Best P2P Lending Platforms in India

Do the interest rates on your fixed-income assets cover the time value of money? While inflation ranges between 5-6%, P2P investments can provide handsome returns. P2P lending sites provide a marketplace for direct lending, etc. Hence, they offer attractive and smart investment plan opportunities without exposing you to market risks.

FMPP 15% return

Although P2P lending in India is relatively new, it is gaining mass acceptance at a quick pace. As per the forecast published by IndustryARC in “India P2P Lending Industry Outlook 2021-2026”, the market for P2P loans in India can grow up to USD 10.5 Billion by 2026. Now before we go to find out the top P2P lending platforms, let’s learn a bit about .

Overview of P2P lending

P2P lending sites provide a marketplace to facilitate investors and borrowers who can carry out P2P lending by directly registering on their websites. In a nutshell, peer-to-peer lending means direct lending between individuals who want to invest money and those who want to borrow money. By reducing the role of banks, P2P platforms have made new-age investment easier and more accessible for the masses while regulating and standardising it, Learn more in detail introduction to P2P lending.

P2P platforms diversify these investments into multiple borrowers to mitigate risk. Online investment platforms like LenDenClub allow you to choose an auto-investment facility. Instead of making manual investment in each borrower, you can set up filters based on which their AI-powered interface auto-invests your money on your behalf, customisng and automating it at the same time.

Read this if you want to know more about what is P2P lending and how does it work.

Features of Peer to Peer Lending Platform

Here are the key features of P2P loans:

  • Anybody Can Invest: You do not require much hassle for investing with P2P lending sites. So, if you want to earn good returns on your investments, you can choose to lend through these platforms. 
  • Regulated by RBI: Online P2P lending platforms operate according to RBI regulations that define the scope of their business and the prudential norms to be followed. LenDenClub is an RBI registered NBFC-P2P platform that holds a valid business license to operate in the P2P market.

Read: Most Profitable Business in India With Low Investment

  • Evaluation of Borrowers: To provide an additional layer of comfort for the investors’ funds, the P2P platforms evaluate the borrowers’ credentials themselves. Only those borrowers who pass the standards of the platform are allowed to borrow. LenDenClub thoroughly frisks all the borrowers’ profiles and details with 200 data points. 
  • Easily Accessible: Being an investor, you have to register online and get started in just a few clicks. By replacing the middlemen with the help of technology, you can easily grow your income with the best P2P lending platforms in India. You can access LenDenClub across platforms, including their official website or mobile application available on android and iOS.

Read: Which is the best investment plan in India for middle class

Benefits of P2P Lending

  • Higher Returns: The interest return rates have gradually reduced over the last decade. Hence, a regular FD or savings account doesn’t pay more than 5-6% interest. On the other hand, by investing in India’s best P2P lending platforms, you can easily earn double digits. 

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  • Auto Invest: On the LenDenClub platform, you can choose to auto-invest so that your funds never remain idle. As soon as the EMIs are received, both the principal and interest are automatically reinvested by the AI-powered platform, giving you the benefit of compounding.

Read: Best Investment Plan for 5 Years in India

  • Saves Your Time & Efforts: Before investing your money in investment apps, you have to study the viability of the options and analyze all the parameters. P2P platforms provide borrowers’ evaluations that can be useful in making your investment decision. Some like LenDenClub even automate the borrower selection, simplifying the process further.
  • Diversified Exposure: It is risky to put all your eggs in the same basket. Hence, investing all your funds in one place is a bad idea. By investing in P2P Platforms, you can choose multiple borrowers and investments. It can help you reduce your risk and maximize your returns.

Read: Best Investment Plan for 1 Year in India

Top 10 Peer to Peer (P2P) Lending Platforms in India

Here is the list of the best p2p lending sites in India, (not necessarily in the same order):

  • LenDenClub
  • Liquiloans
  • Finzy
  • Faircent
  • Lendingkart
  • i2ifunding
  • i-Lend
  • Rupee Circle
  • Paisa Dukaan
  • Cash Kumar
  • Lend Box

All of the companies mentioned above are RBI-approved P2P lending companies.

You can also check out Top 10 Best Investment Plans with High Returns in India in 2023

Why LenDenClub is the best P2P lending platform in India

While there are many P2P platforms available in India, here is why LenDenClub is special and the best P2P platform for investing your money:

  • Safety Net of Escrow Account: LenDenClub appoints a trustee for managing all your transactions through an Escrow Account. This means that they never directly deal with your funds. This gives an additional layer of security to your funds.
  • Widely Accepted: LenDenClub is an RBI registered NBFC-P2P. Over the period of 6 years, LenDenClub has gained popularity among the investors and has onboarded over 1.5 million active investors on its online platform.
  • Low Default Rate: While the default rate faced by Indian Banks on average was 7.3% in 2020-2021, LenDenClub has been able to achieve default rates as low as 3-4% the recent quarters.
  • Invest as Per Your Choice: If you need monthly cash flows, you can choose the basic plan where your EMIs are deposited in your account and you can check out best investment plan for monthly income. On the other hand, you can select the auto investing option if you wish to build capital for your future. The AI-powered investment system of LenDenClub reinvests your EMIs automatically.
  • Access Various Reports on the Dashboard: You can easily check reports like your account statements, EMI statements, and investment history to stay informed about the status of your investment and returns.

Are you considering investing or borrowing through a P2P lending platform? Learn more on How to Choose the Best P2P Lending Platform in India

Is P2P Lending Safe in India?

One of the major concerns of the investors with P2P lending is the risk of default. Every investment carries a degree of risk. But, making decisions diligently can help reduce the chances of a loss. Additionally, the prudential norms issued by the RBI control the risk and exposure learn more about is P2P lending in India safe?. Here are the points that make P2P lending a safe prospect:

  • RBI Prudential Norms: RBI has notified some benchmark rules like
  • License requirements for P2P platforms (NBFC P2P)
  • Minimum capital & management requirements for the P2P platforms
  • The maximum one-to-one loan exposure cannot exceed Rs. 50,000. LenDenClub understands the concern of investors. With a minimum investment of Rs. 500 and a maximum of Rs. 2,000 per borrower on the website, you can easily enjoy the benefits of maximum possible diversification of risk offered by the platform.
  • The lenders can lend up to Rs. 50 Lakhs across all P2P platforms.
  • Loan tenure remains between 3 to 36 months.
  • In-house borrower evaluation: P2P platforms apply their standards for evaluating a borrower. In addition to the credit reports and history, they also check the employment status, income levels, and regularity. Evaluation is also done on various other parameters taking 200+ data points into consideration. Read about the credit assessment overview by LenDenClub. 
  • Pick the top P2P lending platforms: You can considerably reduce your risk by investing in established and top-rated P2P platforms. They have a robust system to evaluate the borrowers and are experienced in this field. So, invest in the Top P2P lending platforms in India 2022 and reduce your investment worries. 

Read: Difference Between NRE & NRO Account

If you’re interested in P2P lending, it’s important to be aware of the fees charged by P2P lending platforms. These fees can significantly impact your returns as an investor or the cost of borrowing as a borrower. Learn more about P2P lending platform fees and how to minimize them.

Is P2P Lending Profitable?

P2P lending can provide some of the best returns in the short and long term compared to any other investment. With LenDenClub, the best P2P lending platform in India, you can expect double-digit returns on your investments. This makes P2P platforms an attractive investment destination.

Choose LenDenClub and set on a successful investment journey. Register Now!

LenDenClub is India’s largest alternate investment platform which started operations in India in 2015. We have been helping investors diversify their investments beyond traditional investment instruments ever since.



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The Reserve Bank of India does not accept any responsibility for the correctness of any of the statements or representations made or opinions expressed by Innofin Solutions Private Limited, and does not provide any assurance for repayment of the loans lent through its platform.

LenDenClub is an Intermediary under the provisions of the Information Technology Act, 2000 and virtually connects lenders and borrowers through its electronic platform via the website and/or mobile app.

The lending transaction is purely between lenders and borrowers at their own discretion, and LenDenClub does not assure loan fulfilment and/or investment returns. Also, the information provided on the platform is verified or checked on the best efforts basis without guaranteeing any accuracy of the data/information verification. Any investment decision taken by a lender on the basis of this information is at the discretion of the lender, and LenDenClub does not guarantee that the loan amount will be recovered from the borrower, fully or partially. The risk is entirely on the lender. LenDenClub will not be responsible for the full or partial loss of the principal and/or interest of lenders’ investment amounts.

*This is an annualized yield and is subject to the maximum FMPP tenure, which is 5 years. P2P investment is subject to high risk and may cause an entire loss of principal.

*P2P investment is subject to risks. And investment decisions taken by a lender on the basis of this information are at the discretion of the lender, and LenDenClub does not guarantee that the loan amount will be recovered from the borrower.

** Average value mentioned is the weighted average of returns received by investors

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