San Diego-based BofI Holdings Inc., parent company of BofI Federal Bank, is piloting a lending program to offer unsecured loans — no collateral required — to consumers this year.
That’s according to an investor presentation the company is using at a road show this month, according to a document the bank filed in late April with the U.S. Securities and Exchange Commission.
The company has said its diverse lending portfolio is among the factors underpinning its success.
More than half of the loans BofI makes are for single-family residential housing, but the bank also makes commercial real estate, small business, and commercial and industrial loans.
Consumer offerings BofI has introduced this year also include retail auto and refund advance loans, which are facilitated through its strategic partnership with H&R Block Bank.
BofI, an online-only bank, said its return on equity as of March 31 — the end of the third quarter of BofI’s fiscal 2017 — was just shy of 24 percent. Banks in its peer group, savings banks with at least $1 billion in assets, averaged about 8 percent that quarter, the bank said.
At the end of March, BofI’s net loan portfolio totaled about $7 billion, up 3 percent over the prior quarter.