Published on March 22nd, 2014 | by Pete0
So you’re probably hearing more and more about peer to peer lending. I wrote a post earlier in the year about the basics, and why it might well be an attractive idea for some people to get involved in. So I thought I would have a closer look at some of the companies that offer this service. One of them is Lending Works, and they explain how it works below:
‘Lending Works is a marketplace which facilitates lending from person to person, an idea called peer-to-peer lending. We believe this is a fantastic innovation which allows both lenders and borrowers to enjoy fantastic benefits, and is set to be the future of financial services. Lending and borrowing through Lending Works is a credible and safe alternative to using traditional financial institutions.’
Having looked at the site, I have to say I was impressed. It is a site that is very easy to navigate, and contains a lot of useful information. What they also include, that can be very helpful, is a direct comparison between their own rates, and the rates of other companies that offer a similar service.
In terms of lending, they highlight the following:
• Credit checks, identity checks and risk assessment performed on every borrower
• Only the most eligible borrowers are approved
• Our team are experts from the finance industry including accountants and bankers.
Simple & Transparent
• Simple – financial services are needlessly complicated. Lending Works is simple, easy to use and allows you to earn fantastic returns with market-leading protection
• Transparent – by being transparent with our fees, how it works and the risks & rewards we ensure our customers have all of the facts to put them in control
• Dedicated phone & email customer support – no call centres
In terms of borrowing, which they also offer, they make the following promises.
• Fixed rate personal loan
• Extremely competitive rates
• No early repayment fees
• Fully flexible – make over payments if you wish
• Apply online, sign up in 2 minutes, paid out in 2 days
• Personalised quote which doesn’t affect your credit rating
• Dedicated phone and email customer support – no call centres
Lending Works has a very thorough FAQs section, and you even have the chance to meet the team! I think that it is certainly a valuable source of information to check should you be considering peer to peer lending. I’m not at a point in my life yet where this is something I’m looking to get involved in, but I would certainly consider it in the future, when my finances are in better shape!