Wall Street Attempts To Push Out Crowdfunding Lenders

Wall Street is stepping into a vacuum left by crowdfunder Lending Club by initiating a new consumer lending platform named “Marcus.”

If you are invited to the party (with a code), you will be able to borrow up to $30,000 to consolidate your credit card debt or make home improvements.

The operation will be run by Goldman Sachs out of their bank, funded by bank deposits and the loans will be held to maturity rather than sold or securitized in the secondary investment market.

Unlike other lenders, there will be no late fees for missed payments,early repayment fees or upfront fees and interest rates will start at ~6%.
http://www.wsj.com/articles/goldman-sachs-joins-the-fintech-fray-with-marcus-1476368800

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About JeffKoeppel

I am a corporate/securities attorney in the Washington, DC area. Prior to joining the firm, I was a Senior Attorney Advisor in the Division of Corporation Finance at the U.S. Securities and Exchange Commission. I am a member of the Bars of the States of Maryland, New York and the District of Columbia. You can also follow this blog on LinkedIn at: http://www.linkedin.com/pub/jeffrey-a-koeppel/0/63/5a9
This entry was posted in Banking, Banks, Broker dealers, CFPB, checkbook, Congress, Consumer Financial Protection Bureau, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, Department of the Treasury, deposits, Dodd Frank, Funding Portals, NSF, overdraft fee, penalty, SEC, Small Business, technology, VC, Venture Capital, Wall Street and tagged , , , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

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