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 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 lending 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 answer a few simple questions to determine if you are a good candidate for the investors. These questions 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 require a 640 and above credit score to qualify. If you have several late payments listed on your credit report, or have a high debt to income ratio (DTI), you may not achieve favorable results with this type of loan product.
Read more about the peer to peer application process