lendingasaservice
Lending as a service, often abbreviated LaaS, is a business model in which a technology platform provides the infrastructure, operations, and funding needed to offer loans on behalf of another organization. The partner company can offer loan products under its own brand without building and maintaining a complete lending stack.
Core components typically include loan origination, underwriting, funding, loan servicing, collections, and regulatory compliance. LaaS platforms
How it works: a partner selects product types, loan terms, and pricing, then uses the LaaS platform
Market and use cases: LaaS is used by fintechs, banks, retailers, and e-commerce platforms to embed lending
Risks and considerations: The model introduces dependency on a platform and requires careful attention to regulatory
See also: Banking as a service, embedded finance, fintech, loan servicing.