Having a secured future is what everybody wants and getting an investment is the most obvious answer to it. However, with tons of investment opportunities out there, it’s not surprising that you’ll be overwhelmed of where to start or what to choose. Normally, you’ll hear about cash bank deposits, bonds, stocks, mutual funds, real estate, etc. But, have you ever heard about investing in a consumer loan or peer-to-peer lending before? If not, this is the best time for you to take into consideration and know about how it can benefit you.
What is a Consumer Loan?
Based on the Business Dictionary, consumer loan is a certain amount of money granted or being lent to an individual, most commonly in an unsecured manner. The purpose of the loan can vary from household to family and to other personal purposes. In simpler words, a consumer loan is when you lend your money on lending business.
Sometimes this type of loan is also known as consumer credit and one type of this loan is a personal loan. At first, consumer lending is only limited to the banks but as peer-to-peer lending platforms increase popularity, everyone can now become an investor too. But how does this investment platform works?
How Does Consumer Loan Works?
With consumer loans, you can earn extra cash by lending your excess money to a borrower with the help of a third-party company that offers a P2P lending platform. This company will be providing you a list of individuals who qualify for a loan. Then, you will have to choose the type of loan you want to finance. As the borrower repays the loan, you will be able to retrieve your capital along with its interest.
Considering a P2P loan investment? If you are, you can look forward to earning great returns at Vidalia Lending. As an investor, guaranteed that you don’t have to worry about a thing with regards to the collection of loans, marketing and of course, your capital. We know how much you value your capital and thus, Vidalia Lending offers promising security to your invested money.
Why Consider Investing in a Consumer Loan?
1. Have a higher interest than your savings account
It has been an old investment advice to put your money in the bank than to keep it in your secret treasure chest at home. At the very least, the bank can grow your money because of the interest. However, in the fast-paced world we have today, is this strategy still works? Well, technically, it still works, however, if you are looking for a high return from your investment, you might get a little disappointed. Investing in a consumer loan offers a higher interest than your savings account. The interest varies on the type of loan you have funded and of course, the bigger the capital, the bigger the interest you’ll get. Well, technically, it still works, however, if you are looking for a high return from your investment, you might get a little disappointed. Investing in a consumer loan offers a higher interest than your savings account. The interest varies on the type of loan you have funded and of course, the bigger the capital, the bigger the interest you’ll get.
2. Does not require a big capital
Unlike other investment platforms, P2P lending accepts a lower amount as a minimum capital. In the beginning, you might have thought that starting a business is a better kind of investment since you’ll know where your every penny is going. However, you must realize that aside from the burden of managing your business yourself, you really have to have a big capital ready in the first place. Being an investor in a P2P lending platform will lift your responsibility for both of those points because they only require low capital and you do not have to think about anything as the P2P lending company will do all the work for you.
3. You can calculate the risk
It has become a common understanding that you can only become an investor if you have a high-risk tolerance. However, no matter how much of this is true, it is another story if you will invest in a consumer loan. Why? Simply because you can calculate the risk. You can diversify your investments so that your money is not only on a single loan, plus, you can choose a lending company that offers security to your capital.
4. Does not require complicated knowledge
Before you invest, you really need an in-depth knowledge about investing, more specifically how your chosen specific platform of investment works. As an example, you’ll have to learn everything that involves real estate if you want to get a mortgage investment like applicable laws, financing, etc. On the other hand, if you chose to be an investor in a P2P lending company, all you need to do is to learn about their terms and conditions, once you are sure that they are legit, you can directly file an application online.
5. Another source of income
Admit it or not, life’s getting harder and you will never be able to grow your money if you will only depend on your job for income. Well, unless your salary is over P100,000 a day. Getting a consumer loan investment will provide you an extra stream of income and will secure your future.
Work your way to a financially secured future through Vidalia Lending’s P2P loan investment platform. Join our growing community today, and add more income to your income through investing for a minimum of P5,000. If you want to know more about how our efficient investment platform works or want to create an account visit our Invest page today.