Banks Cozy Up to Online Lending Upstarts

On Deck Capital has had a pretty easy time attracting investments from venture capitalists and convincing customers to try its technology, which makes it easier for small businesses to get loans. Getting buy-in from the big banks has been more difficult.

But having mostly overcome the 2008 financial crisis, Wall Street is finally willing to take risks on high-tech lenders. On Deck spent nearly a decade building its business before JPMorgan Chase agreed to team up with the company this month. On Deck said it will help accelerate the process of offering small business loans to the bank's 4 million customers. "We had to lend $3 billion and prove we could do it really well before the banks felt comfortable with us," said On Deck Chief Executive Officer Noah Breslow.