Avant broadens its digital banking capabilities with challenger acquisition

  • “Avant is following the lead of other alternative lenders that have tied up with banks to increase profitability or expand into new credit products.
  • LendingClub’s recent acquisition significantly reduced its cost of funds. By buying Radius Bank, the alt lender reduced its borrowing costs by 90% from the previous year.
  • SoFi’s forthcoming transaction allows it to offer new lending products. The online lender’s recent purchase of Golden Pacific Bancorp is already enabling it to expand its credit solutions into new areas: SoFi launched its first-ever credit card alongside the acquisition and subsequently added auto refinancing to its growing lineup.”

https://www.emarketer.com/content/avant-broadens-its-digital-banking-capabilities-with-challenger-acquisition