Every Saturday I bring you the latest news from the world of peer to peer lending. These are the best of the news articles and blog posts from around the web that I shared on Twitter this past week.
Well it was quite a big week for peer to peer lending coverage. We had the big story of John Mack joining the Lending Club board that was covered by just about every business publication in the country – I just shared two articles below (from CNNMoney and Businessweek) of the more than 50 that showed up in my Google Reader about this story.
Also this weekend the Wall Street Journal has a big feature article on peer to peer lending in the weekend edition of their newspaper. It is one of the best articles I have read in a long time, it provided plenty of information I didn’t know. It also features comments from our friend Ken over at Lendstats who as usual is right on the money. Enjoy your weekend.
Wall Street Journal – Would You Lend Money to These People?
The Independent (UK) – Money Insider: Peer-to-peer lending shows some longevity
Lucrative Lending – Sell My Note from Lending Club on FOLIOfn: There is No Honor Going Down With the Ship
SweatingTheBigStuff – Lending Club Returns at 13.71% in April 2012
CNNMoney – Mack is back: Wall Street’s new agitator
Businessweek – Lending Club names John Mack to board
Pinch That Penny – Lending Club Update – April 2012
Stltoday.com – ‘Social lending’ firm must refund investors
Myintroducer.com (UK) – RateSetter.com enjoys 100% growth in 6 months
Dun & Bradstreet – Is Peer-to-Peer Business Lending a Viable Financing Option?
MSN Money UK – Encash: a new rival for Zopa, RateSetter and Funding Circle
Data Science Hacking – Lending Club Loan Analysis: Making Money with Logistic Regression
Cult of Money – A late payment scare, P2P update
What about the story of Lending Club failing to renew it’s license in Missouri since October 2010 and losing $500,000 is that something not to be spoken about? Who was responsible for this and was anyone fired, or Lending Club says hell why not we’re anyway not profitible and the red is limitless?? http://www.sos.mo.gov/news.asp?id=1087
Moe………..Actually they lose $150k in fines paid, not $500k. The $500k in loans don’t simply dematerialize into nothingness. LC just moves them into their own account after refunding investors…………..so it’s pretty much a wash, less any defaults.
It was more like 200 with the 8% annual interest paid, but it really doesn’t matter how much money it was, the point is what kind of serious company forgets to renew their license? And now they don’t even release a statement about it, is it all a joke to them?
@Moe/@Dan, It does seem to be a glaring oversight on LC’s part. Surely, you would put a tickler for the due date of every state registration and make sure you act on it. Apparently not. But LC are not the only ones who suffer from this, Prosper has also made errors in their registrations in the past.
I am sure the LC lawyers are looking forward to the day when they can do an IPO and then bypass all these finicky state regulators.
“With the ability of liquidating late notes on the FOLIOfn secondary market, there is really little reason to hang on to a note until it defaults. If you do your due diligence and act early, you should be able to get a fair, market price from a buyer”
Fair for the seller or fair for the buyer of the note? 🙂