Aside from borrowing money from relatives and friends. Traditionally, in times of any financial crisis, the majority of people run to local banks when they are in terrible need of financial assistance. In today’s modern age, banks are not the only option for people who want to apply for loans.
Peer to Peer lending (P2P) has gradually become the go-to financial platform that people run to when they need money. Peer to Peer Lending was first introduced a few years back and has ever since been the new buzzword. Moreover, it is not just about the loans that this type of financial platform offer but also its investment feature.
There are two types of loans:
- Unsecured Loans – this is usually intended for loan applications with larger amounts. A secured loan always requires an asset like property, jewelry, car, etc. This type of loan is also paid with fixed terms and interests.
- Secured Loans – this type of loan is for smaller amounts. Once you borrow a fixed sum of money, you will pay it back over an agreed term and of course the interest. Banks usually offer terms for up to five years.
Peer to Peer Lending (P2P)
As for P2P, it has not that much difference with the traditional loans. You will be able to borrow a fixed amount of money with a fixed term of payment as well as fixed interest. The differences are:
- The money you borrow comes from other people (investors) as opposed to banks.
- Peer to Peer loans has lower interest rates and better terms of payment.
Here at Vidalia Lending, all procedures are done online, no need for a co-borrower to be credited. The credit decision is within 2 days and you may get your borrowed cash within 2- 3 days. Drop by our website to learn more about our services. For further inquiries, you may visit our Help page, send us a message! Or you can call us on any of our contact numbers given on our Help page.
Peer to Peer Loans vs Bank Loans
Overall there are reasons as to why people now prefer to apply for loans offered by Peer to Peer platforms rather than banks. Aside from lower interest and better terms, a P2P loan application is very convenient. Furthermore, most P2P have their online platforms which borrowers can visit anytime, anywhere to apply for loans. Peer to Peer loan application is paperless unlike the traditional application in banks.
Vidalia Lending is a well trusted financial institution. You can start applying on any of our featured loans today by filling out our online application. Our payment terms start from 3- 12 months with no hidden fees or prepayment penalty. We offer you low-interest rates! Plus, all your given information will be kept secure and private.