Attached files
| file | filename |
|---|---|
| EX-99.1 - EXHIBIT 99.1 - LendingClub Corp | pressreleaseddated102516.htm |
| 8-K - 8-K - LendingClub Corp | form8-kon102516money2020.htm |
Scott Sanborn, President & CEO
Safe Harbor
Some of the statements in this presentation are "forward-looking statements." The words "anticipate," "believe,"
"estimate," "expect," "intend," "may," “outlook,” "plan," "predict," "project," "will," "would" and similar expressions
may identify forward-looking statements, although not all forward-looking statements contain these identifying
words. The Company may not actually achieve the plans, intentions or expectations disclosed in forward-looking
statements, and you should not place undue reliance on forward-looking statements. Actual results or events
could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. The
Company does not assume any obligation to update any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by law.
Information in this presentation is not an offer to sell securities or the solicitation of an offer to buy securities, nor
shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful
prior to registration or qualification under the securities laws of such jurisdiction.
Additional information about Lending Club is available in the prospectus for Lending Club’s notes, which can be
obtained on Lending Club’s website at https://www.lendingclub.com/info/prospectus.action.
P2P Loans Gaining
Traction. Lending Club
Goes Nationwide
Posted Dec. 13, 2007
TechCrunch
2007
Scalability Credit
Performance
Regulatory
Risk
Bank
Competition
Material questions loomed…
Lending Club
Other Online
$0 B
$5 B
$10 B
$15 B
$20 B
2010 2011 2012 2013 2014 2015
Source: TransUnion, Lending Club analysis. Chart represents marketplace lending as a percentage of U.S. personal loans (24% in 2015). Bar graph reflects Lending Club as a portion of
personal loans facilitated through marketplace lenders.
24%
of US personal loans
#1 Provider
35%
lower
$1,000
saved
Based on approximated $1,030 avg. annual savings, calculated based on approximated $13,500 avg.
loan size (as of December 31, 2015, standard program borrowers only), and 760 basis points average
savings. Average savings based on responses from 12,728 borrowers in a survey of 66,493 randomly
selected borrowers conducted by Lending Club from January 1, 2015 – January 1, 2016. Borrowers
who received a loan to consolidate existing debt or pay off their credit card balance reported that the
interest rate on outstanding debt or credit cards was 20.7% and average interest rate on loans via
Lending Club is 13.8%. Unsecured loans via Lending Club feature rates from 5.99% to 35.89% APR
and origination fees from 1% to 6%. Average origination fee is 5.13% as of Q2 2016. Best APR is
available to borrowers with excellent credit. All loans originated and issued by WebBank, member FDIC.
5-8%
average
returns
$2.1B
interest
Based on adjusted net annualized return (Adjusted NAR) of current investors with a portfolio
containing 100+ Notes, none of which have been purchased or sold on the Folio Investing Note
Trading Platform¶, where the portfolio concentration is one percent or less (i.e. no Note constitutes
greater than one percent of the total portfolio value) and the portfolio has a weighted average age of at
least 12 months (weighted based on the dollar value of each Note relative to the total dollar value of
the portfolio, where the age of each Note is measured as of the purchase date of such Note).
Adjusted NAR is calculated using the formula described here. This information is not intended to be
investment advice. Historical performance is not a guarantee of future results. Actual results may differ
materially from historical data. Lending Club Notes are not guaranteed or insured, and investors may
lose some or all of the principal invested. Individual portfolio results may be impacted by, among other
things, the size and diversity of the portfolio, exposure to any single Note, Borrower, or group of Notes
or Borrowers, as well as macroeconomic conditions. All loans originated and issued by WebBank,
member FDIC.
Sources: Lending Club, SoFi, OnDeck, Bloomberg. 1 Based on BISG analysis of Lending Club business loan borrowers, benchmarked to 14.6% representation of minority-owned businesses in traditional retail bank
loans, as per Usman Ahmed, Thorsten Beck, Christine McDaniel, and Simon Schropp, “Filling the Gap: How technology Enables Access to Finance for Small- and Medium-Sized Enterprises.” innovations / volume 10,
number ¾, 2016.
$17,000+
The average SoFi
student refi borrower
saves more than
$17,000.
$5B+
OnDeck has lent
more than $5 billion
to small businesses.
2X
Lending Club lends
to minority-owned
businesses at nearly
double the national
average rate.1
Regulation Downturn
Readiness
Consumers
expect more
from their
technology...
and their
banks.
VIDEO RENTAL MUSIC TRAVEL BANKING
?
13
$1.1T
Unsecured
Consumer
Credit
$0.3T
Small
Business
$1.2T
Auto
Loans
$1.3T
Student
Loans
$8.6T
Mortgages
Source: Federal Reserve
14
15
16
$1,000,000,000,000
80%
Of the $1 trillion owed,
80% of the debt comes
from cars purchased
through a dealership.2
6.78%
Base APR
1-3%
Dealer Markup3
1. New York Fed; Equifax. 2. Center for Responsible Lending: The State of Lending in America & Its Impact on U.S. Households; McKinsey innovation report. 3. Dealer sales figures
from NADA Data 2010 report; rate markup volume calculated from 2010 National Automotive Finance Association survey and CNW Marketing data. 4. Dealer sales figures from NADA
Data 2010 report; rate markup volume calculated from 2010 National Automotive Finance Association survey and CNW Marketing data.
1
$25 Billion 4
17
$1,000,000,000,000
80%
Of the $1 trillion owed,
80% of the debt comes
from cars purchased
through a dealership.2
6.78%
Base APR
1-3%
Dealer Markup3
1. New York Fed; Equifax. 2. Center for Responsible Lending: The State of Lending in America & Its Impact on U.S. Households; McKinsey innovation report. 3. Experian Automotive
Finance Market, Q4 2015. 4. Dealer sales figures from NADA Data 2010 report; rate markup volume calculated from 2010 National Automotive Finance Association survey and CNW
Marketing data
1
$25 Billion 4
8.78%3
U.S. Average APR
19
1-3%
Lower APR on
new auto loans
through Lending
Club.1
Real
Savings
A 2.5% interest
rate reduction could
translate to $1,350
in savings on the life
of the loan.1
1. Based on analysis of 300,000 consumer accounts from Q4 2012 to Q3 2013 using credit bureau data. Assumes the consumer refinances with the lowest rate for which they are eligible and does not extend the term of
the loan. Savings figure is based on a refinance from an average APR of 11.45% to an average APR of 8.2% and 60 months remaining on the term of the loan. Your actual savings may be different. A representative
example of payment terms are as follows: an Amount Financed of $18,000 with an APR of 8.20% and a term of 60 months would have a monthly payment of $366.70. All loans made by WebBank, member FDIC. APR is
the Annual Percentage Rate. A borrower’s actual rate depends upon individual credit score and other key financing characteristics, including but not limited to the amount financed, term, a loan-to-value (LTV) ratio and
other vehicle characteristics. Best APR is available to borrowers with excellent credit. APRs range from 2.49% - 19.99%.
Value.
40+
Fields
VIN number
Current loan balance
And more!
21
Takes less than 1 minute to apply,
with no impact to your credit score.1
2
3
Instantly receive offers you
qualify for and see the savings.
Complete the process online
from virtually anywhere.
No application fees, origination
fees, or prepayment penalties.4
Lender 1
Lender 2
22
For investors
Stable
Secured
Asset
23
S&P U.S. Auto Loan ABS Tracker: October 2013, http://morningconsult.com/opinions/columns-subprime-auto-loans/. Historical performance is not a guarantee of future results. Actual results may differ materially from
historical data.
0%
1%
2%
3%
4%
5%
6%
Apr-2006 Feb-2007 Dec-2007 Oct-2008 Aug-2009 Jun-2010 Apr-2011 Feb-2012 Dec-2012 Oct-2013 Aug-2014 Jun-2015 Apr-2016
S&P/Experian Consumer Loan Default Index
S&P/Experian First Mortgage Default Index
S&P/Experian Auto Default Index
24
For investors
Stable
Secured
Asset
Access to an
In-Demand
Asset Class
25
Consumer
Credit ?
?
?
Auto
Small
Business
Credit
3%
Average
estimated
return
26
For investors
Huge
Opportunity
Stable
Secured
Asset
Access to an
In-Demand
Asset Class
$1Trillion
(total outstanding)
$283 Billion Immediately addressable market
Consumers refinanced more than $40
billion last year, but we estimate that nearly
twice as many could have refinanced if the
process had been easier.
28
Value. Ease. Fairness.
Personal
Loans
Patient
Finance
Small
Business Auto
All loans originated and issued by WebBank, member FDIC.
Marketplace Lending
is just getting started.
29
