Lending Club have eliminated new lender registrations, and suspended existing lender bidding on their site.
Important Information - Lending Club
Lending Club has started a process to register, with the appropriate securities authorities, promissory notes that may be offered and sold to lenders through our site in the future. Until we complete the registration process, we will not accept new lender registrations or allow new commitments from existing lenders. We will continue to service all previously funded loans during this period, and lenders will be able to access their accounts, monitor their portfolios, and withdraw available funds without changes.
It appears from this that securities regulation now applies to p2p lending within Canada, and US.
2 responses so far ↓
Dan // April 8, 2008 at 9:33 pm
Any idea why they did the following:
“Until the registration process is completed, the company will undergo a quiet period and will not be able to respond to press and other inquiries about Lending Club or the registration process during that time.”
What kind of regulatory law/policy forces them to do this?
Colin // April 8, 2008 at 11:14 pm
The Lending Club site refers to securities authorities.