Spectator on facebook

Spectator on facebook

FOCUS SHORT

Slovakia discovers P2P loans

WHILE collective borrowing is a common phenomenon both overseas and in western Europe, Slovaks are just discovering peer-to-peer (P2P) lending. Roman Feranec of Žltý Melón, an online peer-to-peer lending intermediary company, describes this model of lending as people who have money available providing it directly to those who need to borrow it, the SITA newswire wrote.

WHILE collective borrowing is a common phenomenon both overseas and in western Europe, Slovaks are just discovering peer-to-peer (P2P) lending. Roman Feranec of Žltý Melón, an online peer-to-peer lending intermediary company, describes this model of lending as people who have money available providing it directly to those who need to borrow it, the SITA newswire wrote.

Banks and other traditional financial institutions are excluded from the process. Interest rates are set by lenders through auctions, which benefit borrowers by often being lower than what traditional banks offer, while at the same usually yielding higher returns for the lender. Lenders also select the parties they loan their money to, thereby reducing the risk of borrowers defaulting on payments.

The first intermediary company to spread collective loans en masse was Zopa in Great Britain back in 2005, the Pravda daily wrote. Nowadays such online intermediaries also operate in central European countries: Kokos in Poland, and Finx and Bankerat in the Czech Republic.

The processing of personal data is subject to our Privacy Policy and the Cookie Policy. Before submitting your e-mail address, please make sure to acquaint yourself with these documents.

Topic: Finances and Advisory


Top stories

What does this man know?

Prosecutor searches for witness in the case of Ján Kuciak and Martina Kušnírová’s murder.

Identikit picture of possible witness in Kuciak murder case.

I am not afraid, I do not work like Kuciak

Sometimes trolls burst into our office and shout at us until we convince them to leave, but they never sue us, says David Crawford from the newsgroup Correctiv who were the first to discover who downed MH17 flight.

David Crewford

Foreigners: Top 10 events in Bratislava Video

Tips for the top 10 events in the capital between September 21 and September 30, plus regular services in different languages, training, temporary exhibitions and highlights of the year.

Kapitulská

The longest highway tunnel in Slovakia is finally bored through Photo

Drivers wont be able to drive through it though until 2022.

Western portal of the Višňové tunnel