Peer to Peer lending platforms use state of the art computer systems and internet technology to provide a win-win solution for borrowers and savers.
Savers can earn high rates of interest by doing what banks do – lending money to credit worthy consumers and businesses.
Borrowers apply to P2P lending platforms for loans just like at a bank or finance company. Borrowers have an alternative source of financing and can get better terms from P2P lenders than from banks.
P2P platforms use many of the same tools and techniques that banks use to evaluate each loan application. Borrowers that are not considered to be credit worthy are rejected.
Each loan is assigned a credit rating. Borrowers with higher ratings pay a lower rate of interest and borrowers pay a higher rate of interest.
Each loan is divided into many small pieces, just like a bond issue. So one borrower actually borrows from many savers.
Savers can lend small amounts to many borrowers and build diversified portfolios of P2P loans that match their risk tolerance, investment horizon and interest rate requirement.
The material presented via this website is for informational purposes only. Nothing in this website constitutes a solicitation for the purchase or sale of any financial product or service. Material presented on this website does not constitute a public offering of securities or investment management services in any jurisdiction. Symfonie Capital, LLC is registered with the United States Securities and Exchange Commission as an Investment Advisor pursuant to the Investment Advisors Act of 1940. Our ADV filing is publicly available. © 2014 Symfonie Capital, LLC.
Investing in Peer to Peer loans and startup and early stage companies involves risks, including loss of capital, illiquidity, lack of dividends and dilution, and it should be done only as part of a diversified portfolio. The Investments presented in this website are suitable only for investors who are sufficiently sophisticated to understand these risks and make their own investment decisions. For further information see our discussion of investment risks.