Sometimes a little disruption can be a good thing.
A new concept called “marketplace lending” is shaking up traditional financial markets, which have remained rigid and fixed for far too long. For years, people with strong credit histories sought out loans but weren’t rewarded with the better rates they deserved. At the same time, people with less-than-perfect credit were excluded from accessing the loans they needed. This was partly due to the fact that traditional financial institutions had exclusive rights to fund these loans.
In the past few years, however, advanced technology has brought greater transparency, immediacy and disintermediation to financial markets, enabling all investors the opportunity to share in the profits of asset classes previously only available to traditional lenders.
The sharing economy and peer-to-peer networks are redefining business models in every industry. It has become clear that mainstream financial policies, such as those used by traditional lenders, are in need of an upgrade. OurMoneyMarket is happy to do our bit in helping make money move more freely and quickly between borrowers and investors.
What Is Marketplace Lending?
Like any great deal you see online these days, marketplace lending is a high-tech twist on a very old idea. For hundreds of years, people have lent money to other people they trusted. Marketplace lending starts with that same idea, but it uses the latest technology to create a secure online platform for managing peer-to-peer arrangements like these on a massive scale.
This means borrowers have greater choice, with access to a wider variety of “lenders”, and investors of all sizes can gain access to alternative fixed-income asset classes that offer attractive rates of return.
How Do Borrowers Benefit?
The OurMoneyMarket website makes it easier for you to get approved for the loan you need. In the past you would have to go from bank to bank, having awkward face to face conversations, some of which would result in a “No” due to the banks rigid credit policies. Each rejection would hurt your credit and make it harder for you to get a loan in the future. Now you can simply go to OurMoneyMarket, obtain a free rate quote within minutes, and post your loan request online. When enough investors sign on to share in the risk, your loan is approved. Think of it like crowdfunding for personal loans – but don’t worry as a borrower you don’t have to deal with hundreds of investors! They won’t even know who you are. You just deal with us.
How Do Investors Benefit?
Traditional lenders restricted investor access to these asset classes because they were more risky than say, term deposits, but also because the returns were so attractive. They wanted to retain the loan exposure themselves.
These asset classes are perfect for rounding out a diversified portfolio and are now available for your investment, from as little as $50 in any single loan. OurMoneyMarket gives you the ultimate dashboard to build a portfolio and fine tune your risk and reward profile. You can invest in a wide range of borrowers, geographic locations, loan grades, loan terms and target rates of return. It’s your money. Invest where you want and how you want.
It’s simple. We believe in giving “Credit Where Credit’s Due”. You would think that everyone could agree on that, but financial markets have a history of running by their own rules. We intend to change that by rewarding good borrowers with better rates and borrowers who have recently improved their credit performance a second chance at repaying a loan. That also means investors who believe in these loan seekers deserve to make a good return on their good faith.
That ties into our second principle of transparency. There are no early exit fees, no prepayment fees and interest rates are tailored to match each borrower’s unique circumstances. Surprises belong in parties, not loans.
Our third principle is access. Borrowers deserve a simple, easy-to-use loan. We make maximum use of new technology to create a 100-percent online process with 0-percent confusing paperwork. No fuss, no run-around.
We also believe investors deserve an efficient, transparent and intelligent platform, so they have the flexibility and control they need when it comes to investing in loans.
Are You In?
OurMoneyMarket is now your money market. You deserve it and it’s long overdue. Sign up today and become a part of the new financial revolution.