A New Class Action Suit Wants to Treat Marketplace Lenders Like Mobsters
Racketeering-related allegations, and more.
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How things have changed.
Some two years ago, LendingClub Corp. was preparing to embark on an initial public offering that would value the biggest marketplace lender in the U.S. at more than $8 billion. The company's market value has since fallen to less than $3 billion and the marketplace lending industry has been beset by difficulties, including a lawsuit that might prevent lenders from bypassing state interest rate caps by originating loans through intermediaries in states without such restrictions.