Author Topic: Do ALL loans that make it through LC's application screening get funded?  (Read 2101 times)

profwolfe

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So I'm trying to figure out if there is such a thing as a loan that makes it through LC's application process but then doesn't get funded?  My understanding of the usual data sources they provide (https://www.lendingclub.com/info/download-data.action) are
1.  loans that make it through the application screen and are successfully funded.
2.  loans that don't make it through the application screen

Is there such a thing as :
3. loans that make it through the application screen and are NOT successfully funded

If by chance they're in the usual data sources LC gives, how would I pick out those loans?

Rob L

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Re: Do ALL loans that make it through LC's application screening get funded?
« Reply #1 on: November 21, 2017, 11:07:44 AM »
If things haven't changed then if an approved loan isn't fully funded then LC will fund the shortfall itself. This has always been a very small amount.

profwolfe

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Re: Do ALL loans that make it through LC's application screening get funded?
« Reply #2 on: November 21, 2017, 01:07:42 PM »
Thx Rob - do you know anywhere they document that activity?  I know the 424(b)(3) filings on Edgar have a column that tells you how much of the loan LC funded.

Rob L

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Re: Do ALL loans that make it through LC's application screening get funded?
« Reply #3 on: November 21, 2017, 01:36:50 PM »
No; sorry but I haven't ever really looked into it.

rawraw

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Re: Do ALL loans that make it through LC's application screening get funded?
« Reply #4 on: November 21, 2017, 05:57:16 PM »
I'd ask AnilG

AnilG

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Re: Do ALL loans that make it through LC's application screening get funded?
« Reply #5 on: November 25, 2017, 09:23:24 PM »
There are two SEC filings made by LendingClub, one lists all the loans listed on the fractional platforms and other lists all the loans issued on the fractional platforms. Presumably, you could compare the issued loans filings cumulative over a time frame with listing files to figure out which loans were not issued. Though I haven't done this myself, I just don't see what value will I or my users will get from such exercise.

These blog posts are 3-4 years old but may still offer some insights. I seriously doubt in current market environment, many listed loans are going unfunded and not being issued.

Lending Club Loan Listings, Issuance, and Impact on Yield from Non-performing Period
https://www.peercube.com/blog/post/lending-club-loan-listings-issuance-and-impact-on-yield-from-non-performing-period

Is Lending Club still self-funding loans?
https://www.peercube.com/blog/post/is-lending-club-still-self-funding-loans

Thx Rob - do you know anywhere they document that activity?  I know the 424(b)(3) filings on Edgar have a column that tells you how much of the loan LC funded.
« Last Edit: November 25, 2017, 09:30:40 PM by AnilG »
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Anil Gupta
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