Aug 02 2006
While the vast majority of today’s loans rely on traditional financial services to complete the transaction, a novel breed of lenders is making waves in the industry. These lenders, commonly referred to as peer-to-peer lenders – or P2P – aim to make borrowing and lending a more intimate business. In lieu of heavy infrastructure and legions of credit experts, P2P lenders combine a blend of high technology with the credit union ethos of pooling of resources.
The Filene Research Institute sees the P2P phenomenon as a trend credit unions need to be aware of, as both challenge and opportunity. In a newly released special report, Peer-to-Peer Lending: Back to the Future. Filene Director of Research George Hofheimer examines the potential impact of P2P lending and suggests ideas for credit unions to take advantage of the trend in its formative stages.