CircleBack Lending Opens Investor-to-Peer Lending Platform

CircleBack Lending, an internet platform that connects accredited investors with prime borrowers announces its launch.

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CircleBack Lending Launches Platform
Our market needs a new source of high-quality consumer loans to meet skyrocketing demand from professional investors.

Boca Raton, FL (PRWEB) July 29, 2013

CircleBack Lending (https://www.circlebacklending.com), an Internet platform that connects accredited investors with prime borrowers, has announced it is now lending in Georgia and New Mexico, and will be opening in additional states across the country over the next few months. “We are launching at a perfect time,” says CEO and Co-Founder Michael Solomon. “Our market needs a new source of high-quality consumer loans to meet skyrocketing demand from professional investors.”

Back in 2006, Solomon founded Loanio.com, which became the third entrant in the U.S. peer-to-peer lending (P2P lending) industry after Prosper Marketplace and Lending Club. P2P lending removes banks from their traditional role in consumer credit transactions, enabling borrowers to get better rates and investors to earn strong risk-adjusted returns.

While Loanio suspended operations in late 2008, due to a poor economy and restrictive regulatory environment, Solomon remained passionate about the industry. In early 2012, he teamed up with former Loanio executive Todd Walters to start CircleBack Lending, which will now compete in the rapidly growing market for online consumer loans.

While the early days of P2P lending were fueled by small, individual investors, typically lending a few thousand dollars a year, today a majority of loan capital comes from larger, more sophisticated institutions such as hedge funds and family offices, who deploy millions of dollars each month. Unlike its competitors, CircleBack focuses exclusively on partnering with these larger players, as well as individual accredited investors.

Walters, who serves as the company’s Vice President of Finance and Operations, states that a key objective for CircleBack is to “provide professional investors in the online consumer lending sector with superior technology and personalized services.” The company is currently deploying internal capital to fund its first loans, and will open to outside investors in the fall.

The U.S. P2P lending industry has shown exponential growth, with over $2.5 billion in loans originated to date. However, there remain only two major competitors in the space, so the timing seems right for CircleBack’s launch.

“There used to be a lot of uncertainty about whether professional investors would have an appetite for P2P consumer loans,” says Solomon, “but now that the asset class has a solid track record showing strong risk-adjusted returns, I believe the future is very bright for our business model and the industry at large.”

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About CircleBack Lending, LLC (https://www.circlebacklending.com)

CircleBack Lending is an Internet-based consumer loan platform. The company aims to provide prime and super-prime consumers in the United States with a fast and efficient way to borrow money at attractive interest rates. It also offers institutional and high-net-worth individual investors a robust, transparent platform to invest in these consumer loans.


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