Peer-to-Peer Loan Financing Made Easy
If you are in need of a personal loan, a peer-to-peer loan could be a great financing option for you to consider, if you need that money to be unsecured. Peer-to-Peer lending is also known as person-to-person lending. This type of unsecured financing is different than a conventional bank loan, because it is funded by private investors. This means, instead of you borrowing money directly from a traditional bank or credit union, you instead borrow money from regular people.
Unsecured P2P loans can be used for any purpose, and have an easy application and funding process. Peer-to-Peer financing can be obtained up to $35,000 with terms ranging from 3-to-5 years. Rates currently start around 6% for excellent credit individuals.
If you are interested in this type of personal financing, submit your information now. We have experts standing by that would be happy to answer all questions you may have about peer-to-peer lending. There's no obligation to proceed if you don't like the results, so get started today.
Peer to Peer Lending Further Explained
Peer-to-peer lending is also known as person-to-person lending, P2P, or social lending. This is a non-traditional unsecured loan type that can be right for certain borrowers with good-to-excellent credit. This type of lending is offered using your personal credit history, although funds obtained from a peer-to-peer loan can be used for any purpose.
Benefits of Peer to Peer Financing Loans
The benefit of obtaining this type of personal loan, is that it eliminates much of the cost and complexity found in the traditional lending system. Peer-to-Peer lenders connect average borrowers with private investors interested in lending money, taking the bank or credit union out of the equation. By cutting out of the middle man, a p2p lender can save money. These savings can then be passed along to the borrower in the form of a lower interest rate. The private investors lending money, also benefit by earning more off their investment, because there is no bank taking a cut.
The P2P Loan Application and Funding Process
The peer-to-peer loan underwriting and application process is simple to complete and in most cases is easier than most traditional lenders. Unlike many traditional banks and credit unions, peer-to-peer lenders are able to give you a pre-qualification offer in a matter of minutes, by asking only a few simple questions. Certain peer-to-peer lenders are even able to offer you a decision without having to place a hard inquiry on your credit. This can save your credit score valuable points.
Most peer-to-peer lenders will only require you to provide some basic information about yourself in order to determine if you are a good candidate for a loan. This information may include your name, address, date-of-birth, loan amount needed, annual income and a self-rated credit score. Because peer-to-peer lenders offer personal unsecured loan products, they will be looking for a 660 or above credit score to qualify. If you have a lower credit score, or have a high debt-to-income ratio (DTI), you may not achieve favorable results with this type of unsecured loan program.