Are you sick and tired of the boring interior decorations of your home or do you simply want more spacious rooms? Are you very interested in hiring home renovation experts such as contractors and interior designers that have enough experience and knowledge to successfully do the job? Do you want to start with this project immediately but do not have enough money to do such? Then worry no more because the Lending Club is the answer to all your problems.
The Lending Club is a peer-to-peer lending company that allows those people who have extra money to invest in their business that will have big returns in the form of interest. The interest rate will be based on the credit history of the borrower. Likewise, every investor also has the chance to choose where exactly they want to put their money in. To be one, you should first register and open an account then transfer funds to it. The next step is to select which loans you want to invest in which is where the amount of interest to be earned and the risk you are willing to take. Every loan has a corresponding ranking from A to G. A is the most secured but comes with a lower risk and escalades to G which is the least secured but comes with higher returns.
If you are worried about this form of investment, then maybe you can be secured by the fact that they have funded more than $140 million in just one month and an overall investment that amounts to a whopping $1.7 billion since 2006. Not bad for a company who is still in the introductory stage in the lending field. For investors who are interested but is also concerned with what kind of measures the company has in order to find a solution to borrowers who fail to repay their loans, then here’s the explanation. First and foremost, they follow a screening process that is very strict. As a matter of fact, the rate of those who are eligible for a loan is down to only 10% out of all those who are applying. This is because every borrower should have a credit score not lower than 660. This almost eliminates 50% of all the applicants. Secondly, there shouldn’t be any late payments reflected on the last year of credit report. This removes almost 25% of the 50% who passed the first level or standard. These people who gets funded are those considered who have a good credit standing and surely has the capacity of paying back whatever money they borrowed. This serves as the best protection for all investors who have put in their hard earned money into this company.
For those individuals who needs money or have extra savings that they want to invest into something, you can consider going into the Lending Club. For more valuable information about the company, visit this link and for sure all your concerns will be washed away. http://dealbook.nytimes.com.