Business Plan

Because the Credit Crunch, traditional lenders, it is difficult for everyone, but most creditworthy borrowers to qualify for the private college loans. Now, a new breed of students trying to lenders, students for the return of snub “by the depreciation of Sallie Maes Citibanks and the world in favour of the appeal to friends, family and even Perfect Strangers College, to finance their loans.  " It  ' s nicht eine L’sung for das Kredit-Krise im studentischen Darlehen mit irgendwelchen Mitteln,  ", sagt Mark Kantrowitz, Herausgeber der finanziellen Beihilfen Website finaid.org.  “But the idea of creating a peer network, the money is fascinating.  “

The general idea is to facilitate loans between students, on the one hand, and is good Samaritan friends and relatives or intentions of foreign investment in alternatives to equities, bonds and certificates filing. Pages very different approaches, though. Some, like Virgin and Green note especially try to formalize loans between friends and family members. Others “Prosper under them” can publish borrowers, they want to increase the amounts and interest rates they  ‘re willing to pay. So lenders “friends or strangers” bid on the financing of even a small portion of these credits. Given that competition among bidders to strengthen a part of a loan, the interest rate is a student must pay decreases.

A Win-Win-installation

This looks like a great idea. For lenders, loans are encouraged as a means to acquire a decent performance and, at the same time a contribution of student needs. For borrowers, the attraction is the prospect of a backup of interest rates,  ’s lower than the 6% to 16%, that conventional lenders fees for private loans. (Interest rate loans to the private sector, depends primarily on credit scores.)  “The idea that people auction setting the interest rate on your student loan is certainly attractive ,  “Said Kantrowitz.

For borrowers, the big question is whether the pages are encouraged to help ensure that more funding abundant. Currently, most networks Peer-to-Peer report lender loan volumes low. On Prosper, for example, only 2% of $ 150 million in the form of loans, especially for education. In addition, the passage in some of these loans may be unattractive. Einige Kreditgeber, zum Beispiel verlangen, Studenten zur ckzahlung Darlehen ber relativ kurze Zeitrume. Not all of them attach a time limit, until the conclusion. In addition, the costs of these loans may be high. And since there  ’s no guarantee for landing at an interest rate, they ‘ is important, as always, around you buy.

source:Yahoo