Investments in Lending Club Notes can provide:
- Low Volatility
- Monthly Cash Flow
- Solid Returns
Historical Returns by Grade A-C of 5.06% to 8.74%1Open an Account Learn More
Lending Club Notes have Historical Returns by Grade A-C of 5.06% to 8.74%.1 You can choose the grade or grades that fit your investment goals.
Monthly Cash Flow
As borrowers make principal and interest payments each month, the funds are distributed to investors and are available for investors to reinvest or withdraw at any time. For example, if an investor made a $100,000 one time investment in 36-month, grade B Notes providing an aggregate 6.0% net annualized return, they would receive approximately $3,035 each month in cash payments to reinvest or withdraw.3
Easy to Diversify
Instead of investing in an entire loan, you can invest in fractions of loans in $25 increments. Each fraction of a loan is called a Note. Notes come in 36- or 60-month terms, depending on the term of the corresponding loan.
By purchasing many small Notes of equal size that correspond to different borrowers loans, you can diversify your portfolio and reduce the impact of any single loan loss.3
With just $2,500 you can spread your investment across 100 Notes. 99.9% of investors that own 100+ Notes of relatively equal size have seen positive returns.3
Loan Grades: Risk and Reward
Lending Club assigns a grade (from A to G) to each loan based on the credit quality and underlying risk of the borrower.
The lowest interest rates are assigned to the least risky grades, which reflect the potentially lower loss rates (lower rate of charged off loans) and lower volatility in returns.4
Reward and Risk
Notes offered by prospectus filed with the SEC. This information should not be considered investment advice. Past performance is no guarantee of future results. Consider reviewing the prospectus with a financial advisor prior to investing. Information presented for illustrative purposes only and is not a report of actual performance of an identified portfolio of Notes.
Applications are approved based on stringent credit criteria designed to focus on the most creditworthy borrowers. As of March 31, 2015, the majority of our members use the loans to pay off high interest rate loans, most often credit card balances. The average interest rate on credit cards is over 17.17%.5
As of March 31, 2015, the average Lending Club borrower shows the following characteristics:
- 699 FICO score
- 17.5% debt-to-income ratio (excluding mortgage)
- 16.1 years of credit history
- $73,619 personal income (top 10% of US population)6
- Average Loan Size: $14,448
Choose the right account for you
An account just for you.
An account for two or more individuals holding joint interests.
An account in the name of a trust, with a trustee controlling the assets on behalf of a specified beneficiary or beneficiaries.
An account in the name of an entity that can be controlled by any designated representative(s).
Includes Uniform Transfers to Minors Act (UTMA) and Uniform Gifts to Minors Act (UGMA) accounts.
We also offer:
- 401(k) Rollovers
- IRA Transfers
- Traditional Retirement Accounts
- ROTH Retirement Accounts
- SEP Accounts
- SIMPLE Accounts