Just saying...i have heard him publicly say this. He needs to be more afraid and proactive towards an ecomm solution, not just a naysayer
How's that long position working out for you? I don't understand your comment. We're hear to discuss LC, and their fortunes, not the industry. This company is going to $0, unless someone buys them. They are going to use their own balance sheet to fund loans, but they only have $800M. That's less than a month's production. Death spiral.
From the WSJ - A consortium of 200 small banks has temporarily suspended a program of loan purchases from LendingClub Corp. as the banks review the events that led to the ouster of the online lender’s chief executive.
You realize that they rely on institutions to buy their loans, right? What do you think happens if they have no money to fund loans? Their expenses eat the alive and they go out of business.
Back dating loans is a pretty good way to get zero institutional buyers to EVER buy your loans.
From the WSJ --A consortium of 200 small banks has temporarily suspended a program of loan purchases from LendingClub Corp. as the banks review the events that led to the ouster of the online lender’s chief executive.
They are in a death spiral.
You would have to have balls to take on the unknown legal liabilities. If the old CEO was secretly investing in LC loans, what's the chance he was cherry picking the best ones and keeping them from other investors?
A Samsung phone is like a three inch wiener. Technically it works, but no one really wants one.
If you're an investor, and you try to use a different browser, the site doesn't give you the investor login prompt. All you get is the "signup" link. Lame-o.