Posted by David Felt Wednesday, December 06 2017 at 1:37 PM Raj Date is on the money. Notice that the anonymous critics cannot argue with his logic; they merely criticize the fact that his comments are somewhat self-interested because he is on Prosper's board. As for "Common Sense," whoever the heck that is, banks do need incentives to make small loans to underserved populations, given that the costs to underwrite the risks of this type of unsecured credit often exceed the permitted return under state usury laws. Posted by Mary Jackson Tuesday, December 05 2017 at 3:27 PM I believe American Banker should not post comments from those who masked their identities. If banks would or could lend to the underbanked, then why is there so much noise in the marketplace that they don't or have been unable to? Please let us know how many bankers make a $500 loan to a 600 FICO score borrower whoever you are. Posted by Common Sense Tuesday, December 05 2017 at 11:16 AM I smell a self interested article here. Mary Jackson, banks have always been in the lending business and don't need fintechs to "spur them into lending". In fact it is in the banks best interest to lend as much as possible to maximize profits. Posted by Mary Jackson Tuesday, December 05 2017 at 10:22 AM The author's knowledge of how these arrangements work for the benefit of underserved communities is spot on. Fintech companies can spur the banks back into the lending business. Look at he results of banks performing with these arrangement. Ask their customers. Most loans are at 36% APR which is only $30 for $1,000 borrowed in a month. Posted by Skeptic Monday, December 04 2017 at 1:09 PM Why isn't it disclosed here that Raj Date is on the board of directors of Prosper, a marketplace lender that is directly impacted by Madden because of its rent-a-bank arrangement with WebBank? That seems like a pretty important fact for evaluating Date's argument. Posted by Pourquoi Monday, December 04 2017 at 10:44 AM True enough: Cordray won't be "keeping an eye" on these companies anymore. One hopes it will be someone with eyes less clouded by ideological bias. Maybe someone with respect for due process, honest and fair application of law, an understanding of business and an appreciation for accountability of government. The very possibility of that is cause enough for celebration.