UK based Zopa has warned investors that defaults on high risk loans are rising; Zopa increased originations to high risk borrowers in 2016 and introduced their Zopa Core and Zopa Plus Products; the company originally expected default rates for 2016 at 4.14 percent but have revised that number to 4.93 percent; they also raised their estimates for 2017 loans to these borrowers to be 4.86 percent from 4.52 percent. Source.
When we started LendIt in 2013 I had no idea that China was a hot bed of peer to peer...
Back in January I received an email from Dara Albright, the founder of NowStreet Media, and a well-known conference organizer....
The report will be released on a quarterly basis going forward and will look to cover credit performance trends; highlights of the report include continued credit re-normalization across all major lending groups and consumer installment lenders are not anticipating an increase in loss rates; they also cover the shift in the competitive landscape where more banks are investing heavily in tech and that the US consumer is quite healthy right now. Source.
Online lenders in China have started to self inspect how they run their companies as the government has been a lot more proactive in oversight than in year’s past; the government fears that borrowers are becoming over indebted and are borrowing to pay back other lenders; some of the top lenders fear the government crackdown could cause other panic and trigger outcomes that would be even worse than a few online lenders shutting down; right now it seems as if lenders are in limbo wondering what the future will hold. Source.
Member platforms of the UK Peer to Peer Finance Association (P2PFA) are close to crossing more than $12bn in total loan originations; P2PFA small business lending platforms have recently increased lending and helped the origination number to grow significantly. Source.
The bill is sponsored by New York State Senator Elaine Phillips; it would allow the Department of Financial Services to...
The UK is still Funding Circle’s biggest market but expansion to new markets and improved performance from established foreign markets...
After considerable outcry the Cleveland Fed has removed their study about online lending; “In light of the comments received, the authors are currently revising their paper to further clarify the data sample they used in the study,” Cleveland Fed spokesman Tim Dewald said in an email to American Banker; they plan to post a new version of the paper after completing significant revisions. Lend Academy also covered the removal of the report after posting about the release last week. Source.
Two highly respected fintech companies have formed a strategic partnership to help develop underserved markets; Vervent and Finitive have experience...