LendingClub Corporation (NYSE:LC), America’s leading online lending marketplace connecting borrowers and investors, today announced that it has now received all the bank regulatory approvals necessary to complete its acquisition of digital bank Radius Bancorp (“Radius”). The company expects the acquisition to close on or around February 1, 2021, subject to completion or waiver of the remaining customary closing conditions.
“This is a transformative acquisition for the company and a watershed moment for the industry as we become the only full-spectrum fintech marketplace bank in the U.S.,” said Scott Sanborn, CEO of LendingClub. “The customer benefits of this acquisition are even clearer now that COVID has accelerated Americans’ move to digital banking. As the only full-spectrum fintech marketplace bank, LendingClub will be able to use our technology and data-driven platform to provide new products and services to our millions of members that will help them both pay less when borrowing and earn more when saving. By combining with Radius, we will create a category-defining experience that will also dramatically enhance the resilience and earnings trajectory of our business.”
Radius is a leading online bank with $2.4 billion in assets and $1.7 billion in deposits. Along with being voted Best Online Bank 2020 by Bankrate, Radius has received recognition for its award-winning, branchless digital banking platform that uses state-of-the-art technology to provide a superior banking experience for consumers and small businesses.
Its platform allows consumers to open accounts in under three minutes and provides convenient features such as early direct deposit, cash back rewards, bill pay, and access to a financial tools marketplace and personal financial management dashboard. Radius also provides open APIs to offer white label “banking-as-a-service” (BaaS) functionality including checking accounts, digital onboarding and account management to leading fintech companies. In addition, Radius offers deposit, treasury management and lending options for small to medium size businesses and commercial entities, including unions, municipalities, and non-profit organizations.
LendingClub continues to revolutionize the personal loan experience and build on its category-leader position in the fastest growing segment of consumer credit. Driven by a fast and frictionless digital experience, LendingClub has facilitated more than $60 billion in loans since launch. With a 14-year proven record of credit experience and data, the company has now helped more than 3 million mainstream Americans improve their financial health by saving money versus their higher interest credit card debt.