My daily import scripts detected a new status that they have never encountered before: Loan is being issued
Lending Club does not publish a detailed API like Prosper does so I didn’t know about this status, and in fact it may even be new (See https://www.lendingclub.com/public/loanDetailHelp.action). The loan that triggered an unknown status alert to me this morning was 847448.
What makes this loan different?
The original loan request was for $21,200, however only $20,975 (98.94% funded) was invested. It appears Lending Club is going to lend the remaining about so the loan has a status of “Loan is being issued“.
Perhaps the loan status always appeared like this for loans in this state. Maybe it’s just a way to indicate that the loan will be issued even though there was not enough lent by the Lending Club lenders. Regardless I am going to keep an eye on this loan. I suspect within a few days the status will change to Issued and I will be able to conclude that indeed the borrower did not raise enough from lenders and LC has to kick in the rest.
This loan was issued with partial funding. The status loan is being issued is a temporary state to indicate the funding was not reached 100% This gives me another idea! How do partially funded loans perform.