[Chambo]

http://www.marketwatch.com/story/tre...try-2016-05-10

[Mmarano]

Its going to be interesting over the next 24 months Mat,

http://www.marketwatch.com/story/tre...try-2016-05-10

[J.Celifarco]

http://www.marketwatch.com/story/tre...try-2016-05-10

well aint that something.. Here we go, its anyones guess what happens next

[Sean Cash]

I'm in DC right now as are several other people this week from this forum and the rest of the industry

[Chambo]

I'm in DC right now as are several other people this week from this forum and the rest of the industry

You're down there for the lobbying committee?

[Sean Cash]

there's several from this industry down here this week, but yes.

[Mmarano]

Good luck over there Sean, I couldn't make it, But i sent Adam on CHC's Behalf. Make sure you two get some face time.

there's several from this industry down here this week, but yes.

[isaacdstern]

Should be a very informative few days

[mcaguru]

You're holding the torch for all of us!

[funding pro]

FWIW, this is the 4th thread you've started in the last 2 years that had some reference to "it" starting. I'm not saying its not starting, I just think it goes to show you how slow of a process "it" really is even if it has started.

[mcaguru]

FWIW, this is the 4th thread you've started in the last 2 years that had some reference to "it" starting. I'm not saying its not starting, I just think it goes to show you how slow of a process "it" really is even if it has started.

That's his code word.... like "New World Order" or something!

[omegafund]

Nothing is starting unless a dem or the socialist gets elected

[funding pro]

Nothing is starting unless a dem or the socialist gets elected

I'm not a big political buff so I may be way wrong here, but I think there has been a democrat in the white house for the last 8 years. Not 100% sure though.

[mcaguru]

I'm not a big political buff so I may be way wrong here, but I think there has been a democrat in the white house for the last 8 years. Not 100% sure though.

Yep. I have said this a few times before Payday loans are "consumer based" and can be argued that they effect the Bread and Milk from to the end users home .....with Obama in office for 8 Years and controlled Both houses for the beginning part of his presidency are still LEGAL in Majority of American States!!

[Funder Mark]

I'm not a big political buff so I may be way wrong here, but I think there has been a democrat in the white house for the last 8 years. Not 100% sure though.

I know who the socialist is, but when you say Democrat, to you mean Hillary, or the guy who gave her money?

[MatthewAStucchio]

https://www.treasury.gov/connect/blo...hite_paper.pdf

[Chambo]

1.
Use of Data and Modeling Techniques for Underwriting is an Innovation and a Risk:
RFI
commenters agreed the use of data for credit underwriting is a core element of online
marketplace lending, and one of the sources of innovation that holds the most promise and risk.
While data-driven algorithms may expedite credit assessments and reduce costs, they also carry
the risk of disparate impact in credit outcomes and the potential for fair lending violations.
Importantly, applicants do not have the opportunity to check and correct data potentially being
used in underwriting decisions.
2.
There is Opportunity to Expand Access to Credit
: RFI responses suggested that online marketplace
lending is expanding access to credit in some segments by providing loans to certain borrowers
who might not otherwise have received capital. Although the majority of consumer loans are
being originated for debt consolidation purposes, small business loans are being originated to
business owners for general working capital and expansion needs. Distribution partnerships
between online marketplace lenders and traditional lenders may present an opportunity to
leverage technology to expand access to credit further into underserved markets.
3.
New Credit Models and Operations Remain Untested
: New business models and underwriting tools
have been developed in a period of very low interest rates, declining unemployment, and strong
overall credit conditions. However, this industry remains untested through a complete credit
cycle. Higher charge off and delinquency rates for recent vintage consumer loans may augur
increased concern if and when credit conditions deteriorate.
4.
Small Business Borrowers Will Likely Require Enhanced Safeguards:
RFI commenters drew attention
to uneven protections and regulations currently in place for small business borrowers. RFI
commenters across the stakeholder spectrum argued small business borrowers should receive
enhanced protections.
2
| Opportunities and Challenges in Online Marketplace Lending |
EXECUTIVE SUMMARY
5.
Greater Transparency Can Benefit Borrowers and Investors:
RFI responses strongly supported and
agreed on the need for greater transparency for all market participants. Suggested areas for greater
transparency include pricing terms for borrowers and standardized loan-level data for investors.
6.
Secondary Market for Loans is Undeveloped:
Although loan originations are growing at high rates,
the secondary market for whole loans originated by online marketplace lenders is limited. RFI
commenters agreed that active growth of a securitization market will require transparency and
significant repeat issuances.
7.
Regulatory Clarity Can Benefit the Market:
RFI commenters had diverse views of the role
government could play in the market. However, a large number argued that regulators could
provide additional clarity around the roles and requirements for the various participants.

[fisheMS]

long odds at this point on betting that the election is going to improve things. what's the best case scenario, trump wins and we hope his talks of restructuring US debts doesnt collapse the credit markets?

here's another fun part of the nightmare election scenario, Debbie Wasserman Schultz is head of the Democratic National Committee, and she's facing a tough re-election. what's the main thing her challenger is hitting her on? her coziness with the payday loan industry. she's basically one of the most powerful anti-CFPB politicians in the country, good luck if she loses