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Best peer to peer (P2P) lending
Peer-to-peer lending has recently got lots of traction in India since 2016 after de-regulations from the RBI. Peer-to-peer lending is also called P2P in shorter terms. It has become a viable alternative to many banks to lend and borrow money.
For the Investor, he can get a higher return on investment for his money than the traditional interest rates offered by the banks and the borrower can get loans with less lead time, and even if he has a bad credit history but the interest rate is high.
What is a peer to peer platforms? Peer to Peer lending platforms has become a social marketing place where the borrower and lender both can together to meet the borrower’s loan requirements.
Is p2p lending safe? Is p2p lending legal in India? All the Peer to peer platforms is regulated by RBI so you can totally trust and it’s legal.
Is p2p lending a good idea? Many people in India are always in need of cash but due to low credit score or lack of credit history, they can’t avail big loan amounts, to solve this P2P lending came into the picture.
How much money can you make with peer to peer lending? depends on the amount you invest and the interest rates offered usually the interest starts from 12%.
How do I get a p2p loan? You can sign up to any of the p2p lending platforms and after filling your details the company will access your profile and the amount you can get along with the interest rate, once you have finalized the amount you would need to sign an agreement then the cash would be deposited into your account.
What is the best p2p lending site? Which peer to peer lending is best in India? What is an example of p2p? There are many p2p lending platforms in India that offer a lot of features to protect both the borrower and the lender, before lending the money each company has its own risk assessment that varies according to that the company provides loan amount. These are some of the most popular peer to peer lending sites in India.
- LenDenclub
- I2Ifunding
- Rupee circle
- Faircent
Let us know more about these best p2p lending sites in India. legit peer to peer lending sites in India
1. LenDenclub
Leendenclub was founded in 2014, is one of the most trusted p2p sites in India. It is RBI registered NBFC company. If you are a lender you can earn up to 15% interest p.a. on the investment that you make.
The default rate is 4.9% with is quite less. If you are a borrower you can avail of personal loans even if you have a low credit score, For personal loan Interest starts from 6.5 to 20.95%.
Physical verification of the borrower is done before the loan is dispensed. The minimum amount that you can invest is Rs. 500
They charge a one-time registration fee of 2000 for registering. There are no prepayment charges.
2. I2Ifunding
I2Ifunding was founded in 2015 started by a group of IIM Alumni, It is registered under RBI. If you are are a lender you can earn up to 36% interest. And for the borrowers, the Interest rate starts from 12%. Physical verification of the borrower is done before the loan is dispensed. The minimum investment that you can invest in is Rs. 1000.
They charge a one-time registration fee of 500 +18% GST. They also charge 1% for the money invested.
3. Rupee circle
Rupee circle started its operations on 27th December 2018, It is started by a group of IIT alumni grads. It has won many awards and backed by Mahendra Finance and even have tie-ups with TATA-AIG to lend money.
You can earn an interest rate of up to 30% for the lender. The minimum investment you can invest is Rs. 5000. If you are a borrower you can take personal loans up to 5 Laks with an interest rate starting from 12% to 36%.
There is an initial registration fee of Rs.500 along with 1% charged for the investments made.
4. Faircent
Faircent was founded in 2013, one of the first of its kind started in India. It has been awarded as the NASSCOM Emerge 50 in India. It has many well-known investors like JM financial, Muthoot Fin Corp, Aarian capital, etc.
For the lender the can get an ROI of up to 12% to 28%. The minimum investment you can invest is Rs. 750. For the borrower, the personal loan interest starts from 12% to 28% and the maximum investment that you can borrow is 5Lakhs.
There is an initial one-time registration fee of 1000 for the lenders and 500 for the borrowers. There is a 1% charge for the amount you invest.
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