{"id":482,"date":"2014-03-06T18:23:58","date_gmt":"2014-03-06T23:23:58","guid":{"rendered":"https:\/\/envisionco.net\/?p=482"},"modified":"2014-03-07T09:41:34","modified_gmt":"2014-03-07T14:41:34","slug":"new-lenders-jumping-into-the-subprime-personal-loan-market","status":"publish","type":"post","link":"https:\/\/envisionco.net\/?p=482","title":{"rendered":"New lenders jumping into the subprime personal-loan market"},"content":{"rendered":"<p>When getting credit starts becoming easy, then that is often a signal that a top maybe near. I don&#8217;t think we are necessarily there yet, but when loans are easy to obtain and rates don&#8217;t factor in appropriate risk, that is a dangerous sign.<\/p>\n<p><a href=\"http:\/\/online.wsj.com\/news\/articles\/SB20001424052702304732804579421653206982012?mod=rss_Money_and_Investing&amp;mg=reno64-wsj\">Today&#8217;s WSJ <\/a>points to a step in that direction, the WSJ writes about new lenders jumping into the subprime market. But subprime borrowers no longer hold that title, one such lender called FreedomPlus calls them &#8220;emerging prime.&#8221; To Lending Club, they are &#8220;near prime.&#8221; Lending Club originally required credit scores above 660, but that has now dropped to 640.<\/p>\n<p>Santander Consumer USA Holdings (SC), a leader in the subprime auto loan market, now will expand to personal loans. They have agreed to buy the lesser of $30m or 75% of Lending Club&#8217;s near-prime loans through July of next year, and $30m or 50% after that.<\/p>\n<p>In today&#8217;s 10K, SC recorded a net-charge off ratio of 5.8% for 2013 compared to 5.5% for 2012.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>When getting credit starts becoming easy, then that is often a signal that a top maybe near. I don&#8217;t think we are necessarily there yet, but when loans are easy to obtain and rates don&#8217;t factor in appropriate risk, that &hellip; <a href=\"https:\/\/envisionco.net\/?p=482\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-482","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/posts\/482","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/envisionco.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=482"}],"version-history":[{"count":4,"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/posts\/482\/revisions"}],"predecessor-version":[{"id":487,"href":"https:\/\/envisionco.net\/index.php?rest_route=\/wp\/v2\/posts\/482\/revisions\/487"}],"wp:attachment":[{"href":"https:\/\/envisionco.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=482"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/envisionco.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=482"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/envisionco.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=482"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}