking Report 2013 to 2022 Forecast. The report includes our latest 10-year online banking, mobile banking and bill-pay forecast for the U.S. market. Online banking remains relatively flat, growing less than 5%, while mobile expanded by 40% last year (see note 1).

Based on recent mobile growth, we now project that in 2019, mobile account access will equal online account access in the United States (based on household penetration of each service).

The report also includes a revised 10-year forecast for U.S. peer-to-peer lending. After growing almost fifteen-fold in the past three years (2012 vs. 2009), we expect continued strong growth of nearly 30% compounded annually through 2022.

Finally, we took one last look at 2012 and documented the top-10 innovations or trends of the year (see below). We also updated our top-10 project priorities for 2013.

__________________________________________________________________

Top innovations & trends of 2012
__________________________________________________________

The report includes a summary of the top-10 innovations or trends during the past year (in alphabetic order):

Alt-biz lending disrupts commercial lending for the smaller business
Balance forecasting launched by Simple and Key Bank
Banking websites get “simple” makeovers
Digital (cloud) wallets find a value proposition, best-case routing
iPads appear at the POS and new accounts desk
Mobile deposit goes mainstream
P2P lending pops!
Pay As You Go auto insurance launched by MetroMile
Prepaid cards gain as “basic checking”
Virtual gift cards get a boost as Square launches 200,000 in a single day

__________________________________________________________________

New entrants to the OBR Hall of Fame
__________________________________________________________________

Each year we rank the top online/mobile innovations of all time (North America). A total of 48 achievements are listed from 50 companies:

17 banks
5 credit unions
11 non-bank financial services companies
17 fintech companies

The class of 2012 included two new entrants:

City Bank of Texas’s mobile on/off switch for debit cards (powered by Malauzai)
Simple and Key Bank both launched real-time balance forecast tools

__________________________________________________________________

About the report
__________________________________________________________________

Online & Mobile Banking Forecast (link)
The next 10 years: 2013 through 2022

Author: Jim Bruene, Editor & Founder

Published: 7 Jan 2013

Length: 32 pages, 26 tables, 12,000 words

Cost: No extra charge to OBR subscribers, US$495 for others here

————————-

Report excerpt:

Lending Club is the biggest fintech startup success of 2012
The company originated nearly three-quarter billion dollars in new loans in 2012 and surpassed $1 billion in cumulative originations in November.

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Finovate Alumni News– January 7, 2013

By David Penn Posted on January 7, 2013
Categories: ACI Worldwide, Bazaarvoice, Enloop, FIS, GMC Software Technology, Lending Club, Mitek, SaveUp, Simple, SoMoLend, Temenos, TransferWise, Xendpay

ACI Worldwide launches ACI Money Transfer System 5.0.

Suncorp Bank chooses FIS to manage ATM and POS transactions

500Friends to integrate LoyaltyPlus platform with Bazaarvoice.

Xendpay featured in Forbes India.

Financial Edge Community CU partners with SaveUp.

Mitek issued new patent for “Methods for Mobile Image Capture and Processing of Documents”.

The Financial Brand checks out the “Simple” way of banking.

The New York Times looks at SoMoLend’s take on crowdfunding, seeking out institutions to serve as lenders.

New York Times looks at Enloop’s hassle free business plan writing service.

The Economist features Lending Club.

The Telegraph highlights TransferWise as a cost-saving option for overseas money transfers.

Luxembourg’s Nordea Bank picks Temenos to standardize IT infrastructure.

GMC Software Technology helps Gala Bingo move to “third generation” bingo tickets.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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2012 Funding for Finovate Alumni– More than $450 Million Raised

By David Penn Posted on January 2, 2013
Categories: ActivePath, Affinity Solutions, Arroweye Solutions, Banno, Bazaarvoice, Betterment, Boku, Braintree, Capital Access Network, Cartera Commerce, CashStar, Continuity Control, Controlabill, Credit Sesame, Currensee, DemystData, DoughMain, Dwolla, edo Interactive, eToro, Finsphere, FreeMonee, FutureAdvisor, Fuze Network, HelloWallet, Jemstep, Jingit, Kabbage, Kony Solutions, Lending Club, MiiCard, Nutmeg, Pindrop Security, planwise, SaveUp, SecureKey, ShopKeep POS, SoMoLend, The Currency Cloud, ThreatMetrix, Waspit, Xero, Yodlee, Zopa

Here is a list of all the funding Finovate alumni received over the course of 2012.

After an impressive 2011, where more than $423 million was raised, 2012 was even better, with more than $450 raised.

A few stand-out metrics for the year:

A total of 44 companies received funding, some more than once in 2012
Combined, more than $450 million was raised
The best quarter for raising capital was the first quarter when more than $150 was raised
The biggest funding month this year was March, with more than $68 million raised by three companies

Here is a month-by-month breakdown of funding received.

January — $25 million raised by 3 companies

Currensee: $2 million — blog post

Finsphere: $11.3 million — blog post

HelloWallet: $12 million — blog post

February — $57 million raised by 5 companies

Capital Access Network: $30 million — blog post

Dwolla: $5 million — blog post

Jemstep: $6 million — blog post

Kabbage: undisclosed — blog post

Xero: $16.6 million — blog post

March — $68 million raised by 3 companies

Boku: $35 million — blog post

eToro: $15 million — blog post

ThreatMetrix: $18 million — blog post

April — $2.5 million raised by 1 company

miiCard: $2.5 million — blog post

May — $55.5 million raised by 5 companies

Kony: $15 million – blog post

Pindrop Security: $1 million — blog post

SecureKey: $30 million — blog post

SoMoLend: $1.17 million — blog post

Yodlee: $8.3 million — blog post

June — More than $62 million raised by 8 companies

Affinity Solutions: $14.5 million — blog post

Arroweye Solutions: $3 million — blog post

Cartera Commerce: $12.2 million — blog post

Credit Sesame: $12 million — blog post

Doughmain: undisclosed — blog post

Lending Club: $15 million — blog post

Nutmeg: $5.3 million — blog post

Planwise: $200,000 — blog post

July — $6 million raised by 2 companies

Continuity Control: $1 million — press release

SaveUp: $5 million — blog post

August — More than $49 million raised by 6 companies*

DemystData: undisclosed — blog post

FutureAdvisor: $5 million — blog post

FreeMonee: $34 million — blog post

The Currency Cloud: $3.1 million — blog post

CashStar: $5 million — blog post

Continuity Control: $2.25 million — blog post

September — More than $59 million raised by 5 companies

Banno: $2 million — press release

Betterment: $10 million — press release

Edo Interactive: $15 million — press release

Fuze Network: $2.5 million — press release

Kabbage: $30 million — blog post

October — $37 million raised by 2 companies

The Currency Cloud: $1.9 million — blog post

Braintree: $35 million — blog post

November — More than $23 raised by 4 com
panies

ActivePath: $10 million — blog post

Jingit: $7 million — blog post

Bazaarvoice: $6.7 million — blog post

Xero: $49 million — blog post

December — More than $16 million raised by 4 companies

Waspit: $3 million — blog post

Controlabill: $570,000 (A$600,000) — blog post

Zopa: undisclosed — blog post

ShopKeep POS: $10 million – blog post

Clover Networks: $3.3 million – blog post

*In addition to the companies listed for August, On Deck Capital raised $100 million in credit facility commitments.

Note: Funding that companies received before they demonstrated at Finovate was not counted. Questions? Comments? E-mail us at Julie@Finovate.com or David@Finovate.com.

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Finovate Alumni News– December 21, 2012

By David Penn Posted on December 21, 2012
Categories: BillGuard, Capital Access Network, Credit Sesame, Fiserv, Giftly, Holvi, Lending Club, ShopKeep POS, SoMoLend, TradeKing

Compare Broker reviews the new mobile app from TradeKing.

MyBankTracker reviews how BillGuard protects from unwanted charges.

San Francisco Business Times reports: Giftly lets givers put ‘heart’ into gift cards.

Capital Access Network relocates Headquarters to NYC, adds Scott Blum as CMO.

Fiserv partners with TOPS Software to improve payment processing for property managers.

The Washington Post looks at SoMoLend’s community-focused lending.

Forbes names Lending Club one of the top five fintech companies of 2012.

Chicago donut chain “Glazed and Infused” now using ShopKeep POS software.

Wired.co.uk names Holvi startup of the week.

Credit Sesame unveils free credit monitoring service.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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Lending Club Adds Larry Summers to Board of Directors

By David Penn Posted on December 19, 2012
Categories: Lending Club

As if the board of directors of Lending Club was not star-studded enough, the peer-to-peer lender recently announced that former Treasury Secretary Lawrence “Larry” Summers would be joining the team.

In a statement accompanying the announcement, Summers noted that “rapid adoption of technology and innovation” that was creating opportunities for companies like Lending Club. Summers will join such notable as former Morgan Stanley CEO, John Mack, and legendary tech stock analyst, Mary Meeker.

Lending Club is a San Francisco-based peer-to-peer consumer lender. The company recently surpassed $1 billion in total loans issued, and has doubled the volume of its monthly loans over the past eight months. As of December 2012, the average loan amount is $12,300.

This comes even as Lending Club maintains fairly high standards. The typical Lending Club borrower has:

FICO score of more than 700
15% debt-to-income ratio (excluding mortgage)
Personal income of more than $69,000
14 years of credit history

Watch Lending Club’s Finovate demonstration here.

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Finovate Alumni News– December 17, 2012

By David Penn Posted on December 17, 2012
Categories: Affinity Solutions, Andera, BellaDati, Betterment, Bill.com, Fiserv, Giftly, LearnVest, Lending Club, MiiCard, PayPal, Personal Capital, Stocktwits, Tyfone

Fiserv launches mobile app for UChoose Rewards.

Paypal is now a payment option for Office Depot online shoppers.

Affinity Solutions brings “Big Data” capability to card-linked offers.

StockTwits launches a new app for HootSuite.

Business Insider looks at Expensify’s team building trip overseas.

HelloWallet launches financial wellness workforce assessment for employers.

Des Moines Register considers Giftly’s remote gift card giving app.

American Banker reports Lawrence Summers, formerly one of President Obama’s top economic advisors, joins Lending Club’s board of directors.

Tyfone is expanding into Latin America through a deal with Protege Sistemas of Brazil.

Gesa Credit Union chooses Andera’s oFlows platform.

Reuters recommends visiting Betterment, Personal Capital, and LearnVest for year-end money advice.

BellaDati now runs on Amazon Cloud.

Bill.com launches new application platform powered by open APIs for third-party developers to integrate native apps with Bill.com’s software.

New miiCard DirectID Check allows SMBs & professionals to perform bank-level ID proofing online.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

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