LendingClub tightens credit for riskier borrowers in a sign of things to come - San Francisco Business Times

LendingClub is among the lenders preparing for a weakening economy by tightening credit for customers likely to have trouble keeping up with their bills.

“That’s where we and everyone in the industry are seeing the most stress on consumers. We’ve done some pretty extensive tightening,” LendingClub Chief Financial OfficerMore consumers struggling with higher inflation are turning to their credit cards more often to make ends meet. Plus, interest rates on card balances are rising rapidly as the Federal Reserve seeks to tame inflation.

LendingClub, led by CEO Scott Sanborn, kept 33% of its loans on its books in the third quarter, above the 20% to 25% range that the company had previously expected. Although LendingClub makes almost three times as much on loans it holds on its books rather than sells to investors, holding onto the loans is capital intensive.

His comments offer a glimpse into what lies ahead since banks, fintechs and other financial institutions rein in their lending when they perceive greater risk of not getting paid back in a timely fashion.

ประเทศไทย ข่าวล่าสุด, ประเทศไทย หัวข้อข่าว

Similar News:คุณยังสามารถอ่านข่าวที่คล้ายกันนี้ซึ่งเรารวบรวมจากแหล่งข่าวอื่น ๆ ได้

Wells Fargo economists say housing downturn still in ‘early innings’ - San Francisco Business TimesIn banking news, WellsFargo economists say they expect nation's median existing single-family home price to fall in 2023
แหล่ง: SFBusinessTimes - 🏆 78. / 68 อ่านเพิ่มเติม »

Applied Molecular Transport stock sinks after placebo bests ulcerative colitis drug - San Francisco Business Times$AMTI falls as ulcerative colitis trial fails and company seeks partner for late-stage study of same drug for chronic pouchitis
แหล่ง: SFBusinessTimes - 🏆 78. / 68 อ่านเพิ่มเติม »

Investment-grade office sales in the San Francisco metro area have hit a decade-long low - San Francisco Business TimesIt's another sign of distress for central business district office markets battered by the pandemic and remote work.
แหล่ง: SFBusinessTimes - 🏆 78. / 68 อ่านเพิ่มเติม »

University of San Francisco moves ahead with first major expansion of academic space in more than a decade - San Francisco Business TimesThe university had long discussed acquiring a blood donation center across the street from its main campus. Now plans are underway to convert the space for USF's use.
แหล่ง: SFBusinessTimes - 🏆 78. / 68 อ่านเพิ่มเติม »