Author Topic: Lending Club - Time to panic?  (Read 34206 times)


  • Pencil Stache
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Re: Lending Club - Time to panic?
« Reply #200 on: August 11, 2017, 11:28:34 AM »
I did a small experiment with Lending Club (just $2K) starting in Sept. 2012.  I had a good run for several years (8-10% return on D-G loans) and I started pulling the money out about a year ago.  I initially tried selling my loans, but I got no bites so I've just been transferring out cash every two weeks as they pay off.  Once the return started to dip into the 5-6% range, I felt like it wasn't worth it, especially since I was hand-selecting the loans.  I've still got over $900 in loans out there, and I'll just keep transferring out the cash.


  • Handlebar Stache
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Re: Lending Club - Time to panic?
« Reply #201 on: August 13, 2017, 05:35:49 AM »
It was interesting this week, I got to hear from a respected regional bank CEO when asked about online lenders:

"Lending money is easy, anyone can do it.  What they haven't figured out is how to collect money.  That's the expensive infrastructure to build and they're decades behind the banks"

I thought that was interesting, he complimented their origination platforms, but the problem in banking/lending is nothing is proprietary/patentable and its heavily regulated.   If one institution figures out a new way to acquire customers, everyone else quickly follows and returns get back to the median.  I think we've seen that with Lending Club and the consumer banks like Capital One and Citi now offering unsecured loans.
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  • 5 O'Clock Shadow
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Re: Lending Club - Time to panic?
« Reply #202 on: August 19, 2017, 08:07:11 PM »
What are you guys using to liquidate? How do I do it? Would rather pull the cash out than wait for the loans to expire.