In the last year in Spain have increased the loans between people (P2P) . In 2014 these loans reached 62 million euros, which means that they more than doubled the amount of 2013, when the figure was 29 million. According to a study by the University of Cambridge, in Spain in the last three years, not counting the current one, that is, 2012, 2013 and 2014, the value of these loans has been 101 million euros.
The success that interpersonal loans are having, also called P2P loans, is because some people have difficulty accessing personal loans , and they do not trust the investment products since it is not safe for the investment to return and obtain benefits.
Some features of P2P loans
P2P loans work in such a way that a person who needs investment to do any type of project, such as a reform at home, describes their project and their situation on the platform, and other people who want to invest choose between the projects available on the site. which they want to allocate their money.
In this way, both the investor and the borrower get the financing they need and higher interest than with other investment products.
There are no intermediaries
The financing goes directly from who sends it to who requests it, without anyone in between.
It does not have rigid formalisms
The payment and receipt of funds are very fast.
Offer a financing alternative to the person requesting the money
When you have not been able to access another type.
How the platform is online
You can finance or get funding from anywhere in the world.
Does not require heavy investments
With the sum of many small amounts of money sent by different investors, the project can be financed.
It offers investors a much higher interest
That of any other investment banking product.
How loans between people work
There are different platforms for P2P loans , so each one has a different operation, but in general they follow a pattern that is as follows:
- Registration: whoever seeks financing completes a registration form with all the data related to your project and saying the amount you need to finance it.
- Analysis: the risk platform analyzes the request and assign a risk category according to the rating they use.
- Auction: the project is published on the platform for investors to start an auction. The more risky the project is going to be, the more interest investors will earn.
- Offers: investors express their offers. This includes both the amount of money they want to invest in the project and the interest they will lend it to.
- Choice: the borrower chooses among the options of offers that have reached him those that interest him most until the project is fully funded.
- Signature: the contract is signed.
- Transfer: the P2P loan platform transfers the money from the investor to the borrower.
As we can see, new forms of financing appear every day and banks are increasingly the least used option by people who need money to finance their projects. Instead they are entering the market and securing in a very strong way the loans between people and private online lenders .
If you are looking for financing, on our homepage we have made a selection of the best online financial services you can find in the market, check them out and make your request without obligation. Depending on the service you choose, you can have the answer and money in your account in just a matter of minutes.