Lending Club founder and CEO Renaud Laplanche recently visited the studios of Bloomberg (once again) to talk about his fast growing peer to peer lending platform. In this brief discussion Renaud touches on the fact that Lending Club creates a more efficient market where both lenders and borrowers benefit by capturing more competitive interest rates. Asked how Lending Club would do in a rising interest rate environment (which will, someday, arrive again), Renaud aptly points out their site performs equally as well since their process compresses the spread.
Lending Club was most recently valued at $3.75 billion and has been doubling operations every year. The company is on track to do an IPO later this year.