Peer to peer lending is estimated be worth $897 billion by the year 2024. Look through the infographics by Learn Bonds for proofs and details.
The global finance industry has changed a lot since Peer-to-Peer lending revolutionized the traditional way of giving out loans by excluding the role of banks from this process. This fintech revolution continues to gain momentum and, according to the recent analysis conducted by Learn Bonds, Peer-to-Peer lending is set to become a $1 trillion industry in the near future.
Peer-to-Peer lending, or simply P2P lending, represents itself a practice of lending money to individuals or businesses through online services that match lenders with borrowers. Operating online results in smaller overheads, which means that consumers can enjoy more competitive interest rates and associated costs, – obvious benefits of P2P over established financial sector organizations.
The operating environment of P2P sector is presented by online investment platforms provided by P2P lenders. Such services are designed to connect borrowers directly to investors. P2P lenders have their own independent credit models, developed to estimate prices and deliver approval for loans.