Lending Club, a company which offers a peer to peer lending marketplace to its members, has highlighted the new opportunity take out loans with a term of five years from both an investor’s and borrower’s perspective on a recent web-cast.
Last week, Lending Club announced that borrowers could now take out loans on its platform with 5-year terms. The new notes which have a longer repayment cycle command a slightly higher interest rate from borrowers because of the risk of a longer loan term. The loans also come with significantly lower payments for borrowers to make on a monthly basis.
In his presentation with Lending Club investors, Rob Garcia, Sr. Director of Product Strategy, shared that five year notes provide more investment options, a greater amount of control in one’s Lending Club investments and the opportunity to earn more interest while diversifying across terms.
Investors also had the opportunity to ask Lending Club about new developments with the company.
Here’s the video: