Lending Club is an innovative peer-to-peer lending company which allows members on its website to borrow and lend money to one another. Because of the way that lending laws are setup, Lending Club must past compliance in each state that it does business in. As a result, Lending Club isn’t available in all states. Fortunately, Lending Club is available in most states and recently began offering its services in North Carolina and Kansas.
There are a few states that borrowers cannot get Lending Club loans on. The only states that borrowers can not currently borrow from include IA, ID, IN, ME, MS, ND, NE, or TN. The loans that are issued by Lending Club re issued by WebBank, an FDIC insured bank based out of Salt Lake City.
If you’re an investor, you can make loans on Lending Club in one way or another in all 50 states. Some states may require you to be an accredited investor to participate in Lending Club’s website, but there’s really not much checking that either Lending Club or states do to make sure that you meet that qualification. Investors in the few states that Lending Club doesn’t do business in can still by Lending Club notes on Lending Club’s secondary Foliofn market.
About Lending Club
Lending Club is a peer lending network bringing together investors and creditworthy borrowers. Lending Club eliminates the high cost and complexity of traditional bank lending to offer borrowers better rates and investors better returns. Lending Club was recently recognized as one of the 20 “Breakthrough Ideas for 2009″ by Harvard Business Review, has been nominated for “Top 100 Innovators” by The Industry Standard, is on the JMP Hot 100 list, and the AlwaysOn Global 250 Top Private Companies list. In addition Lending Club won the Webby Award in 2008 for the “Best Banking Website”. Founded in 2006, Lending Club is headquartered in Redwood City, CA. More information is available at: http://www.lendingclub.com.
Loans are not issued in IA, ID, IN, KS, ME, MS, NC, ND, NE, or TN. Loans are issued by WebBank, an FDIC insured Utah chartered industrial bank located in Salt Lake City, Utah. Borrowers must be US citizens or permanent residents and at least 18 years old. Valid bank account and social security numbers are required. All loans are subject to credit approval.
