Lending Club Turns Three, Captures 80 Percent of U.S. Peer Lending Market

Now issuing more than $10 million in loans per month

Redwood City, CA — July 22, 2010 — Lending Club, the leading U.S. peer lending network, has turned three and is currently issuing more than $10 million in loans per month to prime borrowers. The loans are funded through Prime Consumer Notes issued by Lending Club to investors.

“ Lending Club creates a shorter path between the source of capital (investors) and the use of capital (borrowers). Over the past three years we have taken the innovative idea of peer lending and provided proven, clear benefits for both parties involved in the transaction -- bringing new opportunities to investors and better interest rates to borrowers,” said Renaud Laplanche, CEO of Lending Club.

More than 60 percent of Lending Club’s personal loans have been made to people who want to pay off their high interest debt -- such as credit cards -- with a lower interest rate personal loan. Lending Club offers personal, unsecured loans with rates as low as 7.93% APR1, which is 53 percent lower than the overall national credit card APR of 14.9 percent2 and can translate into thousands in savings over the life of the loan. Borrowers also come to Lending Club to fund large purchases, home improvement projects and even weddings.

While borrowers get lower rates, investors get solid returns (9.64 percent3 net annualized returns since inception). Lending Club’s 40,000 investors range from fund managers and financial advisors to retired florists and software engineers. Lending Club’s Prime Consumer Notes are attractive to a wide range of investors because of the transparency of the investment and the solid returns.


Here is how it works:
   - Creditworthy borrowers come to Lending Club to request loans of up to $25,000.
   - Lending Club reviews and approves a selection of applications based upon bank underwriting criteria, assigns an APR
     from 7.93-25.07 percent4, and lists the loans on the website as available for investor funding.
   - Investors fund small fractions of hundreds of loans and build a diversified portfolio of Prime Consumer Notes.
   - As consumers pay back the loans, investors collect the principal and interest and they can choose to reinvest.

“Peer lending has really grown up. Three years ago people were skeptical, there was no proof that there was borrower demand or that this was a solid investment. Lending Club has changed that. We’ve shifted the whole concept of peer lending from a feel-good venture among friends to be a great value for consumers and investors,” said Laplanche.


Additional Information
1 Based on A1 credit grade
2 Source for overall national average credit card rates for consumers with excellent credit at www.creditcards.com as of 7/15/10
3 Based on Lending Club platform returns of 9.64% since inception and assuming continual reinvestment of principal as of 07/12/2010.
4 Actual APR based on credit score, loan purpose, employment type, loan amount, loan term, and credit usage & history.

About Lending Club
Lending Club is a peer lending network bringing together investors and creditworthy borrowers.  Lending Club eliminates the high cost and complexity of traditional bank lending to offer borrowers better rates and investors better returns. Lending Club won the Webby Award in 2008 for the "Best Banking Website" and has been nominated for "Top 100 Innovators" by The Industry Standard. It was recently recognized as one of the 20 "Breakthrough Ideas for 2009" by Harvard Business Review. Founded in 2006, Lending Club is headquartered in Redwood City, CA. More information is available at:  http://www.lendingclub.com.

Lending Club Notes are only offered by a prospectus filed with the SEC which contains the risks and uncertainties related to any investment in the Notes.  Currently only residents of the following states may invest in Lending Club notes: CA, CO, CT, DE, FL, GA, HI, ID, IL, KY (accredited investors), LA, ME, MN, MO, MS, MT, NH, NV, NY, RI, SC, SD, UT, VA, WA, WI, WV, or WY.

Loans are not issued in IA, ID, IN, KS, ME, MS, NC, ND, NE, or TN. Loans are issued by WebBank, an FDIC insured Utah chartered industrial bank located in Salt Lake City, Utah. Borrowers must be US citizens or permanent residents and at least 18 years old. Valid bank account and social security numbers are required. All loans are subject to credit approval.


Press Contact:
Katherine Madariaga
Atomic PR
415-593-1400
Katherine@atomicpr.com

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