Leading peer-to-peer lending platform for personal loans partnering with banks to modernize home equity line of credit origination process
SAN FRANCISCO, CA – November 14, 2018 – Prosper, a leading peer-to-peer lending platform connecting borrowers and investors, today announced that the company will launch a new digital Home Equity Line of Credit (HELOC) product in 2019. The introduction of Prosper’s new HELOC offering marks another milestone for the company, which launched in 2005 as the first peer-to-peer lending company, with more than $13 billion in personal loans originated through its platform to date.
Applying for and obtaining a HELOC has historically been a difficult and lengthy process, leaving many consumers frustrated. According to a TransUnion study[i], as home values rise, more and more people will be looking at a HELOC as a potential option for accessing credit. The study reported that an estimated 10 million consumers will take out HELOCs between 2018 and 2022, which would be more than double the number originated from 2012-2016.
Beginning in early 2019, Prosper will be partnering with banks to dramatically improve the HELOC application process and reduce the time from application to closing. Banks will also have the opportunity to significantly grow their HELOC footprint by gaining access to Prosper’s national customer base, proprietary technology and marketing expertise.
Using Prosper’s simple, easy-to-use process, customers will be able to complete an online application within minutes, receive an instant HELOC pre-qualification offer, and save weeks versus the traditional process. HELOCs originated through Prosper will have no origination fee and offer the same competitive rates as banks.
“We are taking advantage of our expertise in consumer credit and personal loans to build a product that removes the complexity and time-consuming barriers in applying for a HELOC,” said David Kimball, CEO, Prosper Marketplace. “For many of our customers, a home equity line of credit could be a better choice for their financial needs and we’re thrilled to be working with our bank partners to render the traditional process obsolete with a new digital HELOC process that is simple, fast and painless.”
About Prosper Marketplace
Prosper’s mission is to advance financial well-being. The company’s online lending platform connects people who want to borrow money with individuals and institutions that want to invest in consumer credit. Borrowers get access to affordable fixed-rate, fixed-term personal loans. Investors have the opportunity to earn solid returns via a data-driven underwriting model. To date, over $13 billion in personal loans have been originated through the Prosper platform for debt consolidation and large purchases such as home improvement projects, medical expenses and special occasions.
Prosper Marketplace, Inc. was founded in 2005 and is headquartered in San Francisco. The platform is owned by Prosper Funding LLC, a subsidiary of Prosper Marketplace, Inc. Personal loans originated through the Prosper marketplace are made by WebBank, member FDIC. Visit www.prosper.com and follow @Prosperloans to learn more. Prosper notes are offered by Prospectus.
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