Pick up any newspaper or turn on your TV and you are instantly aware of the global financial crisis and how it has hurt the banking industry and dried up all available credit to business and individual alike. If you need some extra cash don’t despair. I have an alternative source of money for you and it’s called a “Social Lending Network”.
A Social Lending Network also know as Peer-to-Peer lending is an organization where members lend and borrow money from each other at better rates, bypassing the banks.
Here is how peer-to-peer lending works. One person has money to invest and another needs a loan. The two connect on the Internet through sites such as Prosper, Loanio, Virgin Money USA or Lending Club. Borrowers get loans to fix their cars, pay for college tuition or start a business. Lenders and borrowers are anonymous. But lenders learn something about the people they loan money to because borrowers list their profiles on the group’s website.