A few years ago some west coast techies sang Cumbia and came up with the idea to bring together lenders and borrowers without the insidious over-lording of a big bank by using the internet. All things progressive went into the idea, no double-dealing middleman, no high interest rates, no big down payments, and (best of all), no dead behind the eyes businessmen. Nope, the point with Person to Person lending was to reintroduce the social aspect back into financial transactions by linking together friends, family, and people of a generally similar mindset so that they could tell their story, give a little and get a little. Well, when Person to Person (P2P) lending debuted it was seen as a somewhat far out idea by gushy liberal progressives who had no idea how ‘serious’ financing worked. But, to their consternation, P2P lending has only become steadily more mainstream. In fact, the recent death rattle of the big banks and ensuing credit crunch, has driven average non-far out people to ...
A blog published by the (now dissolved) Literacy 'n' Poverty Project