In November 2016 the New York Fed reported on an increase in subprime auto loan delinquencies putting the sector on watch; a report from Fitch Ratings is now showing continued deterioration in the sector during the second half of 2016 and Mizuho is reporting subprime auto loan loss rates increased to 9.1% in January 2017 from 7.9% in January 2016; Fitch reports that 60+ day subprime auto delinquencies increased to nearly 6% in the fourth quarter of 2016. Source

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News Roundup Online Lending USA

·Mar. 6, 2017

Elevate Releases Study on Subprime Consumer Credit

Elevate's Center for the New Middle Class has released a study showing subprime consumers are limited in their ability to utilize credit balances or borrow from their social networks; the Center's study reports 70% of nonprime Americans couldn't cover an urgent expense of $500 or more with their savings and 64% wouldn't be able to borrow from friends and family; the Center's study amplifies the need for solutions targeting nonprime borrowers; Elevate's Center for the New Middle Class is currently undergoing research efforts to support nonprime credit access and personal financial management efficiencies. Source

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Peer to Peer Lending

·Jan. 10, 2019

LendUp Splitting Personal Loans and Credit Card Businesses

One of the companies the LendIt Fintech team has always held in high regard is LendUp. They are tackling a...

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Peer to Peer Lending

·Mar. 19, 2018

Experian Releases a New Credit Score Aimed at Non-Prime Borrowers

The ranks of thin file consumers continues to grow in this country. According to Experian these consumers now number 25% of...

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News Roundup Online Lending

·Mar. 29, 2017

Marketplace Lending Rates Rising for High Risk Borrowers

TechCrunch analyzes rates at marketplace lending platforms, identifying a trend towards increased delinquencies and borrowing rates for lower credit quality borrowers; platforms have been increasing rates for lower credit quality consumers to potentially offset some of the higher risk of defaults; analysts have speculated that the changes occurring in the lower credit quality categories could be a sign of recession however other economic factors appear to be stable; TechCrunch identifies a significant change occurring in the labor market that could be influential for borrowers over the long term; the automation of jobs is affecting the labor market and the result could disrupt a number of historically stable industries while also changing the tech industry substantially. Source

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News Roundup Online Lending USA

·Mar. 23, 2017

Throwback Thursday: Sasha Orloff on the Nonprime Lending Opportunity at LendIt USA 2016

Alternative credit underwriting and new data solutions for broadening credit underwriting have been emerging themes in recent quarters; the Consumer Financial Protection Bureau is currently researching alternative data underwriting and many fintech companies are developing new solutions for broadening credit availability and reaching more thin file borrowers; Sasha Orloff from LendUp discusses some of the important factors for consideration in broadening credit availability in his presentation at LendIt USA 2016 highlighting some of the initiatives that are currently developing in today's market. Source

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News Roundup Online Lending USA

·Mar. 6, 2017

Envestnet|Yodlee Releases Risk Insight Suite for Credit Analytics

Lending data solutions provider Envestnet|Yodlee has released Risk Insight Suite; Risk Insight Suite builds on the firm's data aggregation and analytics capabilities, providing lenders with a broader solution for obtaining data and evaluating a more comprehensive set of consumer and business data for loan underwriting; the Risk Insight Suite can potentially provide broader access to credit by including expanded profile information from sources such as a borrower's financial institution with data on assets, income and expenses. Source

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