If you ever heard name of the peer to peer lending India or something called as P2P lending, you must have thought what is that? Peer to peer lending basically a process of lending where you lend some money to someone who is in need and then you take some interest of the money you have invested. Definitely you will not charge anything if you want to but in that case it is not a lending it is a help.
By now you must be having many questions like:
- What is peer to peer or what is p2p lending in India?
- Is it legal to lend money using peer to peer lending platform?
- Which is the best platform to invest into p2p lending?
- Is the online platforms are even trustworthy? Or is my money safe with them?
I will try to answer all of this question. Just keep reading.
Peer to peer lending or P2P lending is a investment instrument through which you can earn a good returns (12-36%) of the money you lend. The person who is taking a loan signs an agreement with you that he is taking some money from you and he will be responsible for the loan repayment along with the interest. Principle and interest both gets paid via the EMI’s. Now if you are a person who has some money to invest and ready to take some risk for better returns, P2P lending can help you to achieve that goal. There are many people who can’t take loan from the bank due to complex process and higher rate of interest people look for the alternative. Peer to peer lending help them to get the money early and without hassle. Now here comes the role of P2P lending platforms. If you want to invest money this platform allows you to register there and start investing. And if you are a borrower who wish to take loan one can also do that.
Today in the market there are many peer to peer lending platforms are available who promise to be the best. My personal favorite is RupeeCircle and there are various reasons for it. I will share all the pros of investing using RupeeCirle platform. I am using RupeeCircle from last one year and it’s been a great experience while using their online system. Founder & CEO of the company is Mr Ajit Kumar. He has 12+ Year experience in Retail lending space primarily focus on end-to-end Marketing, Risk and Web analytical solutions. RupeeCircle is NBFC P2P Certified from RBI and their registration number is (N-13.02307). RBI regulated RupeeCircle to provide p2p lending services. Mahindra Finance is the Growth Partner with RupeeCircle to provide the best peer to peer lending service to both lender and investors. This was all about who is behind the company. Now let’s see as a investor what benefits you get with RupeeCircle.
As a investor the biggest benefit of RupeeCircle is no registration fees. Yes. You don’t need to pay any amount to get registered on the platform. You directly go to RupeeCircle: Investor Registration and Select Individual if you are an Individual investor. After that obviously you need to provide some document information to start the transaction process which is a standard process of RBI. Once you do that you are ready to invest into peer to peer lending. The whole process is really trustworthy and transparent. At any point you get any problem head over to their customer service here and they will be happy to help you.
If you want to know about the fees and returns of the RupeeCircle platform visit the complete transparent fees structure here.
Till now you must be thinking what is the risk involved in this whole process then I would like to say that there is no risk as long as you are ready to get better returns of the money you invest in P2P lending. For sure there is a risk of defaulters but RupeeCircle takes care of the recovery of the loan. You should not worry about it although you can minimize the risk by diversifying your portfolio Read more about diversification of the porfolio here
I think now you must be convinced to start investing into P2P lending. If so here is the process to register with RupeeCircle as Investor:
- Go to RupeeCircle: Investor Registration
- Select Individual if you are an Individual investor. If you are an NRI or Institutional Investor select that option.
- Now fill the form and Submit.
- Now provide the all other document information to complete the process.
Do you have any questions related to RupeeCircle or P2P lending? Please comment below and let me answer your questions.
Thanks for reading.