December 6, 2007

Social networks help borrowers

As the banks tighten up their lending principles and the interest on loans and credit cards begin to bite hard where else can someone go to borrow that much needed cash?

There is a growing trend called peer to peer lending, where people borrow money from other members of certain sites, these may be Virgin Money, Zopa or now it would seem Facebook, yes they too are getting into the peer to peer lending business through one of their applications.

Peer to peer lending is where two people get together, one borrows and other lends it is as simple as that, the borrower gets a low rate loan, and the lender stands to make some interest on the money that they have loaned out.

Source [Business Shrink]