International P2P lending: Volumes, lenders, and trends
News SummaryUnited StatesMorningstar Inc. will offer ratings to blockchain based securities (Ripple Coin News), Rated: AAANorth Carolina-based Fintech Startup nCino Raises $ 80M (Crunchbase), Rated: AAABank Wars; ABS East + Blockchain; Housing (PeerIQ), Rated: AAAWhite Americans Have the Highest Homeownership Rates but There Are Large Differences Among Cities (LendingTree), Rated: AAABFS Capital Eliminates Upfront Fees to Simplify Financing for Small Business Owners (Yahoo! Finance), Rated: ASelf Announces The Self Visa Credit Card, A First-Of-Its-Kind Secured Credit Card That Does Not Require A Credit Check (Globe Newswire), Rated: AThe Crowdfunding Revolution Might Never Come To CRE (Bisnow), Rated: ARiverNorth Marketplace Lending Announces Monthly Distribution of $0.18 Per Share (Crowdfund Insider), Rated: AThe Robot Revolution Will Wipe Out 200,000 U.S. Banking Jobs in the Next Decade (Fortune), Rated: AGoldman Sachs Tries Banking for the Masses. It’s Been a Struggle. (WSJ), Rated: ASmall bank’s big digital goal: Launch 3 niche banks (American Banker), Rated: AThe Seven-Year Auto Loan: America’s Middle Class Can’t Afford Its Cars (WSJ), Rated: ANaborly Raises $ 7.5M in Seed Funding (FINSMES), Rated: AHow Much Money Can I Get From a Business Loan? (All Business), Rated: ABest Mortgage Lenders for First-time Buyers (Benzinga), Rated: ACoinbase Announces 1.25% APY on USDC Holdings (DeFi Rate), Rated: AInvestors Say Curo’s Bid To Nix Their Suit Misses The Point (Law360), Rated: AeOriginal Chief Product Officer Honored as a 2019 HousingWire Tech Trendsetter (PR Web), Rated: BOYO Announces Partnership With Biz2Credit to Provide Small Business Financing Options to Hotel Owners (Globe Newswire), Rated: BFinastra Launches Fusion Mortgagebot Data Insights to Help Financial Institutions Optimize their Mortgage Business (Financial Content), Rated: BSeattle Bank expands relationship with Finastra to drive innovation (Finastra), Rated: BUnited KingdomWelcome to Access, Plus and Max! (RateSetter), Rated: AAAFintech unicorn Revolut’s losses double as it pushes for global expansion (CNBC), Rated: AAAVisa Expands Alliance with Revolut to Grow in Fintech Space (Zacks), Rated: ALandlordInvest staff asked to avoid EU travel as P2P lenders prepare for Brexit deadline (P2P Finance News), Rated: ASmall business owners should beware when backing their business debt (Money Week), Rated: AThe future of finance is fintech (Raconteur), Rated: ABrokers should be Open Banking advocates (Bridging and Commercial), Rated: ADrapers and Klarna launch Next Generation Entrepreneurs (Drapers), Rated: ADutch app-only bank Bunq to launch in UK this week (AltFi), Rated: A10 Respected Entrepreneurs Reveal How Failures and Triumphs Shaped Who They Are Today (Digital Journal), Rated: AEx-City minister shines spotlight on P2P lending secondary markets (P2P Finance News), Rated: BEuropean UnionHow Linked Finance is Linking Irish SMEs With Quick Loans (deBanked), Rated: AAALendIt Fintech Europe 2019 Conference Highlights (Lend Academy), Rated: AAABnext raises $ 25 million for its mobile banking alternative (TechCrunch), Rated: AInternationalInternational P2P Lending Volumes September 2019 (P2P-Banking), Rated: AAAAustraliaP2P lender partners with aggregator (Broker News), Rated: AAANational Australia Bank to provide $ 57m warehouse funding facility to Symple Loans (AltFi), Rated: AWhich banks have cut home loan rates already? (mozo), Rated: AAsiaIndonesia’s State-Owned Pawnshop PT Pegadaian to Invest $ 35 Million in Local Fintech Firms (Crowdfund Insider), Rated: AAAAnother Milestone Comes True: INLOCK Is Listed on One of the Largest Crypto Exchanges (NewsBTC), Rated: A40 Innovative Solutions Shortlisted for 2019 FinTech Awards (MAS), Rated: AAfricaCredoLab set to drive financial inclusion in South Africa (Next Billion), Rated: AAACanadaStability’s important, but Canada needs to take more chances with fintech (Financial Post), Rated: A
Chicago-based financial service provider, Morningstar Credit Ratings announced plans to diversify its business operation by providing ratings for debt securities issued on public blockchains, also known as crypto-assets. Morningstar Inc, the parent company of the rating agency is valued at $6.4 billion. Last year it generated $1.7 billion in revenue. The company is well known for rating mutual funds from giants of the financial world like Prudential and Morgan Stanley among others.
North Carolina-based nCino, which has developed a cloud-based operating system for financial institutions, has raised $80 million in a round of funding led by T. Rowe Price Associates Inc.
In U.S Housing, borrower home equity is hitting all time highs. Homeowners with a mortgage saw equity increase by 4.8% since 2Q2018. This equates to $4,900 gained per American homeowner and a strengthening of the US consumer balance sheet.
Over the past ten years, the largest American banks – Wells Fargo, JPMorgan, and Bank of America – have seem their share of home loan originations fall 30% as digital customer friendly non-banks such as Quicken Loans take share.
Source: PeerIQ, Financial Times
Americans who identify as white own a disproportionately large percentage of homes in all of the nation’s 50 largest metros. White Americans make up an average of 59% of people in the metros featured in our study, but they own around 73% of owner-occupied homes.
Where white Americans own the most homes relative to their overall population
% of the population – White alone: 46.99%Median household income – White alone: $91,806% of owner-occupied homes – White alone: 68.65%Difference between % of owner-occupied homes and % of population: 21.66%
% of the population – White alone: 46.20%Median household income – White alone: $80,276% of owner-occupied homes – White alone: 65.37%Difference between % of owner-occupied homes and % of population: 19.17%
% of the population – White alone: 56.41%Median household income – White alone: $64,423% of owner-occupied homes – White alone: 75.17%Difference between % of owner-occupied homes and % of population: 18.76%
Where white Americans own the least homes relative to their overall population
% of the population – White alone: 85.82%Median household income – White alone: $59,089% of owner-occupied homes – White alone: 93.29%Difference between % of owner-occupied homes and % of population: 7.47%
BFS Capital today announced it has eliminated all upfront fees on its financing solutions, including loans and business advances, as it simplifies pricing for small business owners.
BFS Capital customers can now apply for and receive up to $500,000 in financing with no origination fees, no processing fees and no upfront costs.
Self, a leading fintech startup offering people a way to build their credit while also saving money, today announced the release of the Self Visa® Credit Card. This first-of-its-kind secured card uses a unique funding model to provide customers with a line of credit without the need for a significant upfront investment or a credit check – two areas that perennially sideline subprime consumers who are looking to build their credit scores.
Crowdfunding has not coalesced into the influential force in commercial real estate some may have expected, and is at risk of being decimated by the next economic downturn.
RiverNorth Marketplace Lending Corporation, an established and currently operating as a closed-end interval fund dedicated to the marketplace lending asset class, announced on Tuesday its monthly distribution of $0.18 per common share for the months of October, November, and December 2019.
Technological efficiencies will result in the biggest reduction in headcount across the U.S. banking industry in its history, with an estimated 200,000 job cuts over the next decade, Wells Fargo & Co. said in a report.
The $150 billion annually that the country’s finance firms are spending on tech — more than any other industry — will lead to lower costs, with employee compensation accounting for half of all bank expenses, said Mike Mayo, a senior analyst at Wells Fargo Securities LLC.
Two dozen of Goldman Sachs Group Inc.’s most profitable traders were kicked off their desk last year to make room for the swelling ranks of the firm’s Main Street lending arm.
The first one, introduced this summer, is called “booyah” and is aimed at college students and young graduates. The $122 million-asset bank sees it as a way to target a specific audience outside the central Florida area and boost deposits in order to ward off competitive threats from fintechs.
Walk into an auto dealership these days and you might walk out with a seven-year car loan.
That means monthly payments that last well past when the brake pads give out and potentially beyond when the car gets traded in for a new one. About a third of auto loans for new vehicles taken in the first half of 2019 had terms of longer than six years, according to credit-reporting firm Experian PLC. A decade ago, that number was less than 10%.
Naborly, a San Francisco, CA-based credit bureau for the rental industry, closed its $7.5m seed funding round.
It’s rare for two loan offers from two lenders to come out to exactly the same number. Different lenders (traditional banks, online lenders, alternative lenders) evaluate a variety of factors, have different algorithms, and may place more emphasis on different aspects of your business history.
Today, Coinbase announced the launch of USDC rewards. US Coinbase customers are now eligible to earn 1.25% APY rewards on all USD Coin ($USDC) held on Coinbase.
This announcement comes amid the DeFi boom in 2019. While 1.25% APY is substantially higher than traditional savings rates at banks, it’s still lagging behind the broader DeFi lending market. As of writing, Compound currently offers 5.34% APY on USDC holdings while dYdX offers 3.85% APY – View current USDC lending rates. This doesn’t account for other stablecoins, such as Dai, where holders can earn upwards of 8%.
Investors on Tuesday said their stock-drop suit against online lender Curo is
about misrepresentations regarding a transition away from its most profitable product, not a simple failure to meet financial goals, as the company suggests. The online lender said in an August dismissal bid that investors were trying to plead a “fraud by hindsight” case in alleging Curo misled them about a transition away from offering lucrative single-pay loans in Canada, which had drawn the scrutiny of regulators there, and into longer-term open-end loans.
eOriginal, a digital lending technology pioneer, is proud to announce that Simon Moir, Chief Product Officer, has been named to HousingWire’s Tech Trendsetters list for 2019. HousingWire’s inaugural award recognizes the impactful and innovative technology leaders serving the housing and mortgage finance industry. This is on the heels of eOriginal’s second consecutive listing as one of HousingWire’s HW Tech 100TM in April 2019.
OYO, the world’s third-largest and fastest-growing chain of hotels, homes and spaces*, has partnered with Biz2Credit to provide working capital and commercial real estate loans to existing and potential hotel partners across the United States.
Finastra has launched Fusion Mortgagebot Data Insights – a powerful new tool that benchmarks mortgage borrower behavior and demographics for banks and credit unions against that of more than 1,400 other Fusion MortgagebotPOS users. The solution leveraged Big Data and machine learning to provide users with new insights into consumer behavior to drive a better borrower experience.
Seattle Bank, a single branch boutique bank with $650 million in assets, has selected Fusion Phoenix from Finastra to be the open, modern core to run its banking operations, enabling the bank to better serve clients. The core banking system will be integrated with additional Finastra solutions, including Fusion Mortgagebot, Fusion Card Payments, Fusion Analytics, Fusion Item Processing Services, Fusion LaserPro, and Fusion Digital Banking.
I am delighted to say that our three new investment products – Access, Plus and Max – launched today and are ready for you to enjoy.
British financial technology start-up Revolut’s losses doubled in 2018, the firm said Tuesday, as the company embarks on an aggressive global expansion.
The London-headquartered firm recorded a £32.8 million ($40.3 million) net loss on revenues of £58.2 million for 2018. That was more than double the £14.8 million loss it posted a year earlier, while revenue climbed 354%.
Visa Inc. (V – Free Report) has expanded its partnership with fintech company Revolut. This London based company will be assisted by Visa to expand its business globally.
LANDLORDINVEST has asked staff to avoid travelling outside the UK after 31 October as peer-to-peer lending platforms prepare for the latest Brexit deadline.
After all, one argument for setting up a business as a limited company, rather than operating as a sole trader, is that you separate your affairs from the company’s.
However, while this is true in theory, it may not pan out in practice. If your business needs to borrow, lenders often expect owners to stand behind the loan. They ask for a personal guarantee that the debt will be repaid. These guarantees aren’t secured – they’re not tied to a particular asset, such as your home – but they do give lenders a legal right to come after your personal wealth in the event your business defaults.
When Innovate Finance was formed five years ago, with a mandate to represent an emerging UK fintech community, the picture was different to today. The focus was on models challenging traditional approaches to banking, disrupting the incumbents’ model that had stood for decades.
In the years since, peer-to-peer lending became simpler, management of personal finances became more accessible, and remittance processes became faster and more affordable.
It’s now more than a year and a half since the introduction of Open Banking, which allows people to securely share data about how they spend their money with other parties.
Drapers’ Next Generation Entrepreneurs are the founders and chief executives that we think are changing fashion. The list shines a light on the new wave of game-changers, innovators and boundary-breakers that are making their mark on the UK fashion industry, as well as emerging businesses that exhibit innovative, entrepreneurial spirit.
The Dutch app-only bank bunq is to launch in the UK this week, saying there are “too many traditional banks” in the UK.
– Courtney Nichols Gould, Founder& co-CEO, SmartyPants Vitamins– Annie Jackson, co-founder & COO, Credo Beauty– Sarah Kauss, Founder & CEO, S’well– Stephen Kuhl, co-founder & CEO, Burrow– Renaud LaPlanche, co-founder & CEO, Upgrade, Founder of Lending Club (NYSE: LC)– Jody Levy, Founder, CEO & Creative Director, World Waters (Maker of WTRMLN WTR)– Betty Liu, Founder of Radiate, Executive Vice Chairman of The New York Stock Exchange (NYSE)– Ben McKean, Founder, Hungry Root– Sasha Plavsic, Founder & CCO, ILIA Beauty– Nat Turner, co-founder & CEO, Flatiron Health
The former City minister, who has already tabled several parliamentary questions regarding the role of the Financial Conduct Authority (FCA) in the collapse of Lendy and Collateral, has widened the scope of his P2P queries.
He has tabled two parliamentary written questions in the past week.
The nation’s Central Statistics Office puts the number of active enterprises in the private business economy at over 250,000. As of June, Linked Finance had made more than 2,100 loans for a grand total of more than €100 million.
We have just wrapped up what I think has been the most successful European conference LendIt has ever had.
We kicked off the show with Rishi Khosla, CEO and Co-Founder of OakNorth. Their approach to underwriting is super interesting. While they have very much a digital approach, they are originating loans typically for £5 million to £10 million to fast growth companies.
Fintech startup Bnext has raised a $25 million funding round. The Spanish company is building a banking product and has managed to attract 300,000 active users.
You can lend money to small and medium businesses and earn interest through October, you can save money using Raisin, you can get a loan, a mortgage, an insurance product, etc. Bnext generates revenue from those partnerships.
Mintos leads ahead of Zopa and Ratesetter. The total volume for the reported marketplaces in the table adds up to 639 million Euro.
Milestones in culumulative volume lent crossed this month:
Peer-to-peer lender RateSetter has announced a partnership with PLAN Australia that will make its unsecured personal loan and car loan products available to the group’s 1,700 brokers and their clients.
Australia’s biggest business bank is furnishing a $57m (£46m) warehouse funding facility to personal lender Symple Loans, as part of its $2bn (£1.63bn) commitment to fund technology startups.
It’s been two days since the Reserve Bank board made the call to lower the official cash rate from 1.00% to 0.75% – an historically low rate in Australia.
Athena and Homestar raced out of the blocks following Tuesday’s RBA announcement – both delivering full 0.25% cuts to their respective variable rate home loans before the ink on RBA Governor Philip Lowe’s monetary policy statement was dry.
Fellow online lender UBank wasn’t far behind after announcing a 0.25% rate cut of its own across a number of variable rate offers.
The state-owned pawnshop PT Pegadaian in Indonesia is reportedly planning to invest Rp 500 billion (appr. $35.26 million) in several local Fintech firms this year.
On September 30, 2019, after nearly six months of preparation, the INLOCK project, a peer-to-peer lending solution, was listed on the Liquid by Quoine exchange, one of the largest Japanese crypto exchanges in the Asian region, with a daily turnover of $150-200 million.
INLOCK is a peer-to-peer lending platform; its customers can lend or borrow using their cryptocurrencies as a collateral.
The Monetary Authority of Singapore (MAS) and The Association of Banks in Singapore (ABS) announced today that 40 finalists have been shortlisted for the FinTech Awards to be presented at this year’s Singapore FinTech Festival x Singapore Week of Innovation and Technology (SFF x SWITCH).
Credit scoring fintech company, CredoLab announced on Tuesday, 1 October 2019, that it has officially launched in Africa. Starting in South Africa, CredoLab is aiming to drive financial inclusion in emerging economies on the continent by credit scoring more people, especially those who are new to banking or credit.
According to Ernst & Young’s 2019 Global Fintech Adoption Index, Canada is 14 points, and the U.S. 18 points, behind the global average of 64 per cent consumer fintech adoption, and we trail world leaders like China, India and Russia by even more. The two countries’ approaches to regulating fintech, which in many ways reflect enduring national stereotypes, almost certainly have contributed to our continent’s fintech lag.