Digital lenders started to bounce back in 2017 after slowing origination growth in 2016. As the industry continues to mature, many lenders are transitioning from high growth to a more profit-focused model. Lenders have tightened underwriting and in some cases reduced headcount in order to show their businesses are sustainable.
The report, which contains a five-year outlook for the US digital lending industry, projects slower growth for the industry as lenders focus on building sustainable businesses with higher quality borrowers.
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