The bond market has entered a financial twilight zone, and at this point, there doesn't seem to be a smooth way out.Market Insiderread more
President Donald Trump said on Twitter he was postponing a scheduled meeting with Denmark's prime minister because of her lack of interest in discussing a possible sale of...World Politicsread more
China has used both monetary and fiscal measures to lift economic activity as its trade war with the U.S. looks set to intensify in the coming months.China Economyread more
Federal Reserve Chairman Jerome Powell is set to deliver his annual speech on Friday at the Jackson Hole, Wyoming symposium, where he's expected to provide more clarity on the...Asia Marketsread more
After Elon Musk touts Tesla solar on Twitter, Walmart sues the electric vehicle and clean energy company over store rooftop panels that ignited.Technologyread more
Trump said he has "been thinking about payroll taxes for a long time" — and he cautioned that "whether or not we do something now, it's not being done because of recession."Politicsread more
Secretary of State Mike Pompeo privately told business executives and free traders that the trade war could end by the 2020 election and that hurdles to an immediate agreement...2020 Electionsread more
Market bull Jeff Saut told CNBC on Tuesday that the lows are in and the market is headed "much higher."Marketsread more
Home Depot CFO Carol Tome says "consumer confidence is near record high levels" but "consumer demand could be impacted" by lingering U.S.-China trade tensions.Mad Money with Jim Cramerread more
The company's stock seesawed after the markets closed Tuesday, initially swinging up by 4% before falling by about 2%.Retailread more
VMware has become accepting of the corporate rush to the cloud. A new acquisition could help it make more revenue as companies adopt a modern approach called serverless...Technologyread more
Max Levchin, with his start-up, Affirm, is trying to take on the big banks and revolutionize online lending for a younger generation of Americans.
This morning, Levchin announced that he has raised a ton of new money in that fight.
The PayPal co-founder and Yahoo board member says that Affirm raised $275 million in debt and equity financing, which it will use to increase its loan distribution capacity, offer customers lower cost loans, and develop new products.
Spark Capital Growth led the investment, and was joined by new investors Jefferies and Andreesen Horowitz as well as existing investors Khosla Ventures and Lightspeed Venture Partners.
To date, Affirm has now raised a total of $325 million.
"Today's financial services industry is not well-equipped to handle the needs of the largest consumer generation in history," Levchin said in a statement. "We're building a financial technology company for the next generation, and for anyone who expects more from their financial service providers."
Levchin bills Affirm as the "future of honest finance." The start-up offers a simple, fixed-term loan at the point of sale, and the approval is in real time. Consumers fill out basic personal information online, and Affirm then runs a credit check.
Once approved, consumers can buy goods from more than 100 merchants—everything from bedding at Casper to jewelry at Ice.com.
There are, of course, a range of companies now using technology to re-imagine loan underwriting, from Lending Club, which went public in December, to Prosper, a peer-to-peer market claiming 2 million members. There's also Levchin's old company: 'PayPal Credit' is an online lending option that works with thousands of stores.
Still, the biggest risk for Levchin isn't necessarily the competition but the potential for bad loans. But, at least right now, that threat doesn't seem to be discouraging top-tier venture capitalists from investing in Affirm and its founder's vision for the future of online lending.