Lending Club Review

Lending Club ReviewsLending Club is a form of peer lending, which means you won’t be receiving the money you want from big banks, but rather from optimistic individual lenders that want to act like a bank.

They’ve already funded over a billion dollars in loans, so there’s little doubt that the system works, it’s just a matter of seeing if it will work for you, either as a lender or a borrower. They make it a win win win situation between the lender, the borrower, and Lending Club themselves. Borrowers are supposed to get a better rate than they otherwise would, lenders are supposed to earn better interest on their money than other investment vehicles, and Lending Club makes money in the process as well as a sort of matchmaker.

They maintain your privacy as a lender, so you can loan your money without getting personally involved, and they handle all of the collection of payments so you don’t have to do anything out of the ordinary. It functions like similar investments where you simply watch your balance grow as your borrower makes payments.

Lending Club Review

Peer lending is getting more and more popular as individuals keep looking for ways to have their money make money. Ever since Kiva.org came around that let people invest in third world entrepreneurs, the idea of crowd-sourcing and peer lending has been spreading. The Internet has made it possible to connect people from all walks of life, and this is just another example of matching people that need money with people that have money to lend.

Not Your Ordinary Loan
This is not the kind of loan that you would get from a bank, and often you will be given a better rate than if you went through a bank. But individual investors are still doing better than they would with an interest bearing account, and sometimes even beating the stock market. It allows you to tell your story about why you need the money, so people have an extra incentive to choose to lend to you over someone else. The amount you need is also a big variable, with the less money needed making it more likely for you to find a lender.

You Can Invest Too
You can also choose to use this as an investment tool. They have plenty of information on how the process works, and they also have an investment prospectus so you can do your research to see if it works out to be a good deal for you. There’s plenty of ways to make money with your money, but in this economy people are always looking for new ways that can beat the sort of returns you get from a stock market.

Good Credit Needed
This is no second chance sort of loan, and they won’t accept you without good credit, so it’s not likely to be an option for many who are looking for quick money, and they might have to resort to something like a payday loan. They are focusing on giving loans to low risk borrowers. They say that they need your Social Security number in order to give you a rate, but they also say that checking your rate will not affect your credit score. But they are obviously checking your credit to give you the rate, and too many credit checks can affect your credit.

If you’re in need of money and you have bad credit this isn’t going to be the service you would be able to go with, but they will send you off to other lenders that do help with bad credit, such as for car loans and other necessities. You might also want to consider online loans as a possibility as well if you need a larger amount. In these instances when you need larger amounts of money payday loans just won’t cut it.

But as a lender this could be a good way to make money, and they say that you can build your own portfolio, becoming very bank-like as you start your own lending enterprise. With so many stocks making it look like the stock market is iffy at best, you always have to be willing to try new investment methods.

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