Marketplace lending

The Treasury Department has recently solicited input on how to improve marketplace lending. Here are four ways to help improve access to credit.

The American Bankers Association is deemphasizing the crisis-era fight over regulation and refocusing on the rising competitive threat posed by technology companies.

CEOS of midsize banks traveled to Washington recently to seek relief from some of the more onerous regulations that they say are making it harder for them to compete with both big banks and largely unregulated marketplace lenders that are aggressively going after their customers.

Marketplace lenders are still so new that their business model is untested and unproven, raising fears both for consumers and the industry at large, Federal Deposit Insurance Corp. officials and several bankers said Thursday.

Raj Date, the consumer bureau's former deputy director, said Thursday regulators need to be flexible, responsive and use discretion when it comes to dealing with financial technology startups.

The relevant question is no longer whether new regulations will come for the fast-growing industry, but what form they should take.

Revenue growth outpaced rising expenses at OnDeck Capital during the third quarter, allowing the fast-growing small-business lender to turn a profit.

Los Angeles-based marketplace lender AssetAvenue has named a new chief executive.

Now the question is: will online portals become a significant source of financing for U.S. small businesses, or will red tape get in the way?

American Banker readers share their views on the most pressing banking topics of the week. Comments are excerpted from reader response sections of AmericanBanker.com articles and our social media platforms.

Lending Club rebounded to profitability in the third quarter as revenue growth at the nation's largest marketplace lender outpaced an increase in operating expenses.

Antonio Weiss, a counselor to Treasury Secretary Jack Lew, called Thursday for greater transparency in the pricing of online small-business loans.

"At some point there will probably be a government agency telling us to do this. So why not start now?" says MultiFunding CEO Ami Kassar.

Customers Bancorp in Wyomissing, Pa., is building an online borrowing experience for its small-business clients.

The ease of comparing rates online will make it hard for industry pioneers like Lending Club and OnDeck to keep generating high-margin loans, some observers believe.

Skills Fund, which has raised $11.5 million in seed capital, is one of several lenders targeting students hoping to boost their salaries by quickly learning how to write computer code.

OnDeck Capital, Lending Club, Funding Circle and Kabbage in the last week have all announced moves designed to boost their loan volumes.

Springleaf's proposed acquisition of Citi's OneMain Holdings is being delayed by the Justice Department, which appears focused on preserving competition at the local level — even as a raft of new subprime installment lenders are popping up on the Web.

American Banker readers share their views on the most pressing banking topics of the week. Comments are excerpted from reader response sections of AmericanBanker.com articles and our social media platforms.

The pioneering online lender Kabbage has raised $135 million in new equity financing, with three large multinational banks among the lead investors, the company announced Wednesday.