Posts Tagged ‘lending’

Wikiloan, social network for peer-to-peer lending

March 6, 2010

Will the world of finance be shaken by new business models induced by the cooperative phenomenon, as it happened for music, movies and the press? At least, P2P banking and lending are unquestionably on the rise. The latest news in this market comes from WikiLoan, a P2P lending platform that plays the social network card. Just like on Twitter, you can post there short messages, follow contacts and be followed. But the main goal of the site is to allow members to lend to and borrow from each other. You can apply for a loan or conversely lend money in various categories: debt consolidation, education, home improvement, organizing events, etc.. The borrower and the lender can agree on the rate and repayment terms. The site makes its revenues from different types of commissions such as flat fees or percentages on lent amounts.

In April, WikiLoan will launch a new offer: the distribution of prepaid phone cards and other cards to pay for small purchases. This offer mainly targets people excluded from the traditional banking system, that is to say an average 28 million people in the United States. They will be able to buy cards in up to 20,000 small local shops around the US. In other words, WikiLoan is progressively building a click-and-mortar social network for P2P lending , relying on virality to extend its share of market.

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