LendingClub (NYSE:LC), an online lending marketplace and emerging digital bank, has announced the launch of the “Member Center,” a centralized location for users to find assistance and support to better manage their financial lives during the COVID-19 crisis. Early one, when the Coronavirus first hit the shores of the USA, LendingClub was quick to allow payment deferrals for borrowers – something its members certainly appreciated but a move that impacted company performance.
According to a release, the Member Center offers new resources and tools to help users cut costs and manage their finances. This is a feature that may be more keenly needed now but should provide value for users after the Coronavirus has receded.
Scott Sanborn, CEO of LendingClub, said they know their members are experiencing heightened levels of anxiety in a challenging environment where individuals are not only worrying about their health but their jobs:
“We are uniquely positioned to offer real support to members of our LendingClub community and are committed to helping them navigate this storm,” stated Sanborn.
LendingClub has posted a list of new member services:
- Credit Profile, available for existing members, is designed to give borrowers clarity and insight to help them manage their immediate financial needs today while improving their credit for a better tomorrow. Credit Profile uses data to provide members with a guided experience of their financial lives, highlighting important credit decisioning and pricing factors like debt-to-income ratio, credit utilization and credit score. More than 200,000 members have already started tracking their finances through Credit Profile, according to the company
- New Partnerships with Trim and Steady
- Trim saves members both time and money by acting as their financial assistant, for example, calling a cable company on their behalf to potentially negotiate their bill down. The average Trim user saves $156 per year on recurring costs such as cable, internet, and phone bills.
- Steady matches people with employment opportunities that suit their preferences such as where and when they can work. On average, Steady has helped their members earn more than $4,000 per year.
LendingClub states that the Member Center is illustrative of the Fintech’s model that enables it to quickly adapt to changing market conditions.
While there is no new news on LendingClub’s pending acquisition of Radius Bank, and the company’s intent to create a “marketplace” digital bank, the new features and market approach to 3rd party services is emblematic as to what the LendingClub Bank can accomplish. During LendingClub’s last earnings call the Fintech said everything was on track regarding the regulatory process in completing the transaction. Hopefully, LendingClub will start offering additional bank services soon, just like most other US-based digital banks do today without having a bank charter.