As if all the growth occurring in bitcoin and digital currencies wasn’t enough, now we hear word that fintech lenders have, as of the first half of 2017, overtaken banks and credit unions for share of market in the personal loan sector. That is a HUGE deal. Just five years ago, their share of market was just 4% and in 2010, it was only 1%. If this isn’t enough to get you to believe in the growth of fintech, in all its manifestations, we don’t know what will.
“Fintech lenders are making significant gains in the personal loan space, according to a recent TransUnion report, which follows the staggering growth of fintech lenders in the market over the past few years.
The report, called Fact versus Fiction: FinTech Lenders, was released last week during the Digital Lending + Investing Conference in New York, and shows that fintechs have a bigger share of the personal loans market than banks and credit unions.
According to the study, the loans originated by fintechs had “dramatically risen in recent years.” Last year, fintechs represented 30% of all personal loan balances, the report said. In 2012 that number was only 4% and in 2010 it was less than 1%.
This is indeed a drastic growth. And now, in the first half of this year alone, fintechs represented 32% of personal loan balances compared to 29% by banks and 24% by credit unions, respectively…”
Full Story published November 27, By Tatjana Kulkarni at Bankinnovation.net
“Fintechs Have a Larger Share of Personal Loans than Banks or Credit Unions”