Commercial lending

KeyCorp in Cleveland posted higher third-quarter profits as revenue soared on growth in fee income from its investment banking business.

Bank of America's long effort to become a slimmer, more profitable retail bank could be starting to pay off. In a tough quarter for revenue growth, its consumer banking division gained traction thanks to branch consolidation, investments in mobile banking and other factors.

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.

Results from the largest U.S. bank, and the first major player to report on its latest quarter, showed widespread revenue strains and only added to questions about the industry's growth prospects in the near future.

Banks are being "unbundled" by challengers in numerous business lines, but they can recapture the relationship with the help of technology and the right mindset.

IMGCAP(1)]

OnDeck Capital has hired Gary Fearnall as its country manager for Canada.

The digital-age industry sells borrowers on its speed. But it remains captive to outdated technology that can delay the delivery of funds by several days.

It started out as a chat over dinner and cocktails between a director of Trans Pacific National Bank and Dr. Robert Murray, a part-time physician for the San Francisco Giants.

After unveiling an online loan for subprime borrowers in July, ZestFinance announced Tuesday that it has raised $150 million in debt to finance the product’s growth.

Kabbage is one of many nonbank lenders looking to partner with traditional financial institutions. But the firm is facing a tough sell with bankers who worry about the risks associated with ceding control of the loan-underwriting process.

Consumer advocacy groups are urging regulators to take a closer look at how alternative lenders are using the stockpiles of personal information they collect.

While large banks are risk-averse, conformist and bureaucratic, marketplace lenders are inspiring the best and the brightest with their high-energy cultures.

Banks worldwide are in danger of losing significant profits in several lending areas to nonbank alternative lenders, according to a McKinsey study.

Avant, an online lending platform that focuses on borrowers with marred credit, announced an agreement Wednesday to raise $325 million in equity financing from blue-chip investors.

In comments to the Treasury Department, traditional financial institutions are calling for more oversight of an industry that is fast becoming a big competitive threat.

Bankers need to show they are in control of relationships with outside vendors, must be ready to respond to M&A-related protests and should be as concerned about economic growth as interest rates, according to the St. Louis Fed's supervisory chief.

Former Citigroup Chief Executive Officer Vikram Pandit is part of a group of investors plowing $5.9 million in a new digital exchange aimed at making it easier for smaller investors to buy loans made to mid-sized companies.

Credible, a comparison shopping site for private student loans, announced that it has raised $10 million from a group of investors that includes some big names in marketplace lending.

Cloud Lending Solutions, a technology provider to marketplace lenders and other finance companies, announced that it has raised $8 million in venture funding.