• Subscribe
  • Contact Us
  • About LendIt Fintech News
  • Home
  • Menu Item
  • Menu Item
  • Menu Item
  • Menu Item

Lend Academy

LendIt Fintech News: Daily Coverage of Fintech & Online Lending


  • Editorial
  • Daily News
  • Podcast
  • Investor Forum
  • Events

Lending Club and Prosper Issue $222 Million in New Loans in August

August 30, 2013 By Peter Renton 5 Comments

Views: 900

We come to the end of another month and as expected another strong performance was recorded by both Lending Club and Prosper. The total volume of new loans issued between the two companies stood at $221.7 million in August up from $203.8 million in July. It is pretty simple math to see that the industry is on an annual pace of $2.7 billion in new loans. We are not going to be far off that number for 2013 I expect.

Lending Club Issues $190.3 Million in New Loans

Lending Club continues to grow as fast as they reasonably can. I am no longer surprised by their growth numbers because they are remarkably consistent month in month out. They nearly always show growth in the 7-10% a month range and August, being a long month, was at the top end of that range.

This month saw a new influx of investors to Lending Club and so it became even more competitive during those frenzied couple of minutes after the loans are added four times a day (6am, 10am, 2pm, 6pm PT). Long time investors are finding it very difficult to find enough loans using their standard filters – in this new competitive environment we have to adapt if we want to remain fully invested.

This month I am starting some new analysis of the loan data for the month. Here are some of the highlights for Lending Club – if you would like to see some specific stats let me know and I will be sure to include them next month.

Average loan size: $13,653
Percentage 36/60 month loans: 75%/25%
Average interest rate: 15.6%
Percentage of whole loans: 25.2%
Average FICO score: 698

Below is Lending Club’s 18-month chart, the black line is their always impressive 3-month moving average.

Lending Club 18-month loans volume through Aug 2013

Prosper Issues $31.4 Million in New Loans

Prosper turned in another solid month albeit at a slower growth rate than in previous months. They continued their strong upward trend of the last six months with a record $31.4 million in new loans issued in August up from $30.3 million in July.

Prosper had a very steady and consistent month. For most of the month there were always between 50 and 120 loans available for retail investors and I have been able to keep both my accounts at Prosper fully invested. Loans are added less often at Prosper (9am and 5pm PT on weekdays, noon on weekends) and there is less of a frenzy among investors with each new addition.

Here are some more numbers from Prosper’s month:

Average loan size: $10,262
Percentage 36/60 month loans: 57%/43%
Average interest rate: 18.2%
Percentage of whole loans: 49.8%
Percentage of repeat borrowers: 23.9%

Below is the 18-month chart for Prosper showing the strong growth of the last six months.

Prosper 18-month loan volume chart through Aug 2013

Filed Under: Peer to Peer Lending Tagged With: Lending Club, monthly charts, Prosper

Views: 900

Comments

  1. Simon Cunningham says

    August 30, 2013 at 10:01 pm

    Wow great idea with the monthly stats Peter. Do you think its possible that the demand for borrowers will lower the average interest rate in the coming months? Or perhaps adjust these numbers in other ways?

    Reply
    • Peter Renton says

      August 31, 2013 at 7:47 am

      Good question Simon. It is certainly possible that investor demand will cause a downward trend in yields. I am actually working on an article on that very topic right now.

      Reply
  2. Scott Foster says

    September 17, 2013 at 8:33 am

    What % of lenders are using IRA funds?

    Reply
    • Peter Renton says

      September 18, 2013 at 2:09 pm

      That is a good question and not one I have an answer to I am afraid. Not sure if the platforms will share that with me but I will check.

      Reply

Trackbacks

  1. Lending Club, Prosper & Ratesetter Hit New Highs; Zopa to be more Mobile Friendly | CommunityLoan says:
    September 1, 2013 at 11:32 pm

    […] Record Month of August for Lending Club & Prosper (Yet Again) […]

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Investor Intelligence

Peter Renton's Returns

Investor Forum

Lending Club Review

Prosper Review

Investor Resources

Most Popular Editorials

The Pure Marketplace Lending Model is Dead, the Hybrid Takes its Place

The 2018 Lending Club and Prosper Tax Guide

My Returns at Lending Club and Prosper

Map of Available States for Lending Club and Prosper Investors

Banks and Marketplace Lending Platforms: Ideal Partners?

Subscribe to the Podcast

Subscribe to the Lend Academy Podcast on iTunes
Subscribe to the Lend Academy Podcast
List of Podcast Episodes

Archives

Follow @LendAcademy Follow @LendIt

ABOUT LENDIT FINTECH NEWS

LendIt Fintech News, Powered by Lend Academy, has been bringing you all the news and information about fintech and online lending since 2010 when it was founded by Peter Renton. We not only have the industry’s most active news site, but also the largest investor forum and the first and most popular podcast.

We are a team of fintech enthusiasts who have been covering the industry for many years. With a deep knowledge of online lending, digital banking, blockchain, artificial intelligence and more our team covers the daily news and writes in-depth editorials.

Recent Editorials

  • Top 10 Fintech News Stories for the Week Ending January 23, 2021
  • Podcast 282: Catherine Berman of CNote
  • Crypto Custody Gets Shot in the Arm from Goldman & Anchorage
  • LendingClub Receives Final Approval for its Acquisition of Radius Bank
  • Top 10 Fintech News Stories for the Week Ending January 16, 2021

Copyright © 2021 · Metro Pro Theme on Genesis Framework · WordPress · Log in