Online Lenders Offer Bonds Backed by Personal Loans

SoFi Clears Debut Rated Consumer Loan ABS
– International Financing Review
The International Financing Review quoted Manatt’s Brian Korn, chair of the firm’s digital finance and marketplace lending practice, for an article about an online lender’s successful debut rated bond issue backed by personal loans.

“Having an investment in the loans, and the ability to reap returns along with your investors, helps align interest,” said Korn. “It also helps generate cash for the business that you don’t see in others using a transaction-based model, where there is greater incentive to underwrite lower-quality product.”

Read the article here



pursuant to New York DR 2-101(f)

© 2023 Manatt, Phelps & Phillips, LLP.

All rights reserved