Message from Scott Sanborn – Acting President and CEO of Leanding Club. Received 9pm Thursday May 19, 2016.

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Hello,

I’m Scott Sanborn, President and acting CEO of Lending Club. I’ve been on Lending Club’s leadership team for the past six years as Chief Marketing Officer and Chief Operating Officer, and I wanted to take a moment to introduce myself and describe our current focus.

Individual investors like you are – and will always be – the foundation of our marketplace.

Given recent events, my immediate focus is on how Lending Club can best serve you – our investors. We’ve talked to hundreds of our investors – spanning individuals to financial advisors to banks to large institutions – over the past week about the strength of our business, our operations, our people, and our data integrity. Let me assure you that we are in a strong financial position with a substantial amount of cash and securities on our balance sheet – $868 million. We plan to be around for many years to come.

The performance of loans facilitated through the platform remains robust. We continue to service and process borrower payments just like we always have, and the interest and principal payments that borrowers make will continue to be passed on to you just as they were before.

We’re extremely proud of the products we’re providing to both borrowers and investors, and I look forward to sharing more with you in the coming months and years about our company and our results.

I’m not working alone. Our Executive Team has been working together for the past six years and has deep expertise in credit, operations, marketing, finance, human resources and technology. We’re also supported by one of the strongest Board of Directors in the industry. It includes Hans Morris (former President of Visa and now our Executive Chairman), Larry Summers (former US Treasury Secretary), John Mack (former CEO of Morgan Stanley), Mary Meeker (a Partner at Kleiner Perkins Caufield & Byers) and other experienced executives.

I will continue to keep you informed as we move ahead. In the meantime, feel free to contact our team with questions and suggestions at (888) 596-3159 7am-5pm PT, Monday through Friday, or email us anytime at investing@lendingclub.com.

Thank you for investing with us. I look forward to having you as an investor for years to come.

Sincerely,

Scott Sanborn
Lending Club President & Acting CEO

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P2P financial lending and borrowing appears to be in a crises. How these companies re-invent themselves to deal with this is yet to be seen. With Lending Club as one of the leaders having gone through this shake-up it will leave the big banks with proof that their model is best.  Investors can make decent returns, but as there is no federal insurance, and not knowing how your loans are secured and the default rates can be high,  One of the challenges with a platform like Lending Club is having access to your money and the ability to withdraw funds from your account, If say you invest $1000 and you put the money in 10 leans of $1,000, not all the loans are maturing at the same time, now take this as it really occurs in your account and you have maybe 500 loans, at $25 each. If you are lucky it could take you years to get withdraw your money.