Peer to peer lending is an online platform that allows you to borrow directly from an individual instead of from an institution.
Peer to peer lending is growing in popularity because it’s a simple process that’s a win-win for borrowers who pay low interest rates and investors who earn high interest rates.
You can borrow for as little as 6% and earn an average return in the double digits.
Here’s how it works…
Borrowers post a loan listing that includes the amount they want and why they want it. Investors review loan listings and choose the ones that meet their criteria.
Peer to peer lenders screen all applicants and check the credit, which becomes part of your loan listing. Your credit will still mean something, but an individual investor may be more empathetic to your situation than a traditional bank.
