Comments on: Lending Club Halts New Lender Registrations and Referral Program Pending Filing with SEC

By: Tom

Tom — Wed, 22 Oct 2008 14:23:59 +0000

Lending Club has opened up their referral program again with Commission Junction.

By: DR

DR — Mon, 14 Apr 2008 09:31:05 +0000

If LC were out of money, shutting down the lender registration program would be the last thing they would do.

By: DebtKid

DebtKid — Mon, 14 Apr 2008 00:51:15 +0000

@ Four Pillars – Lending Club is definitely not out of money. Why would they be funding the loans themselves if they were out of the 10 mil that they recently raised?

Anyway, my thoughts:

http://www.debtkid.com/my-take-on-lending-clubs-sec-registration

By: Four Pillars

Four Pillars — Tue, 08 Apr 2008 17:11:18 +0000

DR – I mean the move to suspend its lending program. I don’t believe this is a cautionary move but rather a sign that they are out of money or have way too many lenders.

I agree the secondary trading market is an excellent idea.

Mike.

By: Scott

Scott — Tue, 08 Apr 2008 14:22:05 +0000

Maybe you can help me understand, but doesn’t selling the loan to an institution kinda smash the whole “community,” “peer to peer” thing?

By: DR

DR — Tue, 08 Apr 2008 12:08:07 +0000

Mike, by “this move” do you mean the registration of debt to create a secondary market or the decision to suspend the lending and referral programs? It seems to me that a secondary market is critical for the long-term success of P2P lending and borrowing. Why Lending Club suspended its lending and referral programs, however, is a complete mystery to me. My best guess is that it was a recommendation from a lawyer who was being overly cautious.

By: Four Pillars

Four Pillars — Tue, 08 Apr 2008 11:31:42 +0000

My analysis is this move is: lame!

Mike