P2P lending sites are online companies that bring together borrowers and lenders. They remove the bank as the lender and allow people to borrow money from other people, through an online platform. This can be a value to get an easy no hassle unsecured personal loan if your credit score is low. Many of these website companies, though, do require you to prove your creditworthiness with a score of at least 600, will want to know what the money will be used for, and will be able to qualify you for amounts ranging from $25 up to $25,000, depending on your needs. To help you get started, I would like to list five social borrowing sites.
Funding Circle: You have the option to get a hassle free small business loan through Funding Circle. This online website P2P lender started in 2010 in the UK. Your creditworthiness is determined through a credit check with Experian and you are given a letter that determines your risk. If your business needs capital and you can’t get the loan through your bank, this option may be available to you to borrow.
Lending Club: You can receive a person to person loan from Lending Club. Using this website for P2P lending, you will be able apply for a loan in minutes, get the money at a lower interest rate than a bank, and have the option to make fixed monthly payments. You will be able to get loans to pay off credit cards that have a high interest rate, finance a vehicle, or improve your home. Also, prepaying the loan early is an option.
LendFriend: With LendFriend, you have the option to get an easy no hassle unsecured personal loan through this social lending site from people you choose. You can use the money as you choose but you will need to have a proposal about what the funding will be used for and will need to find a lender that is willing to fund it. One of the benefits of this site is that, as a borrower, you can request to get your monthly payment lowered when financial hardship and difficulty is part of your situation. This can avoid you from defaulting and setting you up for bad credit.
LendingKarma: Like LendFriend, this P2P lending site allows you to be flexible with your payment options, especially if money is tight. You will still owe if you receive a promissory note, which is between you, the borrower, and the lender. Whether you need an secured or unsecured loan, a lender from LendingKarma should be available if you use this site, which allows you to calculate payment schedules, document and track the loan.
LoanBack: LoanBack is a online platform site for peer 2 peer lending. It offers a legally binding agreement for loans that is valid in 50 states. The process to receive an easy no hassle unsecured personal loan requires 4 steps online. You do have the option available to customize your loan, as well, including collateral and late payment penalties.
National Family Mortgage: Without a bank, a site that offers peer to peer lending such as National Family Mortgage can secure financing much quicker than a traditional financial institution. This means that you can often get a better deal on a house and don’t have to wait for weeks of work for approval with a bank. You also can secure a much lower interest rate, with this person to person site; the rate is about one-half to one point lower than a traditional lender.
Prosper Marketplace: Prosper Marketplace is an option for easy no hassle unsecured personal loans that range from $25 to $25,000. You will need to illustrate creditworthiness, though, with a credit rating of 640 or more. Although you can take out loans for special occasions such as weddings, you may get a better rate for consolidation loans or loans that improve your bottom line.
ZimpleMoney: ZimpleMoney is easy to use. You can setup an intra-family loan on this P2P site for lending. This makes getting a loan from a friend or relative done securely. The money can be delivered electronically — as are your payments and can be easily tracked.
I hope this list of P2P lending sites has been of help to you.