The economic crisis sparked by the COVID-19 pandemic has hit millions of people and small businesses hard.
In response, LendingClub Corp. is setting up a “Member Center” that will be “chock full of resources and tools to help Americans regain control in what seems to be an uncontrollable time,” the company said in an announcement on Thursday (May 28). In a prepared statement, LendingClub said the Member Center would “provide one centralized location where personal loan members can find assistance and support while managing their financial lives through the novel coronavirus.”
Earlier this month, LendingClub’s peer-to-peer (P2P) lending app entered the Top Five in the PYMNTS Provider Ranking of personal loan apps. The company was “riding a wave of goodwill,” the report noted, after announcing its Skip-a-Pay deferment plan in response to the COVID-19 pandemic.
The company said its new Member Center would have “resources that provide immediate relief.” Those resources include information on “flexible solutions designed to support members in their time of need and help them maximize payment success over the long term.” In addition, LendingClub’s payment deferral plan allows “eligible members in need to skip up to two payments without having a negative impact on their credit scores.”
Also included are ongoing efforts designed to expand the company’s “suite of payment options providing greater flexibility and a path back to a normal payment schedule.”
In addition, LendingClub is offering a new tool in its Credit Profile program, which the firm said is “designed to give borrowers clarity and insight to help them manage their immediate financial needs today while improving their credit for a better tomorrow.” This would include “pricing factors like debt-to-income ratio, credit utilization and credit score.”
The company said 200,000 members have already started tracking their finances through Credit Profile.
Pitching itself as “America’s largest online lending marketplace connecting borrowers and investors,” the LendingClub website touts its small businesses loans, promising “a decision in minutes” and “predictability with fixed, low monthly payment that will build your business credit.” For individuals, the company offers personal loans to refinance credit cards.