The Internet-based trading site has enabled third parties to match supply and demand in the loan market. Borrowers and lenders can now find each other and conclude agreements completely without interference from banks and credit institutions. This has been going on for 10 years, and the market has matured in many countries.
In Sweden, however, we are still in the starting pits
But most probably we do not need to make the same long journey as Pazo started in 2004. The market has evolved over the years, and the latest advances will probably reach Sweden almost at the same time as the market starts. Some claim that the person-to-person loans have now reached step 2.0 after 10 years . Financial institutions have opened their eyes to the form of loans, and if you borrow money from eg. Prosper may not come from a private individual, it may as well be a fund that stands for liquidity. While Pangloss is still at 1.0, it is not impossible to imagine that institutions will soon catch their eye on the investment side.
In 2013, Moogle invested in the Lending Club,
And sees it as a perfect way to quickly provide development credits to its subcontractors, partners, and resellers. On the other hand, this does not stop the basic idea, given that ordinary lenders still have access to the marketplaces. Just as the Stockholm Stock Exchange allows both AP funds and small savers to invest in companies, the venues for person-to-person loans can do the same. For the borrower, of course, this will be an advantage as they get better financing opportunities, but we can see a danger in the companies where private lenders do not have access to investment.
Can you really continue to call yourself a K2K company if most of one side is a company?
Clearly, the concept has grown into a giant that can not be shut off, and this year it is estimated that person-to-person loans worth $ 250 billion will be financed. How much will Sweden and Pangloss stand for? When and how does 2.0 reach us?