>Peer-to-Peer Lending Continues to Grow

This entry was posted by Thursday, 13 September, 2007
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My colleague Josh has posted on the emergence of peer-to-peer lenders before, but it bears repeating:

These tools are not going away. In fact, quite the opposite.

In his his original post, Josh pondered, “How successful Lending Club will be…remains to be seen.” Well, in a post today, TechCrunch notes “Lending Club, the Facebook exclusive person-to-person lending service has passed the $1 million mark in loans to Facebook users.”

That’s not all, to me the big story is the timeframe – “The milestone comes just short of 3 months since the the site hit the $100,000 mark, and 3 1/2 months since going live as an original Facebook Platform partner.” It took less than four months to hit $1 million in loans. The average loans is about $4,700 to $5,250. How many credit unions can say that?

Lending Club will also announce today that they will expand to thousands of alumni associations and professional organizations.

For more information:

Filene recently released a report on peer-to-peer lending here. My favorite nugget from the report is where author George Hofheimer notes, “I had presented the P2P lending model to him [a CU lifer] and a group of credit union executives. What struck this experienced CEO was the similarity between credit unions in the 1950s and P2P lenders today.”

That’s right folks – History is repeating itself. Credit unions need to get back to their roots.

Other peer-to-peer sites of note:

Related articles:

Finally, a shameless (but related) plug – The CUNA Councils just released a great white paper entitled, Member and Staff Retention in a Gen Y World. More info is here.

3 Responses to “>Peer-to-Peer Lending Continues to Grow”

  1. Rex

    >Thanks for the coverage! Remember: BLOG = http://blog.lendingclub.com

    NEW outside of Facebook p2p lending – open for everyone – http://www.lendingclub.com

    Rex Dixon
    Director of Social Media Content
    Lending Club

  2. Christopher Morris

    >Thanks Rex…Director of Social Media Content?

    I want that job!

  3. George Hofheimer

    >Thanks for quoting the Filene publication. The sbsolute numbers of p2p lending are small, but revisit the wisdom of Clayton Christensen about how innovators enter established marketplaces.

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