Peer to Peer Lending for Home Improvement Loans

Home » Money Management » Peer to Peer Lending for Home Improvement Loans

Peer to Peer Lending for Home Improvement Loans

This week Lending Club announced yet another partnership, this time with HomeAdvisor. Under the deal Lending Club will offer their peer to peer loans to those looking to remodel their homes using HomeAdvisor’s site. The partnership is said to be multi-year and exclusive.

HomeAdvisor is a website that allows customers to search through pre-screened contractors based on the needs of their remodeling projects. Through the deal with Lending Club, homeowners will be able to apply for pre-approval in order to finance their projects. Much like Lending Club’s other personal loan products, loans made through HomeAdvisor will start at a fixed rate of 3.99% (4.99% APR) with no prepayment penalties.

Lending Club has recently put an emphasis on their home improvement loans and this deal only furthers that angle of their platform. Traditionally, home improvement projects have been financed through home equity loans also known as second mortgages. In a statement the company’s CEO Renaud Laplanche said, “In recent years there have been remarkably few options available for consumers to finance their home improvement or renovation project as the process for obtaining home equity lines of credit has become increasingly strenuous… We’re proud to partner with HomeAdvisor to make it easier and more cost efficient for consumers to improve their homes and lives.”

Since going public at the end of last year, Lending Club has formed a series of partnerships aimed at growing their borrowing base. Last month the company not only teamed up with BancAlliance to offer loans to customers at over 200 small community banks but also made a deal with Alibaba to offer American companies loans to purchase from Chinese suppliers. Prior to going public the company had facilitated over $6 billion in loans via their peer to peer platform. Lending Club currently trades on the New York Stock Exchange under the ticker symbol ‘LC’.

Comments

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Author

Jonathan Dyer

I'm a small town guy living in Los Angeles looking to make solid financial decisions. I write for a number of finance websites, including HuffingtonPost and Business2Community. I founded DyerNews.com in 2015 to focus on personal finance and the emerging FinTech markets.

Other Articles by Jonathan Dyer

Has Bitcoin Found its New Floor?

With Bitcoin's recent stable streak rolling on, could the cryptocurrency have found its floor? That's the question CCN explores in a post that lays out a compelling argument as to why the coin is unlikely to fall below $6,000 — at least not for very long. This comes as Bitcoin...

Gas Prices Fall Slightly as Potentially Volatile Autumn Looms

This week the national average gas price  fell slightly — but that doesn't tell the story of what's shaping up to an interesting time for the oil market. First, according to GasBuddy data, the average gas price now sits at $2.88 a gallon, down 2.6 cents from last week. Meanwhile...

OnDeck Spinoff Company to Create FinTech Lending Solutions for Banks

This week FinTech lender OnDeck announced that it was spinning off a new company that will bring online small business lending solutions to banks. Known as ODX, the software as a service (or "SaaS") operation will partner with institutions in order to offer their customers small business loans. This includes allowing the...