User:Markcappel/sandbox

FreedomPlus is a lender that focuses on underwriting loans to prime and sub-prime consumers. FreedomPlus is the consumer brand of Freedom Financial Network, LLC, which is headquartered in San Mateo, California. FreedomPlus developed a proprietary underwriting process that delivers low-cost loans to borrowers and low-risk access to consumer loan portfolios for accredited investors.

In December 2013, the Freedom Financial Network announced it received a venture capital commitment of $125 million from Vulcan Capital, which is Vulcan Inc.'s investment company. Freedom Financial Network will use the capital to grow its lending operations and to launch FreedomPlus, an online online lending platform set to debut in early 2014. FreedomPlus will be open to accredited investors to invest in pools of loans, but it is not a peer to peer lending company.

FreedomPlus will be lead by Joseph Toms, the former managing director at LC Advisors, Lending Club’s registered investment advisor subsidiary, and Chief Investment Officer at Prosper Marketplace. Both are peer-to-peer lenders.

FreedomPlus will focus on “emerging prime” borrowers with a FICO score between 600 and 700, of which there are 80 million in the US. The maximum loan amount will be $35,000 and the maximum interest rate will be less than 36%, with a loan terms of 2 to 5 years.

History
Inception The parent company of FreedomPlus, Freedom Financial Network, started a pilot program in 2008 of making unsecured loans to consumers struggling with their existing debt. The company lent $25 million to people who had average FICO scores of 576. Average loan balances were greater than $15,000, and annual default rates were less than 2%. Interest rates are 3.75% above prime consumer debt rates.

Leadership

 * Andrew Housser, CEO and Founder
 * Joseph Toms, President and Chief Investment Officer