Saturday, January 17, 2015
Lending Club: Investing Online
Lending Club (lendingclub.com) is a company based in US that is engage with peer-to-peer lending. Their headquarter is located in San Francisco, California. They are the first peer-to-peer lender to register its offerings as securities with the Securities and Exchange Commission (SEC).
Peer-to-peer lending is a new concept of lending where a lender can get relatively large loans without going through banks. If you think of it, lending to people you don't know seems risky, however, P2P lending sites have set up some good measures in place to mitigate those risk. You will also be compensated for this risk by earning very high interest rates. You can also invest in someone else’s loan for a small amount like $50 to reduce the risk.
Lending Club is a good source of passive income. Investors can get Solid returns with historical returns by
Grade A-C of 4.74% to 7.98%.
They collects fees from they payment proceeds of the investors, so our revenue from investors is taken from the investors cash flow. You will need to pay 1% service fee on each payment received.
(Applicable for U.S. Residents only)