Social lending

Social lending, also known as peer-to-peer lending, is a method where individuals lend money directly to other people or small businesses via online platforms, bypassing traditional banks. Lenders assess borrowers' profiles and risk levels, then fund their loans in small amounts, often earning interest. This approach offers borrowers potentially lower rates and lenders an alternative investment opportunity. It leverages the internet to connect people, promoting a more efficient, accessible way to borrow and lend money outside conventional financial institutions.