Lending Club, a company which operates a peer to peer lending market place, is becoming an increasingly popular alternative investment option for investors that aren’t happy with the volatility of the stock market. From time to time, you can also get a Lending Club Bonus when you deposit additional funds into your account to make loans with.
If you’re not familiar with Lending Club, it’s a marketplace which allows users of its website to make loans to one another. Instead of putting money into a savings account and indirectly loaning it to other people through the bank and earning a paltry 1% rate of return, Lending Club allows savers to loan money directly to people wanting to take out loans without the bank taking a large percentage of the rate of return off the top.
As an investor, you can choose which borrowers you would like to loan money to and how much you would like to loan to them. You can view information about their credit history, employment situation and why they want to take out a loan. Loans are typically given interest rates between 9% and 20%, allowing you to earn a very competitive rate of return on your money.
From time to time, Lending Club’s marketing department will offer a bonus, typically in an email to existing investors, which will allow you to earn anywhere from a 1% to a 5% bonus on your money. In a recent bonus email which was sent out, investors that deposited $1,000 received a $50 bonus on their deposit, resulting in an instant 5% rate of return for the first year.
You can get in touch with Lending Club’s investor services periodically and ask them when any bonus offers might be coming via email. Typically Lending Club offered bonuses via email every few months, so it may pay to wait until a bonus email comes around to make additional lending club investments.