The importance of P2P is limitless. Moreover, the pace at whichPeer-to-peer lending industry is growing is remarkable. Today, it is also considered one of the best platforms for the investors seeking secure and good income option.
In the last few years, the demand of Instant Loans and Money Lending source P2P has increased at a fast pace. It has many advantages and is truly a good source for the income seeking investors coming from the different background.
Good and regular returns are the essential factors every single investor considers before making any kind of the investment which is indeed the right things. The returns enjoyed in P2P in comparison to the different investment in the market like real-estate, stocks, etc. is higher. The average returns ranges between 15 to 20% per annum.
In P2P Lending sector, investors have the benefit of easy tenure. The peer-to-peer lending allows lenders and borrowers both to choose from the various predefined tenures suiting your specific purpose. The lending duration can be from 6 months to 3 years.
The Peer-to-Peer lending provides the opportunity of passive income. Investors can easily earn monthly income in the form of interest (EMI) and repayment of principal. The passive income is one of the highly considerable advantages facilitated by the P2P lending industry in congruence to the other market-linked investments which has the minimum locking period of 3 years.
SMEs and other businesses are forced to arrange collaterals in order to avail business loans from nationalized banks which at many times becomes the cause of loan application rejection. While with P2P borrowing do not require it and the other alternative options can be easily arranged. It focuses more on the good credit and repayment history.
Unlike banks and other financial institutions, P2P do not demand any hidden charge. The need and the demand of P2P Lending India are continuously growing on account of the various favorable reasons like transparency, no hidden charges, and more flexibility.
Peer-to-Peer lending has become one of the most preferred option not only for the borrowers but also for the investors. A borrower can also go for the prepayment without paying any prepayment charges or one-off payment fee.