P2P Scheme

P2P Scheme  

P2P Scheme-A peer-to-peer (P2P) lending platform is an online aggregation platform for lenders and borrowers.

P2P Scheme  

An intro to P2P Scheme 

Now, expand your horizon of investment and broaden your portfolio with new-age investment option that is Peer To Peer (P2P) Lending. It is taking the banking model and creating a favourable investing climate. It functions completely online without any hassle.

P2P Scheme

Peer to Peer (P2P) lending enables individuals to obtain loans directly from other individuals. 

Peer to Peer lending websites connect borrowers directly to investors

P2P lenders are individual investors.

P2P borrowers seek a better rate than banks offer.

Benefit of Scheme   

1. This platform provides easy, flexible, and quick access to funds for borrowers.
2. It provides funds to borrowers at cheaper rates than banks.
3.  High rate of return to the lender as compared to bank FD.

Who can Lend

Any individual, with a valid bank account in India and PAN, can lend on this platform.

How to Register

To register, a lender needs to provide bank details, PAN and KYC.

Deposit funds in the lender's escrow account.

Tenure and Amount

The maximum tenure for the loans made is 3 years. The lender can start with a minimum of Rs. 500 and a maximum of Rs. 50 lakh across the P2P platform.

The lender is required to do a credit assessment and risk profiling of the borrower.

P2P platform provides credit history-related data to the lender so that he can make smart decisions.

Distursal and Repayments

No cash dealing is allowed.

This platform maintains 2 escrow accounts.

One for funds from a lender.

Other, for collection from borrowers.

Alert

Verify the credentials of a lending platform before lending.

In this blog we learnt about "P2P Scheme"