The biggest breakthrough in lending: Merchant Integrated Loans!

[BitLendingClub]

    Introducing the biggest breakthrough in lending: Merchant Integrated Loans!

The partnership between GenesisMining and BitLendingClub is the first step in providing smart loans using the block-chain technology, it's a a monumental step in the history of cryptocurrencies! By combining forces, BitLendingClub and Genesis Mining have managed to create a brand new type of loan which nearly eliminates the risk of default due to borrower error. We're hoping that our partnership will eventually allow us to integrate smart loans into the block-chain in a way that has never been done before!

How it works:
The platform allows borrowers from all over the world to request a hosted mining loan. When lenders fund the loan, BitLendingClub creates a special account with Genesis Mining for the specific borrower. BitLendingClub sets the Genesis Mining payout address to the borrower's account at BitLendingClub. Automatic payments from the borrower's balance to the lenders are enabled and the borrower is not allowed to disable the automatic payments. Genesis Mining pays out in BTC to the specific payout address until the end of the contract. When the loan is repaid, BitLendingClub allows the borrower to invest and withdraw funds from his account and gives the borrower the credentials for his account at Genesis Mining.

Genesis Mining guarantees the following:

• Hosting of the mining equipment.
• 100% up-time for the mining equipment.
• Regular payouts for the length of the mining contract.
• Payouts to an address controlled by BitLendingClub.

Genesis Mining is not responsible for any losses which may occur due to increased mining difficulty, fluctuation of exchange rates, or any other factor which may affect the ability of the mining equipment to make payouts.
The Terms and Conditions of Genesis Mining apply to the relationship between the customer and Genesis Mining under each relevant contract.
If the mining equipment can no longer mine profitably and the loan is still not paid off, then the borrower is still responsible for any remaining balance.

Please note that when you choose "Hosted mining" loan type, you won't be able to use your account to withdraw BTC, invest or create new loans until the loan is repaid.

Listening to your feedback, we have taken various steps to improve our services.
Here are some of the things you have helped change within BitLendingClub:

• New loan type for Hosted Mining with the cooperation of Genesis Mining.
• New loan type for reputation loans. We have placed withdrawal restrictions on reputation loans. If a loan is strictly for reputation, then funds from it can't be withdrawn.
• Automatically processed withdrawals for users who have a reputation above 100. Users will be allowed to do an automatic withdrawal if they have no open listings.
• Automatically rejected withdrawals for reputation loans. E-mail notification will be sent to the investors if the user attempts to withdraw fund from reputation loan.
• We’ve also enhanced the Investment section in the Dashboard. You are now able to see your total invested amount, earned interest in BTC and total amount of repaid investments in BTC. In addition to these statistics, you are also able to see the default rate on your investments.

BitLendingClub is always open for innovative ideas. If you have any ideas that you would like to share about how to improve our lending platform, we are always here to help out. Do not hesitate to contact support with any questions or concerns: support@bitlendingclub.com
You can also user our Help Center to ask questions and get support from the BitLendingClub community:
Thank you for being part of the BitLendingclub community — we hope you enjoy it!

Best regards,
The BitLendingClub team
https://bitlendingclub.com/

BitLendingClub is open to a partnership with every Bitcoin merchant and hardware manufacturer who can provide similar guarantees with regards to loan repayment.

[RiverBoatBTC]

Quick question, are you licensed to give loans in IL?

[BitLendingClub]

Quick question, are you licensed to give loans in IL?

BitLendingClub, LLC itself doesn't give loans, so we're not required to get any lender licensing in IL. We're merely the middlemen between lenders and borrowers, all we do is to provide a platform where the two can meet and create loan contracts with each other. The lenders and borrowers are responsible for abiding by all laws under which jurisdiction they fall in.

[RiverBoatBTC]

Think you better talk to a lawyer about that.
(815 ILCS 175/15-5.15)
    Sec. 15-5.15. Loan broker.
    (a) "Loan Broker" means any person who, in return for a fee, commission, or other compensation***** from any person, promises to procure a loan for any person or assist any person in procuring a loan from any third party, or who promises to consider whether or not to make a loan to any person.
    (b) Loan broker does not include any of the following:
        (1) Any bank, savings bank, trust company, savings
       
and loan association, credit union or any other financial institution regulated by any agency of the United States or authorized to do business in this State.
        (2) Any person authorized to sell and service loans
       
for the federal National Mortgage Association or the federal Home Loan Mortgage Corporation, issue securities backed by the Government National Mortgage Association, make loans insured by the federal Department of Housing and Urban Development, make loans guaranteed by the federal Veterans Administration, or act as a correspondent of loans insured by the federal Department of Housing and Urban Development or guaranteed by the federal Veterans Administration.
        (3) Any insurance producer or company authorized to
       
do business in this State.
        (4) Any person arranging financing for the sale of
       
the person's product.
        (5) Any person authorized to conduct business under
       
the Residential Mortgage License Act of 1987.
        (6) Any person authorized to do business in this
       
State and regulated by the Department of Financial Institutions or the Office of Banks and Real Estate.
(Source: P.A. 92-308, eff. 1-1-02.)

[BitLendingClub]

   (a) "Loan Broker" means any person who, in return for a fee, commission, or other compensation***** from any person, promises to procure a loan for any person or assist any person in procuring a loan from any third party, or who promises to consider whether or not to make a loan to any person.

I've also added some highlights of the key factors here:

... promises to procure a loan for any person or assist any person in procuring a loan from any third party, or who promises to consider whether or not to make a loan to any person.

We do not promise to procure a loan, nor do we assist people in procuring a loan from a third party, in the sense that is implied by the law. A broker actually helps other people find a third party and it manages the relationship in a manner which we don't. We don't promise people that we'll find them a loan and we don't help them find a loan from a third party. The borrowers do that on their own and they're responsible for communicating with their lenders (through the entire process). Our involvement is merely facilitate when there are some issues with how borrowers use our system.

[RiverBoatBTC]

You need to offshore, or something. Your in a legal nightmare from what I can tell.


In 2008, the Securities and Exchange Commission (SEC) required that peer-to-peer companies register their offerings as securities, pursuant to the Securities Act of 1933.[18][20] The registration process was an arduous one; Prosper and Lending Club had to temporarily suspended offering new loans,[21][22][23][24] while others, such as the U.K.-based Zopa Ltd., exited the U.S. market entirely.[21] Both Lending Club and Prosper gained approval from the SEC to offer investors notes backed by payments received on the loans. Prosper amended its filing to allow banks to sell previously funded loans on the Prosper platform.[5] Both Lending Club and Prosper formed partnerships with FOLIO Investing to create a secondary market for their notes, providing liquidity to investors.[25] Lending Club had a voluntary registration at this time, whereas Prosper had mandatory registration for all members.[26]

A class action lawsuit, Hellum v. Prosper Marketplace, Inc. is currently pending in Superior Court of California on behalf of all investors who purchased a note on the Prosper platform between January 1, 2006 and October 14, 2008. The Plaintiffs alleged that Prosper offered and sold unqualified and unregistered securities, in violation of California and federal securities laws during that period. Plaintiffs further allege that Prosper acted as an unlicensed broker/dealer in California. The Plaintiffs were seeking rescission of the loan notes, rescissory damages, damages, and attorneys’ fees and expenses.[50] On July 19, 2013 the class action lawsuit was settled. Under the settlement terms Prosper will pay $10 million to the class action members.[51]

[BitLendingClub]

You need to offshore, or something. Your in a legal nightmare from what I can tell.

It's fairly easy for us to go offshore. My team and I are currently in Bulgaria, so if we see any problems from a legal perspective, we'll use the LTD in Bulgaria. The other thing is that Propser and Lending Club work slightly differently. They loan contract is actually between the borrower and Lending Club/Prosper, we don't actually have a loan contract with the borrower nor with the lender. The loan contract is between the two parties.