The multibillion-dollar peer-to-peer P2P Industry, which is expected to grow at a high double-digit compound annual rate, is proving to be one of the best places to borrow and invest.
While regulations for the evolving industry have dampened the rate of growth somewhat in recent quarters, the outlook is bright for market lending as regulation increases borrower and lender confidence in this industry.
Despite attractive yields and easy borrowing, it is essential to choose the platform that offers the best services according to the requirements of the regulator.
Loan Club is one of the best options for lenders and borrowers due to its legal status and strong reputation in the emerging industry. Lending Club has loaned nearly $ 45 billion since 2007, and in 2014 it became the very first publicly traded company in the P2P lending industry. It offers different types of loans including personal loans, business loans, student loans, etc. They charge an origination fee of 1.99 to 8.99 percent. One can start investing in the loan club with just $ 1,000.
Funding Circle is a peer-to-peer lending company founded in August 2010 in the UK. It is one of the most reputable P2P lending platforms and offers secured loans that reduce the risk of losing your entire investment. The loans are also approved very quickly and there are automatic investment options.
Source: Loan Club Website
Reached is one of the fastest growing P2P lenders offering the best services to investors and borrowers. Its business has grown at a tremendous pace since the launch of a consumer credit product in May 2014. Investing in Upstart is fairly straightforward; the investor only has to customize an investment plan for their funds, and the platform allows investors to invest automatically.
FundRise has a habit of offering 8-12% returns to investors. Investors can start investing in this platform with just $ 500 on hand. The P2P company has returned over € 65 million to investors in the past year alone. The platform allows investors to invest money according to their goals. It offers an investment portfolio filled with multiple real estate projects. All of these projects are handpicked by management and proactively developed to maximize investor returns.