Since the start of the COVID-19 pandemic, struggling SMEs and SMBs have found it more difficult to find the capital they need to survive. At the same time, alternative lenders like fintechs have had to adapt their plans in order to continue being a reliable source of financing. Such creativity will still be needed in 2021 as more opportunities arise.
Reuters reported that U.S. online lenders such as LendingClub, Kabbage and Avant are scrutinizing loan quality as they prepare for an economic downturn.
Overall, American small business owners are approaching 2019 with economic optimism and increased confidence, according to a survey from small business financing company Guidant Financial and online credit marketplace LendingClub.
LendingClub hired technology veteran Bahman Koohestani as the company’s chief technology officer. Koohestani will report directly to CEO Scott Sanborn.
LendingClub Warehouse, a wholly-owned subsidiary of fintech lender LendingClub, entered into a warehouse credit agreement with JPMorgan Chase as administrative agent.
Bloomberg reported that online lender LendingClub is in talks with Citigroup to arrange more funding to support its lending platform.