How Lending Club’s Biggest Fanboy Uncovered Shady Loans
1 year ago
1 year ago
Story is about a company matching up lenders (can be non-traditional lenders, such as individuals) with individual borrowers
Company releases detailed financial information about individuals to the public. Has not heard about data anonymization and the dangers of releasing
. Wouldn’t have lasted a day if this was a health care company.
Has no checks to prevent same individual from applying for multiple loans. Has a vested interest in that happening.
People affiliated with company often take out loans, part of a scheme to boost revenue and usage numbers
Company, once a darling of investors, now no longer a darling, not clear why. Possibly because real usage figures not as high as reported. Article does not clarify how large a part of reported revenue the “fake” loans taken out by friends and family of the company were, so I can’t judge.
Article does not make clear why some loans were back dated and why this puts the company in trouble with the government
The words computer and algorithm appear occasionally in article but with no further depth.