The New York State Department of Financial Services
("NYDFS") has recently issued an Online Lending Report (the
"Report") analyzing current consumer and
legal issues relating to online lending based on survey results and
state records.
The Report details the analysis of survey results from 35
institutions believed to engage in online lending activities in New
York, out of 48 institutions solicited. In addition, the Report
also references other state reports and legal records to
contextualize survey results. However, the Report notes its
findings are limited by a small sample size, low response rate and
fragmented quality of the responses.
Access to Credit
Survey results suggest that online lending has had positive
effect on access to credit. In 2017, over 235,320 borrowers
received 352,171 loans in the State of New York, with loan amounts
totalling almost $3 billion. Over $500 million was extended to
78,611 borrowers that were unbanked or underbanked.
