US fintech platform LendingPoint, has closed a $900m, three-and-a-half-year forward flow committed purchase programme with an asset management firm partner.

LendingPoint launched in 2015, targeted at borrowers with poor credit histories. LendingPoint has grown its business by offering credit to consumers across the credit spectrum. Last year, almost 7 million consumers applied for a loan from LendingPoint. According to LendingPoint, the FICO-based model of evaluating credit worthiness was broken, leaving behind thousands of deserving consumers. LendingPoint has offered loans to consumers with FICO scores as low as 585. Instead of targeting borrowers with a high credit score, the firm says it assesses what it terms ‘responsible banking and financial track record’.

This latest funding represents the firm’s largest and longest-term committed forward flow programme to date in terms of the volume of assets to be originated and sold by LendingPoint.

“This deal illustrates the high level of confidence our financial institution and asset management partners have in the LendingPoint underwriting model,” said Tom Burnside, CEO and co-founder of LendingPoint.

LendingPoint: revenue +75% in 2022

Last year, LendingPoint reported a record 75% y-o-y increase in revenue. LendingPoint has driven over $8.7bn in loan originations since 2015. It claims a net promoter score of 86, with a repeat customer base of over 30%.

“Our strategy is to stay hyper-focused on ensuring that we have the right programmes in place for our customers that create financial flexibility and a great customer experience no matter where they are in their financial journey,” added Burnside. “This programme will help us further deliver the power of financial possibility for consumers and businesses alike.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.