The complex and tedious processes in the most investment options make it difficult for an investor to invest their money. The peer to peer lending in India ensures a quick, simple and efficient process of investing.
If there is one hassle that is associated with any investment, it is the entire process of investing. Right from registration to documentation, everything is tedious. Even the research that goes into understanding the dynamics and elements of an investment, be it stock market or real estate, is quite time-consuming. However, peer to peer lending in India is one such investment avenue where the ease of process is not a harassing experience for the investors.
There is practically no research involved because the verification of the borrowers is done by the peer to peer lending companies in India. They have a very robust internal credit evaluation process through which they assess every borrower’s background digitally and physically before listing them.
P2P lending companies like LenDenClub process the offered loans through Automated Escrow Processing System (AEPS). AEPS is a cascading process that ensures strict compliance to practices necessary for safe investing in P2P lending. Under AEPS, it approves an action based only after the completion of the previous action. For instance, loan disbursement will not be processed unless a signed agreement copy is received by AEPS. All monetary transactions under AEPS are managed by a SEBI registered escrow agent.