Lending Club (NYSE:LC) has added three more states, along with the Disrict of Columbia, to the list of states that retail investors may now invest in Lending Club loans. Michigan, Kentucky and Alabama bring the number of states to 41 (plus DC). Previously only accredited investors were able to invest in Kentucky.
Lending Club CEO Renaud Laplanche stated;
“Individual investors continue to be key to the long term growth and efficiency of the Lending Club marketplace, and are fueling many of the network effects that have helped the platform to double again over the last 12 months. There are now well over 100,000 active retail investors participating in the Lending Club marketplace, and we’re excited that investors in 42 states and our nation’s capital can now enjoy the benefits of investing in consumer credit, an asset class that was previously only available to banks and large institutions.”
Investors on the Lending Club platform can invest in loans in increments as low as $25, diversifying across hundreds or thousands of borrowers, to quickly and easily build a portfolio that fits their investment objectives. Each fraction of a loan is invested in through a Note. Lending Club Notes have Net Historical Returns by Grade A-C of 5.23% to 8.82%.* Among investors who own 100 or more Notes of similar size representing loans to different borrowers, 99.9 percent have seen positive returns.