Lending Club got its footing in the financial-services industry by being one of the first startups to streamline the financing process online. More recently, Lending Club has gone from being a peer-to-peer lender to a multifaceted financing shop. In the process, Lending Club has added the financing capacity of 200 community banks. If all the banks Lending Club has partnered with were actually its own, Laplanche says, the company would be the fourth-biggest bank in America.

Lending Club is hoping that between its technology and regional banks’ desire to diversify their borrower base through its app, it will be able to claim a bigger share of a debt market that has been slow to recover since the financial crisis.

But Lending Clib isn’t just going for small-business loans that big banks have neglected in the past five years.

The company next plans to enter new lines of business including auto loans and mortgage servicing. Laplanche, the CEO of Lending Club, sees the banking industry as one that is still ripe for disruption. He came up for the idea for Lending Club in 2006, when he received concurrent statements in the mail from his bank. The first statement was for his credit card, and it charged whopping 18% APR. The second, his savings. That was returning him a mere 0.5%. In the years that passed, Laplanche has seen his startup blossom into a company that debuted on public markets. Soon, his company will have worked on $10 billion in consumer loans. The San Francisco-based entrepreneur acknowledges that he didn’t have the aim to overturn the entire banking sector in 2006 when he decided to form his company. Instead, he just wanted to cut into the massive spread big banks enjoy through their savings and loans businesses

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Read more: http://uk.businessinsider.com/the-ceo-taking-on-the-biggest-banks-on-wall-street-at-the-lending-game-and-winning-2015-6?r=US&IR=T#ixzz3h1GiOY8h