P2P Platform a Place to Invest Your Money with Positive Returns When money is not invested, it loses its value over the years due to inflation. There are many ways to invest money and get a positive return. One popular investment option is fixed deposit accounts. On average, such accounts offer an annual return of 7 to 8 percent. This rate of return is low and may not beat the rate of inflation. Therefore, money kept in a fixed deposit account will give you negative returns year over year. It is better to invest your money where you get positive returns, giving instruments like equities and mutual funds among other instruments.
Equities or stock market investments have the potential to increase in value over time. Research studies show that the returns on equities outperform the returns of most other investments over the years. The average annual return of the stock market is around 16 percent. However, this does not mean that you will get similar high returns when you invest in equities. In addition, equities are high risk investments. You may lose some or all of your investment if the prices move unfavorably. If you are a moderate risk taker who wants to earn higher returns , you can join a peer to peer lending platform such as LenDenClub. LenDenClub offers a good return on lender's investments. If we go by current interest rates offered, you can earn as much as 20 percent per annum on the money invested through this peer 2 peer lending platform.
Peer to peer lending in India endeavors to offer affordable and timely financial assistance to borrowers who been unable to get loans from traditional lending institutions for various reasons. Peer 2 peer lending platforms attempt to assess whether borrowers are credit worthy by checking their credit and other factors. Since they offer their services through the internet, the service fees are low. These platforms can also help borrowers build a good credit history by repaying their loans on time.
Peer to peer lending companies also offer tangible benefits for people who want to invest their money and get higher returns than they would from conventional investments such as mutual funds, stocks and fixed deposit accounts. On the other hand, borrowers benefit from lower monthly payments.
Borrowers can request loans for a wide variety of reasons such as paying hospital bills, house repairs, credit card dues, student loans, traveling and debt consolidation among others. Borrowers can provide a genuine explanation of why they want a loan, how they intend to repay it and a few indicators on their reliability and stability in order to increase the chance of getting loans. However, they may also choose to be discreet about their financial and personal information by using the privacy settings on their profile.
LenDenClub is one of the best peer to peer lending platforms in India. The reason is lender protection fund offered by them. LenDenClub sets aside a certain part of their earnings to protect principal loss of lenders. Each borrower is assigned their respective risk category after considering their credit history, income, expenses, lifestyle, current obligation, family status and many more factors. As an investor, this information will help you make an informed decision on whom to lend your money to.
All the transactions on peer to peer lending platform LenDenClub are transparent. All the fees, charges and commissions associated with each transaction are clearly mentioned. All the procedures are completed online. Therefore, you can lend money hassle free. In order to start lending money, you only have to create an account on our platform and complete the required online verification process.