Happen Bank Crosses $10 Billion in Personal Loans Sold Through Its Proprietary Structured Loan Certificates Programs

Existing marketplace investors are increasing purchases while new investors continue to join the platform.

Rhea-AI Summary

Happen (HAPN) subsidiary Happen Bank has crossed $10 billion in personal loans sold through its structured loan certificate programs.

The programs, HAPS and LENDR, launched in April 2023 and June 2025, respectively. Existing marketplace investors have increased their purchases, and new investors continue to join the platform. Happen Bank says the programs provide flexible marketplace funding and help balance loan sales with balance sheet growth. HAPS combines a retained senior note with a residual certificate sold to an investor; LENDR offers multiple note tranches with Fitch credit ratings.

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Positive

• Moderate pointPersonal loans sold through HAPS and LENDR have crossed $10 billion. 5.8× market cap
• Minor pointMarketplace participation includes increased purchases by existing investors and new investors joining.
• Minor pointHAPS and LENDR provide flexible marketplace funding, Happen Bank says.
• Minor pointLENDR broadens funding options for investors seeking investment-grade ratings, Happen Bank says.

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• None.

Key Figures

Personal loans sold: $10 billion

Personal loans sold

$10 billion

Cumulative total through HAPS and LENDR

Key Terms

securitization, tranche, senior note, residual certificate, +1 more

5 terms

securitization financial

"a two-tranche private securitization"

Securitization is when a bank or company takes a bunch of loans or assets, like mortgages or car loans, and bundles them together into a single package. They then sell pieces of this package to investors, who receive regular payments from the borrowers. This process helps the original lender get money quickly and spreads the risk among many investors.

tranche financial

"a two-tranche private securitization"

A tranche is one slice of a larger financing or investment that is released, sold, or paid out in separate parts rather than all at once. Investors care because each slice can carry different risk, return and timing—like buying pieces of a cake where some slices are richer or come later—so the specific tranche you hold affects when you get paid and how much you might gain or lose.

senior note financial

"retains the senior note"

A senior note is a loan-like security a company issues to raise money, promising regular interest payments and to return the principal at a set date. It has higher repayment priority than other company debts, so if the company struggles the holders get paid before subordinated creditors; think of it as standing earlier in line at a checkout. That priority typically means lower risk and lower yield, making senior notes useful for assessing repayment likelihood and credit strength.

residual certificate financial

"sells the residual certificate"

A residual certificate is a security that gives its holder the right to the leftover cash flows from a pooled-asset financing (for example a securitization, mortgage pool, or collateralized debt obligation) after all senior tranches, fees, and expenses have been paid. It functions like the equity layer of the deal: payments to the residual holder vary with actual receipts (interest, principal, prepayments, losses) and therefore carry higher volatility and subordinated risk compared with rated tranches. Think of it as owning the ‘residual’ slice of a pie — whatever remains after fixed slices are taken by higher-priority claimants.

investment grade financial

"seeking an investment grade rating"

A credit rating label assigned to bonds or borrowers that signals relatively low risk of default; think of it as a strong health check for a company's or government's ability to repay debt. It matters to investors because investment-grade status typically means lower interest costs for the borrower, greater eligibility for conservative funds and pension portfolios, and generally more stable returns compared with higher-risk, non-investment-grade debt.

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SAN FRANCISCO, Sept. 30, 2026 /PRNewswire/ -- Happen Bank, a subsidiary of Happen, Inc. (Nasdaq: HAPN) and a digital bank built for the Motivated Middle, today announced that it has crossed $10 billion in personal loans sold through its proprietary structured loan certificates programs, HAPS and LENDR. Launched in April 2023 and June 2025, respectively, the programs expand investor access to Happen Bank loans while providing the company with a flexible, scalable source of marketplace funding. 

This milestone reflects sustained demand for Happen Bank's personal loan assets, with existing marketplace investors increasing their purchases and new marketplace investors continuing to join the platform. Together, HAPS and LENDR enhance Happen Bank's ability to match assets with committed funding and balance marketplace loan sales with balance sheet growth, which provides more flexibility to generate attractive returns across a range of economic cycles.

HAPS, formerly known as SLCLC, is a two-tranche private securitization in which Happen Bank retains the senior note and sells the residual certificate on a pool of loans to a marketplace investor at a predetermined price, effectively providing built-in financing. Marketplace investors earn compelling levered returns with low friction and low-cost financing on a liquid security, and Happen Bank earns an attractive yield with remote credit risk.

Building on the success of the HAPS program, Happen Bank launched LENDR, which offers multiple note tranches, each with a credit rating from Fitch, to meet the needs of investors seeking an investment grade rating to invest in Happen Bank's attractive asset class. The program further diversifies Happen Bank's marketplace funding and expands the company's ability to place loans efficiently across market conditions.

"Structured certificates, which are uniquely enabled by our bank status, allow us to provide investors with attractive, streamlined financing and efficient access to the asset class across changing market conditions," said Clarke Roberts, Senior Vice President, General Manager, Marketplace at Happen Bank. "Crossing $10 billion through these programs in just over three years speaks to the value of these types of structures for investors. We're proud that Happen Bank was the first in the industry to offer both high-quality personal loans and streamlined financing at scale, cementing our status as a provider of choice in this asset class." 

Throughout its 20-year history, Happen Bank has offered a range of industry-first, unique product structures to expand investor access to consumer credit, broaden distribution, and improve liquidity for all investors.

About Happen Bank

Happen Bank™ – formerly LendingClub Bank – is a digital bank built for the Motivated Middle: high-FICO, high-income, digitally savvy consumers actively managing their financial lives. Our difference? We make it easy for them to access award-winning products that help them keep more of what they earn and earn more on what they save. Our products are aligned by design to reward our five million plus members when they take positive financial steps, like saving regularly or making loan payments on time.

Our success is fueled by our advanced credit underwriting, a proprietary technology platform engineered for innovation, and a marketplace bank model that drives value for members, loan investors, and shareholders alike. The result is affordable credit, meaningful value, and a trusted banking relationship – delivered consistently and profitably at scale.

Happen Bank exists to clear the way for our members to make it happen.

Happen, Inc. (Nasdaq: HAPN) – formerly LendingClub Corporation – is the parent company and operator of Happen Bank, National Association, Member FDIC. For more information about Happen Bank, visit https://www.happen.com. 

Contacts
For Investors:
IR@happen.com

Media Contact:
Press@happen.com

Safe Harbor Statements

The series notes and residual certificates issued through the HAPS and LENDR programs have not been and will not be registered under the Securities Act of 1933 or any state or other jurisdiction's securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act of 1933 and applicable state or other jurisdiction securities laws.

This press release will not constitute an offer to sell or the solicitation of an offer to buy the series notes or residual certificates or any other securities, nor will there be any offer, solicitation or sale of the series notes, the residual certificates or any other securities in any state or other jurisdiction in which the offer, solicitation or sale would be unlawful.

Some of the statements above, including statements regarding the performance and benefits of, and demand for, our structured loan certificates programs, are "forward-looking statements." The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "outlook," "plan," "predict," "project," "should," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include: our loan performance, our ability to continue to attract and retain new and existing borrowers and marketplace investors (including retaining long-term investors through the duration of their expected partnership and achieving the anticipated level of purchases); competition; overall economic conditions; the interest rate and/or regulatory environment; default rates and those factors set forth in the section titled "Risk Factors" in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, as well as in our subsequent filings with the Securities and Exchange Commission. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

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SOURCE Happen Bank

FAQ

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How much has Happen Bank sold through HAPS and LENDR?

Happen Bank has crossed $10 billion in personal loans sold through the two structured loan certificate programs. HAPS launched in April 2023, followed by LENDR in June 2025.

How does Happen Bank's HAPS loan certificate program work?

HAPS is a two-tranche private securitization: Happen Bank retains the senior note and sells the residual certificate on a pool of loans to a marketplace investor at a predetermined price. This structure provides built-in financing. The program was formerly known as SLCLC.