Due to the impact of COVID-19 on the economy, LendingClub has suspended the issuance of new alternative investment grade D loans to members .
What does this mean for Liquid P2P users?
Based on the current average of our users’ adjusted NAR, LendingClub notes appear to continue to be a good alternative investment.
Grade D loans are still available through the secondary market (Folio), however they are scarce. Liquid P2P’s automated investing bot will continue to buy those notes that meet our loan selection algorithm.
What action should Liquid P2P users take?
To avoid cash drag, please log in to your Liquid P2P account and adjust your loan grade allocation.
“On March 31, 2020, LendingClub Corporation (the “Company”) suspended the facilitation of new D grade member loans (the “Grade D Suspension”) due to the impact of COVID-19 on the economy, and accordingly no D grade member loans will be available after April 10, 2020. In connection with the Grade D Suspension, below are several amendments to the Company’s prospectus dated August 9, 2019 relating to the Notes.”
Read the full FWP from LendingClub investor relations: https://www.snl.com/Cache/IRCache/cdd508a64-a1df-e4dd-380c-9a75e4608855.html.