If yes, then peer-to-peer lending may be an investment approach that deserves contemplation.

What is Peer-to-Peer Lending?

Peer-to-peer lending enables you to lend money instantly to borrowers. It dramatically cuts out the broker, the bank or lending organization.

Lenders or individual investors and borrowers generally smaller organizations or individuals connect with each other online via a P2P lending company or platform.

For borrowers, P2P lending grants numerous advantages over conventional lending practices:

• competing interest rates
• insignificant paperwork
• faster judgments for approval

This comparatively new market is advancing swiftly. PriceWaterhouseCoopers predicts the P2P lending market could equal $150 Billion by 2025. 

Loan-based crowdfunding or as we call it peer-to-peer (P2P) lending, has been evolving as a disruptive force in the lending market in recent years. The major markets for the crowdfunding industry are the U.S., U.K., Europe, and China. 

Let us check out P2P business models, different perspectives of risks and possible risk management chances for the loan-based crowdfunding industry to adopt, concluding with indications for banks.

P2P lending app business model

⇒ Crowdfunding Business Models

According to the International Organization of Securities Commissions (IOSCO), the two overarching business models for P2P lending are the notary model and the client-segregated account model.

⇒ Notary model

This is a P2P lending business model where the borrower visits the online platform and presents the completed application form for a loan. The borrower’s risk profile is investigated using the loan-issuing bank’s underwriting guidelines. The application is approved after checking the risk involved. The borrower’s loan specifications are ordinarily posted on the platform’s website for investors to study and fund.

Once enough investor commitments are received the loan amount is transferred to the borrower. Once the loan is disbursed, the things proceed from investors are used by the borrower to obtain the loan from the issuing bank. 

Investors who fortunately bid the loan are technically circulated a note by the platform for their benefit of the contribution. The notary model displaces the risk of loan nonpayment away from the issuing bank to the investors themselves.

⇒ Client-Segregated Account Model

In this business model, a contract is settled with the help of a mediator platform by pairing the particular lender and the borrower. Lenders provide their funds to individuals or businesses in one of the following ways.

• Automatic lending based on the platform’s arbitrary allocation process
• Manual requests for allocation based on the lender’s decision

This model is different from the notary model as the issuing bank is not involved. The funds are transferred directly between the lender and the borrower.

The P2P platform allows funds from lenders and borrowers to be distributed from an intermediary’s balance sheet and resisted through a legally separated customer account. The intermediary doesn’t have any claim on the funds in the event of the platform’s failure.

There is a third business model which is widely practiced in China. It is called the Guaranteed Return model. Here lenders anticipate a fixed rate of interest on the loaned amount. According to the market reports, investor enthusiasm to follow this model is huge but it is less in demand from the borrower.

So how do P2P lending platforms make revenue?

The most important selling point for P2P lending platforms is their transparency. The levels of hierarchy, heaps of paperwork, the hidden and hard to understand fees and payment schedules in the banks have been the subject of distress in recent years. From the beginning of P2P lending, the most coveted features have been its simplicity and transparency. So, looking at all this, the P2P platforms have a page devoted to the fees they charge and even go so far as to describe in easy words how they are making money!

Every platform has a somewhat different fee structure than the other. Let’s discuss the different types of fees that P2P platforms charge and how can you earn with our P2P white label solutions!

Peer-to-peer lender’s fee structure:

⇒ Fees charged from borrowers

Most platforms are moving away from the fee model that targeted both lenders and borrowers. Instead, they are charging both lenders and borrowers. For example, the platform Landbay has two fee charges for borrowers:1. The borrowers are charged with an upfront fee ranging from 2% to 2.5%. This fee includes the cost of screening profiles and the establishment of a new loan. 2. The second fee is 0.5% to 1.00% margin (per year) on the loan principal outstanding.

⇒ Fees charged from borrowers and investors both

Another P2P platform Proplend is a platform that charges fees from both borrowers and investors.

Borrowers ought to pay a Listing Fee and a Completion fee. Also, mortgages are secured against property. And hence, the legal and valuation fee incited in establishing a loan is also borne by the borrower.

P2P investors need to pay a fee equivalent to 10% of interest collected.  

The P2P platforms can also collect fees if they provide some API to others interested in using the platform. 

Conclusion

As a P2P lending platform, you can charge various fees for the services that you provide. You can provide investors a chance to earn arguably the most approving interest rates granted on the alternative investment market. And the borrowers can be offered means to borrow money without the hassle of conventional banks.

With our customized white label solutions, we can provide you guidance for the best suitable business model for your P2P lending platform and means to generate more revenue. We can also provide you a platform with the latest technology and extraordinary features. Using our white label solutions you can even provide API to the clients that are interested to provide their services through your platform. 

Connect with us to discuss in detail how to make more money with our P2P lending platform.

The post P2P lending app business model: Is Peer-To-Peer lending a guaranteed way to make money? appeared first on Coruscate Solutions.

Peer-to-peer lending is a new system of debt funding that enables people to borrow and lend money without a monetary organization. Controlling technology and big data, P2P platforms unite borrowers to investors quicker and more economical than any bank.

The P2P lending system has made the custom of borrowing easier. You can easily find loans online with just a click of the mouse. The P2P model is a huge success due to all-time low-interest rates, uncomplicated applications, and quickened decisions.

These companies are gaining a foothold and gathering momentum having proposed borrowers with an enhanced financial aspect. According to a PriceWaterhouseCoopers statement, even though the P2P market is still in its infancy but it has distributed $5.5 billion in loans in 2014. It is estimated to go up to  $150 billion or higher by 2025.

User features of top P2P lending apps you should know before going for P2P lending app development 

⇒ Borrowing with Prosper

Prosper offers loans up to $40,000 with a fixed-rate and a fixed-term of either three or five years for the borrowers. The monthly EMI is fixed as per the duration of the loan and there is no prepayment penalty. So, if possible the borrowers can pay off early. The platform allows getting an instant look at what your rate would be and, once approved, the money gets deposited directly into your bank account.

⇒ Borrowing with Lending Club

Lending Club allows four different types of solutions for borrowers:

• Personal loans: A personal loan of up to $40,000 which can be utilized for paying down credit cards, paying off debt, renovating your home, or paying for higher costs like a wedding or a car.

• Business loans: A business loan up to $300,000 is allowed with a set term within one and five years with no prepayment punishments. You require to have a business for at least 12 months. The other requirement is having at least $50,000 in annual sales and having good business credit. To qualify for the business loan you also need to own at least 20 percent of the organization.

• Auto refinancing: You can qualify for an auto-refinancing loan if you have a car less than 10 years old and it has not operated over 120,000 miles. The loan for your car should have started at least a month ago and should have at least two years left on it. The loan amount that you owe should be between $5,000 and $55,000.

• Patient solutions: The peer-to-peer platform also works with doctors all over the country to assist the borrowers to fund the medical and dental bills that cannot be paid all at once. All the borrowers need to do is check their eligibility by typing their doctor’s name. They can avail of a loan up to $50,000 for all types of bills and procedures that include hair restoration, fertility, and weight loss surgery.

⇒ Borrowing with Upstart

Upstart allows borrowers to get loans from $1,000 up to $50,000 with rates as low as 8.85 percent. The loan term can be extended from three or five years. However, there is no prepayment penalty.

Upstart check the FICO scores and years of credit history using its AI/ML technology. The app also checks for education, area of study, and job history before determining the borrower’s creditworthiness. The platform insists that their borrowers save a predicted 24 percent compared to different credit card rates.

⇒ Borrowing with StreetShares

StreetShares allows borrowers with three types of business loans for their business to grow:

• Term Loan: The platform grants a loan between $2,000 to $100,000 for a period of three months to three years. The funds are deposited in the borrower’s account as soon as they are approved. They also do not have any prepayment penalties.

• Patriot Express Line of Credit: This loan is to grant more versatility. The borrowers can borrow anywhere from $5,000 to $100,000. The period of the loan is from three months to three years. As it is credit loan the funds can be drawn whenever needed and the interest is applicable only to the money which is used. 

• Contract Financing: This loan is basically based on the future earnings of the borrower. This takes a little more time to get approval. There is no limit on the amount to be borrowed.  The borrowers get a Mobilization Loan/Line option and no prepayment penalties.

Getting approval for these loans requires fulfilling some special conditions. The borrower needs to be a U.S. resident and he should have a running business for at least one year. They should earn minimum revenue and need a business guarantor with “fair” credit.

⇒ Borrowing with FundingCircle

The minimum loan a person can borrow with FundingCircle is $25,000 and can go all the way up to $500,000. The rate of interest is very low at 4.99 percent. The period of the loan can be anywhere between six months to five years. There are no prepayment penalties. The loan fund can be used for any purpose that you deem necessary for your business. The borrowers need to pay a start fee. However, the funding is much faster than any other small business loans and the borrowers can get the amount deposited in their accounts in as little as five days. 

Looking at the features which these popular P2P lending platforms are rendering for their borrowers, you must get a fair idea of the things that you can offer your borrower to get in the list of popular platforms. 

We can help you with your mission with our creative technical team and awesome white label solutions for P2P lending apps. Our developers can customize the user features with the most amazing interface, making the application process simpler for the borrowers and drawing in more borrowers through the word of mouth marketing. 

Our research team can support you with the latest figures and market scenarios to make it easier for you to launch your P2P lending platform. We can assist you at each step in your business becoming your technology partner and rendering the best technology to take your app in the top list of the P2P lending. 

If you are interested in the white label solutions or customized P2P lending app, connect with us to share your requirements and kickstart your business to capture the market. 

The post Provide your borrowers with awesome features from these 4 best P2P lending apps appeared first on Coruscate Solutions.

GoJek was launched in 2010 with just 10 driver-partners and zero appearance in financial services. In not more than 10 years, Gojek launched its digital wallet GO-PAY. It accounts for around 30 % of the total electronic money transactions in Indonesia.

In such a small period of time, the company has partnered with more than 300,000 micro, small and medium enterprises across the country. This is an extraordinary achievement, analyzing Indonesia is a cash-heavy nation. In Indonesia, cash is king and no other technology has ever been able to compete for the throne. This was the scene until GO-PAY entered the scene.

GO-PAY has been confronting the status quo since it was founded. It is advancing to oust cash as the most preferred form of payment in Indonesia.  GOJEK is empowering the earlier unbanked with an opportunity to enter the formal monetary system by partnering with hundreds of thousands of MSMEs and millions of drivers.

So, in what way is Go-Pay bringing a change in the society that majorly uses cash? 

Know the business strategy of Go-Pay before acquiring P2P lending white label solution

Should you go digital or not?

The most important reason people like cash very much is because of its tangibility. They can actually see, touch and smell cash. All these physical ways make people believe in a comfort level comprehending that the money they saved up over the years is in the drawer beside their bed. Till the time it is actually not there. 

When you deal with cash, it gets difficult for you to to keep track of your spendings and income. Although you can write it down every time you spend and receive money.  But there are chances of losing your cash in some or the other way and disrupting the record of your cash flow. 

GO-PAY provides every user with transaction history so that they can easily keep track of their spending. The users can easily view their spendings and stop the drainage of the most. The data allows individuals to manage money in a better way. 

Old habits don’t go away soon

Changing one’s habits is very difficult. So, GOJEK is changing its customers’ habits by providing them incentives to use GO-PAY. Financial stimuli such as cashback and discounts were then included to promote the choice of digital money. The customers were allowed great discounts for paying their rides with GO-PAY. 

Moreover, Gojek has partnered with the most popular bubble tea joints to provide cashback and exclusive promos for GO-PAY users.  This system demonstrated to be such a success that the queue at the bubble tea joint grew even longer than ever previously.

Alike partnerships were then brought up with convenience stores and drug stores and also with MSMEs. 

With all of this happening, more customers opted to use GO-PAY and the driver-partners of Gojek were motivated to open the digital account to accept payment.

The financial advantage is sufficient for GOJEK’s users and service providers to begin using GO-PAY. But once the financial advantage is no longer available, will customers keep using GO-PAY or not is the question. 

Not everyone is aware of the GO-PAY functioning

Although the financially savvy agree that GO-PAY’s advantages are past financial value, those who don’t know about the technology might find it less convincing.

Many of the driver-partners are not aware of financial services and management. Such people might not consider that GO-PAY adds any special value to their financial transactions. 

The people who were unable to top up their accounts needed someone else to do it for them. So, Gojek enabled GO-PAY top-ups in convenience stores to make the task easier for such customers. With the measures taken to spread awareness for GO-PAY, a behavioral change is already visible among the drivers.

More and more drivers are now observed holding the money they receive from their customers’ digital payment in their GO-PAY wallets instead of withdrawing money at the end of their day’s work. 

A few of them are now collecting some money from a day’s work in their GO-PAY accounts. They are also making transactions using the GO-PAY wallet to buy groceries or pay their bills.

Inevitably, many drivers have begun to appreciate the non-monetary advantages of going digital. And, most importantly, they are now involved in the regular financial system. Financial inclusion has been established over time to promote the well-being of the poor and earlier unbanked. 

The numbers can be multiplied by  2 million GOJEK driver-partners and more than 300,000 MSME merchants in order to say that GO-PAY has easily become the solution for Indonesia to enhance financial inclusion.

Financial inclusion

GOJEK has huge plans for GO-PAY’s future. Right now, they are majorly focused on tertiary payments. GOJEK is planning to facilitate more primary payments within its services.

Even without GOJEK’s push for GO-PAY, the drivers have already begun using the services beyond receiving and paying for services in the GOJEK app. Using the Go-BILLS feature, GO-PAY users can pay several bills from electricity, social security, cable TV and internet, water and gas, along with many other things.

GO-PAY has not just impacted the payments but much more. We can say that GOJEK has started enabling digital financial inclusion in Indonesia. We can say that it is just the beginning. 

Are you interested to make an impact in the world like GO-PAY? If yes, we can help you with our extraordinary white label solutions for digital wallets. Connect with us and make a change in the world of finance with awesome P2P lending solutions.

The post Strengthen your digital wallet presence in cash-reliant areas with our P2P lending white label solutions appeared first on Coruscate Solutions.

Here are the features that your P2P platform must have:

⇒ Registration

The borrower must register by filling up an online form to get a loan from a P2P platform. The form obtains personal, financial and professional details. If there is any registration charge, it can be prescribed by the platform while creating the borrower’s profile. 

⇒ Credit verification

The borrower is expected to put in the loan amount and the period for which they need the loan. After the creation of the borrower’s profile, the P2P system carries out credit verification. A credit score is needed to add the interest rate on the loan amount. The higher is the credit score, the interest rate applicable will be lower. 

⇒ Listing of profile

The borrower’s profile is listed for different prospective investors. The investors are allowed to view the profile, credit rating, purpose of the loan, and other important information. If the investors are satisfied with the information, they can choose to fund the borrower. The loan can be sometimes funded by multiple investors.

⇒ Disbursement

The loan once funded up to 75% is disbursed to the borrower. Before that, an agreement regarding the loan is signed between the borrower and investor. The borrower needs to choose the method of repayment – automatic deductions or through a credit or debit card.

The loan agreement is generally a digitally signed one which is made available for review upon logging into the profile of the lender or borrower. 

⇒ Repayment

The borrower must list a National Automated Clearing House (NACH) order to automatically debit the borrower’s bank account with the EMI amount in support of the lenders.

How do you plan to start the P2P lending business and to develop a P2P lending app?

Step 1: Deciding on a registration form

Choosing a form for registration of a legal entity needs consideration of things like 

• Registration as a company or a limited liability company will defend against lenders in the event of failure or force majeure.
•  Corporations require significantly more demands than LLCs, including requirements for accounting and tax reporting. You must also look after things like holding shareholder meetings at regular intervals.

Step 2: Registering your company name

• The company needs to be registered in the state in which businesses will operate. The P2P platforms have it as the main office location. 
• You need to take up a free name that can be checked on the US Patent and Trademark Office (in case you are launching the platform in the US).
• The brand name can be different from that of the domain name. 
• Remember, the registration rules can vary according to states.

Step 3: Raising money for start-up capital

You need money to manage the operating expenses at the starting of your business. You cannot expect the P2P investors to come to your platform immediately. So, to collect the money, we can help with a detailed business plan to reach out to various investors for fundraising. 

Step 4: Next is developing  a P2P Platform

If you are interested to create the P2P lending platform from scratch you can hire our team of blockchain developers. However, we also have a white label solution to offer you for your P2P lending platforms. 

White Label can integrate your own credit outlines, but this will require hiring the relevant professionals.

Step 5: Creating a web portal

When creating a site for peer-to-peer lending, it is crucial to reflect such significances:

The portal must be combined with the highest number of payment gateways.

The site interface should be spontaneous and support numerous significant languages.

Step 6: Testing the site and platform>

We help you with customizing the platform and testing each usage scenario. We ensure that everything works in a way it should for your startup. The most attention we pay at this time is security, usability, and performance. 

Security: Security is an essential factor to consider because of the user and payment gateways connection. The data should be always encrypted, personal data is hidden behind seven seals, and financial gateways are closed for 1000 and 1 lock.

Usability: The user at the first switch to the site must know how to register, apply for a loan or invest money.

Performance: The speed of loading a site on different devices can be checked to improve and enhance the platform’s performance. 

Step 7: Platform Launch

Launching your website is not easy. There are many things that are needed to be done first. One of the most important things is a marketing campaign, offering first users – borrowers and investors – discounts, lower interest rates, more loyal conditions for granting a loan.

We can help you with all of these activities along with technical support and maintenance for your platform. Our specialists ensure with proper precautions, testing and debugging that the platform launched does not contain any errors. We will catch and destroy all the errors and bugs to make your platform error-free. Our white-label solutions are affordable and have amazing features. 

If you are interested to know more about the white label solution or P2P loan app, connect with us and share your requirements. We will be most have to help you with our end-to-end solutions to make your business a huge success.

The post How can you start P2P lending business and avail credit with the P2P lending apps? appeared first on Coruscate Solutions.

What is P2P lending? 

This is nothing but a money lending mechanism in which the creditors and borrowers or individuals or companies participate together. This process is carried out without the participation of intermediaries like banks, credit brokers and any other traditional financial institutions. So, how are these relationships between creditors and borrowers built? Here, the P2P platforms come into the picture.

As there are no intermediaries, the interest rates are lower and the investor’s profit is greater. Basically, maintaining a bank becomes an expensive task. It needs renting premises, staff, computer equipment and other things following safety rules. 

Now, if you multiply these by numerous branches, you will come to know why the credit rate is more than 10% whereas the deposit rate is as less as -2% in the bank. You should know it swallows all the profits. 

However, Peer-to-peer lendings do not need any banking cost or real estate thing. It is also free from expensive equipment, So, the loan rate is more and the investor is benefitted with the profits.

Working of P2P platform is simple:

• People registering on the P2P platform are either the borrowers or lenders – investors.
• The borrower simply submits an application for the loan, he specifies the amount in the same. He also needs to enter the term of loan and information about himself. 
• Your P2P lending platform checks out the risk and credit rating of the borrower to determine if the loan can be granted. It also sets an interest rate according to the term of the loan. This can be done either by oracles or special algorithms. 
• The application sums up the pool that lenders can see. 
• If the terms and conditions suit any of the lenders, a loan agreement is made.

The only problem with such a P2P lending platform is the platform itself. Why? Well, the customers are attracted to an app that is comfortable, reliable, secure and supports local languages. Not everyone is able to build a platform that is desirable by all. 

What do we offer to make your P2P platform a success?

A Loan Lending Mobile App consists of the following key features:

⇒ Login- User can register in the system by entering the personal and professional details. They can set up an ID and password.

⇒ Apply For Loan- User can apply for instant loans by following a few steps. They need to select the money amount, EMI amount and agree with the GST and Processing fees for finishing the fund transfer. 

⇒ Set payback period- The users can choose the payback period, the EMI and interest will get updated accordingly. 

⇒ Loan Listing- Different loans based on the user’s credit score and other conditions will be displayed and will be available for the investors to see as well.

⇒ EMI, credit score and Interest calculation tool- This tool calculates the EMI and interest for the users depending on the payback period for the loan amount. The credit scores of the user depending on their credit history and salaries will be calculated using this tool.

⇒ Manual Loan entry and credit score- There is also an option for manual entry of loan amount for the users and they can manually get their credit scores through this option. 

⇒ Payment Schedule and billing- The users can view their EMI schedules, due dates and completed EMIs.

⇒ Transactions- This shows a complete summary of the loan amount, withdrawal, available credit limit.

⇒ Variety Loans- The users are offered many different types of loans. For eg. education, home, travel, gold, wedding, personal, etc.

How can you develop a P2P lending app?

A P2P lending platform or app can be built with the help of the technological expertise of a software development partner. If you are looking for an app development partner, here are the steps you should anticipate to go through:

• Discussion and interaction with our sales manager and business analyst
• Project design phase and technical documentation creation.
• Accepting a collaboration model like a dedicated team, fixed-price, or time-and-material.
• Full-cycle development of appropriate features depending on your project and specifications.
• Testing, bug-fixing, and endorsement
• Maintenance and support or more development.

App development companies majorly involve business analysts to collect all of the specifications concerning the project and assure product fit for the market.

After we gather all the information, we produce various documents as blueprints for P2P lending platform development. 

This helps us to keep on track and develop the product according to the demands within the predicted budget. The complete workflow is built depending on the methodology that seems fit for it. We believe to complete the tasks quickly but with absolute efficiency. 

On the fulfillment of the project, you may assume particular results:

• You will be the owner of the product, its source code, documentation, and other assets as per our agreement.
• If there is a custom software development, you may be likely to patent solutions or techniques acquired in the process.

When the project is completed, the additional features which were not included in the project estimation document will be charged separately.

A professional P2P lending platform includes everything like:

• Custom design for a special niche of a P2P lending platform
• An active payment processing system
• Content management system for marketing and SEO objectives
• Automated KYC/AML verification process
• Debt and Equity financing
• Customized financing and settlement flow that is docile with your ordinances and business essentials
• Account management systems, search, and filter, etc.

Our White-label solutions to develop P2P lending app

The cost of developing a P2P lending platform can be a huge amount. You can actually opt for some white label solutions which are much affordable and can be easily integrated into your business and can be customized according to your business needs. 

Our white-label product is designed for online crowdfunding portals based on equity, donations, and P2P loans. This is an ideal solution if you wish to plan to start your business with an MVP model and then scale up with an advanced version.

To know the cost and details of the white label solution, connect with us for a free consultation session and ask for a demo of the app.

The post How to Develop a P2P Lending App with Our White Label Solution? appeared first on Coruscate Solutions.

In this blog, we will get to know,

• P2P lending market
• Why Branch is bothering with such a small amount of lending amount?
• The business model of P2P lending app.
• Things to consider while P2P lending app development.
• Cost of P2P lending app development
• P2P lending market size and opportunities

P2P lending has been a buzz phrase in recent time. Factors like business-friendly consumer behaviour, rapid technological advancement, and favourable regulatory environment come all together to fuel the P2P lending market. Also, the blend of FinTech revolution and advanced P2P lending app development techniques makes it easy for entrepreneurs to offer a very straightforward solution of money lending to the people. Looking at its impressive growth, in one of the research papers on digital lending, The Boston Consulting Group has written that there are $1 trillion opportunities over the next 5 years in the P2P lending market. Following graph of the Statista clearly depicts how rapidly global P2P lending market is expected to grow. Here it is worth to mention that there is no other industry which is predicted to grow as swiftly as P2P lending industry.

Insight into a top-rated P2P lending app, Branch which has inspired many entrepreneurs to target the markets of developing countries

Kenya and other African countries are known for its quick adoption of FinTech technologies. A few successful FinTech apps like M-Pesa e-wallet and Branch P2P lending app, have been deployed in the African market to solve their prolonged problems.

Matt Flannery, who previously confounded micro-lending platform named Kiva founded Branch in 2015. While running Kiva, Matt realized that the spread of smartphone and digital payments in Africa are creating a win-win situation for any FinTech startup. So, with the ambition to raise serious capital and lend money to small business owners, he started Branch.

How does it work?

The Branch is the money lending platform. They have developed an app which analyzes user’s information on the user’s phone, determines the credit score of the users and based on the user’s credit score, provides them with the loan. Branch allows users to lend money as low as $2 at a time and they charge 15% interest on it. Their largest loan is of $1000 and users need to pay 15% APR over a 12-month period.

To evaluate the credit score of the users, they rely on a few factors. They check the user’s history of ATM transactions. They also verify whether a user pays all bills on time or not. Based on these details, they document a credit report. They compare the credit report with the amount of loan a user has asked and if a user is identified as a genius user who will pay back, Branch deposits the amount of the loan directly into user’s bank account.

Branch, P2P lending mobile app features

Branch is providing a robust app to its users to request personal and business loan, to check the credit score and to pay the instalments. This simple looking P2P money lending app is so feature-packed that it is the second-ranked most popular finance app in Kenya.

Source: Similar web

Now, let’s quickly discuss the features of the Branch mobile app. These features are very significant if you are planning to develop a P2P lending app like Branch.

• Users can see a history of notifications and loans.
• Users can select in which bank account they wish Branch to deposit the money.
• Users can see the loan amount, interest rate and total amount, which they will need to pay back.
• User can also know the details of weekly payments.
• A reminder reminds the user to pay a weekly instalment.
• Different notifications notify users about any new activity.

The business model of the online P2P money lending companies

Undoubtedly, online money lending companies are earning well. They earn a major percentage of the revenue from the annual percentage rate on the issued loans. However, lending a small amount doesn’t help them to earn a huge amount. Thus, they follow the business model of an airline industry where top airlines put more emphasis on selling business class seats than economy class seats as 5 business class passengers avail airlines to earn more than 25 economy class passengers. Branch loses money on the $2 loan but they keep lending $2 to acquire those users who want its larger loans.

Another way top money lending companies are making money is the referral program. A Canada-based one of the top money lending companies named Borrowell recommends products to the users based on their credit score, and if someone buys the recommended product, that company pays Borrowell.

After reading so far, if you are triggered to develop a P2P lending app like Branch, consider these three very important things while developing P2P lending app.

Three things to consider to develop P2P lending app like Branch

P2P lending market is intensifying with countless P2P lending apps. By raising a decent amount, entrepreneurs think themselves well-armed to start a P2P lending business. They neglect the importance of a next-gen P2P lending mobile app and fail.

A team of Coruscate Solutions has researched and found out three modules of P2P lending mobile app development where you need to pay extra heed. These are credit scoring engine, payment gateway, and business intelligent enabled admin panel.

Credit scoring engine

If you are planning to develop P2P lending app like Branch, accommodating credit scoring engine in the app is the crucial requirement as paying some other financial institutions to evaluate the credit score of your users makes the process complex and messy. An inbuilt credit scoring engine evaluates the credit score of the users in a few seconds and helps you to issue more loans in lesser time. Coruscate Solutions has developed 5+ FinTech apps and scalable credit scoring engines. Our team of developers knows the craftsmanship to precisely integrate an error-free credit scoring engine in your P2P lending app.

Payment gateway and processor

A FinTech app is hard to imagine without payment integration — a payment processor and gateway transfer the fund between the different bank accounts. If you end up choosing a wrong payment gateway and processor, not only you will fail to provide an ultimate user experience to the users, but you will do yourself a financial injury. A team of Coruscate Solutions is always ready to help you in finding an affordable and reliable payment gateway which satisfies all requirements of P2P lending app.

Business intelligent enabled Admin Panel

Admin panel is the heart of your online P2P money lending business. With Admin panel, you can track all money lending requests, the status of it, received, pending and failed payments and many more. But a BI enabled admin panel is the cherry on the cake. Features of business intelligent present you the historical and real-time performance of your business in a graphical way. It stores, gathers, validates and analyzes the data to help you to take future business decisions.

What is the cost to develop a P2P lending app like Branch?

Being a transparent P2P lending app development company, we would like to elucidate that a FinTech app development is not a one time process. Since governments make regular changes in the legal norms of online money transfer platforms, your app needs to be updated with every little change in legal norms. However, our customized pricing module makes sure that you will be charged the lowest and only for your requirements.

We, at Coruscate, work on the latest technologies and delivers the unsurpassed P2P lending mobile app. Our team of developers and designers have 5000+ hours of combined experience in different FinTech app development projects. We precisely design and develop P2P lending app like Branch in such a way that you will surely dominate the market. To know the pricing and features of P2P lending app, visit our FinTech app development page. We even provide a free consultation. So, feel free to contact us.

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