Is FinTech P2P Lending Worth Using as an Investment Instrument?

P2P lending is a fiat money lending and borrowing service platform between creditors/lenders and debtors/borrowers. In the world of P2P Lending, people who provide funds as business capital are called investors. Until now, in my country there are more than 170 FinTech P2P lending providers that are licensed and registered with the government (Financial Services Authority).

To become an investor or lender, the method is quite easy, we only need to choose service products such as agriculture, online loans or venture capital, then we join FinTech P2P according to the product we choose, and deposit the smallest funds of around $ 10, but each platform has a different deposit. The loan period depends on the existing agreement on the platform. Lenders will benefit from around 15 to 21% interest per year. If we, as lenders, have deposited money, it cannot be withdrawn until the loan agreement is completed.

Even though borrowers have been selected and analyzed by the P2P lending platform, they also provide risk grade information about borrowers, but because I am not experienced with this platform, I want your opinion before investing.

Well, sometimes you need to take some risks with investment. I think they should be others reviews about this. You should go ahead to read them before investing. You need to take an informed decision

Given that the interest rates charged are usually extremely high, an investment in the fintech secure would be viable. Nevertheless, one needs to take into consideration the levels of default in this segment are quite high. There is thereby need for one to develop a watertight strategy for handling such challenges.

I would avoid such kind of platforms because many such kind of platforms might not be that reliable. Some of them are even HYIP platforms and they may have nothing to do anything with lending money.

Passiveearner said:

I would avoid such kind of platforms because many such kind of platforms might not be that reliable. Some of them are even HYIP platforms and they may have nothing to do anything with lending money.

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There was a time I used to feel very happy whenever I hear about platforms like this but not anymore because you tend to lose your money to most of them but I'm not ready to lose my money

That sounds interesting. I'm not sure if we have such platforms in my location. But I always hesitate to lend money to people I do not know. This is kind or risky to me.

Well I am very skeptical about lending platforms really, even those that use crypto and smart contracts for lending, I prefer other methods to make money really, to save myself from possible scams.

Springtime said:

That sounds interesting. I'm not sure if we have such platforms in my location. But I always hesitate to lend money to people I do not know. This is kind or risky to me.

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I always hesitate too. Lending out money to someone is not easy. What if you lend out a lot of money that is almost up to your life savings and the person does not return it? What will you do about that?

I honestly do not know if fintech p2p lending is worth using as an investment instrument. This is because i've never made any investment and i know little about investments and investment strategies.