The global Peer-To-Peer Lending Market was accounted for US$ 125.3Billion in terms of value in 2020 and is expected to grow at CAGR of 48.4% for the period 2020-2027.
Financial Conduct Authority, the U.K. regulatory body, has developed and implemented regulations specific to peer-to-peer lending industry, which address the risks and other typical attributes of this industry. Moreover, the French Government has been strongly supporting peer-to-peer lending industry. In fact, it has developed a dedicated website for the industry, which has listed names of prominent peer-to-peer lending projects.
Key Players in the P2P market are OnDeck Capita, Inc., Zopa Limited, Kabbage, Inc., Funding circle Limited, Social Finance Inc., Prosper Marketplace Inc., Ratesetter and Avant.
Peer-to-Peer lending is an option worth exploring. P2P lending works differently from the financing you may have received in the past. You are not borrowing from a financial institution but rather from an individual or group of individuals who are willing to loan money to qualified applicants. P2P lending websites connect borrowers directly to investors as these lenders are called. Each website sets the rates and the terms (sometimes with investor input) and enables the transaction.
OnDeck, a leader, Sept 2020 announced collaboration with Visa to support businesses through Visa’s Small Business Hub. OnDeck joins a small group of lenders to offer financing opportunities through the Hub. The Visa Small Business Hub is designed to give small businesses the tools and resources they need to build stronger, more digitally enabled businesses, which is needed more than ever with the impact of COVID-19. In joining this effort, OnDeck will offer a dedicated resource page on the Hub to help small businesses understand how OnDeck is able to support and power their growth and success. OnDeck’s proprietary lending technology enables the company to make lending decisions in hours, not weeks. With OnDeck’s speed in decisioning, enhanced further by Visa Direct, Visa’s real-time push payments platform, OnDeck can quickly fund completed loans and provide small businesses with the access to financing they need, when they need it.
Kabbage joins the American Express. There resolve will remain entirely focused on solving the plight of the small tasks related their lives easier and their businesses stronger by handling the tough tasks related to financial services in an automated and simple way. With American Express, their ability to reach more small business with increasingly impactful affected their economy by covid-19 and they are key to their economic renewal. They will continue to lead the change for their revival and growth.
Segmentation of Peer to peer lending market has covered By Type includes Consumer Lending and Business Lending. By End-User, it includes Consumer Credit Loans, Small Business Loans, Student Loans and Real Estate Loans. Geographically it includes ASPAC, North America, Europe and Row. Among these North America region dominated the global Peer-to-Peer Lending Market in 2019, accounting for 42.6% share in terms of value, followed by Asia Pacific, Europe, Latin America and Middle East and Africa. The marketplace in emerging economies in Asia Pacific such as China and India operates in both online and offline mode. The recent past has witnessed emergence of online peer-to-peer lending platforms.