• UGI USER
  • Jun 07, 2023
  • 22 Likes
  • 0 Comments

Peer-To-Peer (P2P) Lending

News: The Reserve Bank of India is closely examining platforms that enable direct, or peer-to-peer (P2P), lending between individuals after digital payments and digital loans.

Peer-to-peer (P2P) lending is conducted online via a platform that brings together borrowers and lenders.

Open a lender account on a P2P network if you want to lend money. And anyone in need of a loan registers as a borrower.

It makes it possible for people to borrow money directly from other people, bypassing the middleman banking institution.

The Reserve Bank of India included this service in the scope of its regulatory authority in 2017.

With RBI approval, only an NBFC may register as a P2P lender. The RBI should issue a certificate of registration to each P2P lender.

The amount of money needed to launch a P2P platform is set at Rs. 2 crores.