LoanNow, a Santa Ana, CA-based non-prime consumer lending platform, completed a $50m credit facility.
An unnamed institutional investor provided the financing.
The company will use the funds to grow its loan portfolio focused on non-prime, middle-income borrowers.
Led by president and COO Miron Lulic, LoanNow provides affordable credit options to non-prime borrowers, typically with credit scores below 650, based on a traditional credit scoring range of 300-850. Its proprietary repayment motivation algorithm monitors and incentivizes an individual’s repayment and financial behavior in real-time to drive down their overall cost of credit.
The platform, which makes available amounts of up to $5,000 at transparent rates with no origination fees or prepayment penalties, has already originated close to $10 million in personal loans in its first full year of operations.