The Lending Club has, possibly, the best name in the world of online lending. Branding plays a major role in whether or not people remember a company. Names also reveal exactly what it is a company does. The Lending Club absolutely has a memorable moniker that tells people what type of business endeavors the firm is involved with.
There are a few details about the company not revealed in its name. While the company is absolutely involved in the business of lending, there is a specific target marker the Lender Club seeks to connect with. Certain online lenders are considered the last hope for persons with bad credit. The Lending Club exists at the other end of the spectrum. The financial institution hopes to connect with those with solid credit with better interest rates.
Borrowing From The Lending Club
The Lending Club can be deemed a pioneer in the world of online lending. The company has a lengthy history having been founded in 2007. The Lending Club has been extremely successful with online lending. Contributing to the company’s success has been its very lengthy and detailed application process. Borrowers looking for a quick approval and an equally quick receipt of funds probably should look elsewhere.
Stellar credit and high income are both necessary to be approved for a loan. Since investors direct money to the company for lending purposes, a lot of extra work is performed to make sure the investors do not suffer unnecessary risk.
A unique grading process is performed when people apply. The company assigns a grade to the applicant. The grade is then viewed by investors who choose whether or not to facilitate a loan. Two investors must approve an applicant in order for the loan to go through.
Persons with excellent credit can expect an interest rate below 11%. The introductory rate at the Lending Club is a generous 5.99%. Certain qualified borrowers might even be presented with a quote for 4.99%, which would be tough to find at very many places. For some, a 7% interest rate could be deemed outstanding. The Lending Club really does seek to provide solid rates to highly-qualified borrowers.
Applying For A Loan
The process of borrowing from the Lending Club entails filling out a preliminary qualification application. The application is then screened for approval down the pipeline. A more detailed and more scrutinized application will be necessary for final approval.