Money Makers Mentor

LendingClub acquires Radius Bank to become first of a kind marketplace bank

LendingClub announced the completion of its acquisition of fintech, Radius Bankcorp Inc. The acquisition makes LendingClub one of the first marketplace bank in the industry. 

The peer-to-peer online lender has been in the works of acquiring the digital bank since last year February. Costing nearly $185 million in cash and stock transaction, the merger will allow the new entity to give customers control over their financial health.

Acquiring Radius Bank made more sense than a partnership as LendingClub aims to diversify its offerings, Anuj Nayar, Financial Health Officer at LendingClub told The Buttonwood Tree in an email.

A marketplace bank provides a platform that connects lenders and borrowers while providing banking services to its customers. The merger will make LendingClub t…

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