Cross River, an established financial services company, and PeerIQ , a consumer loan data analytics provider, today announced a strategic partnership that will streamline capital sourcing between non-bank lenders and institutional loan buyers. The new effort will combine Cross River’s capital, technology, and regulatory compliance processes with PeerIQ’s risk management platform, loan/borrower data sets, and data verification tools to enable community banks and other loan buyers to more easily access the sector.
Cross River has developed a full suite of sourcing initiatives for marketplace lending, including loan origination partnerships, extending warehouse lines and placing secondary loan pool sales—often to other community banks looking to access loans. Backed by investors including Battery Ventures, Ribbit Capital and Andreesen Horowitz, Cross River has always sought to utilize leading technologies to streamline the movement of capital in a manner that meets the stringencies of the FDIC regulatory and compliance framework.
“Cross River is continuously investing in internal-facing technology that will enhance our ability to ensure strict regulatory compliance and adhere to consumer protection,” said Geoffrey Kott, EVP, head of finance and strategy at Cross River. “PeerIQ’s risk management platform—with its leading loan-level analytics and monitoring capabilities, credit facility management toolkit, and full integration of TransUnion data—will both augment our internal capabilities and provide best-in-class loan-level monitoring tools for our clients and partners.”
“Cross River is a major hub for the entire marketplace lending sector and a natural partner for PeerIQ,” added PeerIQ CEO Ram Ahluwalia. “The risk management and regulatory compliance solutions we’re bringing to market will not only unlock new capital, but hopefully do much to establish best practices in loan-level transparency for the industry.”