I missed this event for LendingClub back in December 2007. They have formed an alliance with WebBank, thus bringing the weight of a regulated FI to support their business model.
Lending Club, for example, has entered a partnership with WebBank, a Federal Deposit Insurance Corp.-insured, state-chartered industrial bank organized under the laws of the state of Utah to originate the loans in a consistent manner nationwide. As a result, Lending Club loans are regulated under WebBank’s industrial loan charter.
The winds of regulation are catching up with P2P Lending in those jurisdictions where that had not been the case to date. However its also interesting to see how P2P Lending is not being unduly handicapped, in terms of business model, and in fact the credibility associated with regulation, and Bank alliances strikes me as being a positive trend. As Jim Bruene noted in his prescient December OBR, report entitled Person-to-Person Lending 2.0
Its (P2P Lending) consumer appeal could make it a good marketing platform for banks and credit unions.
Bankwatch 
Colin –
I recently interviewed Renaud Laplanche, CEO of LendingClub.com (next months issue) and we discussed the changing landscape of P2P lending. We were discussing some of their latest ventures and how banks can partner with sites like Lending Club.
Another point was that the lack of regulation is probably only a temporary situation, so they are working diligently to comply with regulatory requirements, and expect to see a change in the near future.
For now, the regulatory requirements sit squarely on the back of banks that social finance websites partner with, such as the credit unions partnered with Zopa.com.
Prosper just partnered with the same bank.
@Tom …. now thats interesting!