Research Of Online Peer-to-Peer Lending

The lack of financial services for small and medium-sized enterprises and in poor rural areas has been a major policy puzzle for policy-makers. It also restricts the economic development in China. Through the positive efforts of relevant institutions and the academic circles, it seems that we finally get a instructional type called "micro-finance company" to solve our dilemma. Practices prove that the policy indeed have some effects. But micro-finance companies are not allowed to take in savings, which then becomes a big obstacle to the development of this institution. From this sense, in addition to the tight credit policy, the one who really want money actually are not satisfied.At the same time, money in our private capital market is very abundant. Facing the high inflation rate, the slump stock market and the controlled real estate market, all the money are in urgent need of a sound Investment Channel. Under this circumstances, a new type of lending modal—online peer-to-peer lending, which was introduced from abroad, is quietly emerging.This paper mainly explores the flourish business type called online P2P lending, which have been growing since2006in the Chinese market. The online P2P lending mode is a kind of "personal to personal" lending where an electronic marketplace replaces a bank as the traditional intermediary and enables the brokerage of consumer loans directly between borrowers and lenders.In the thesis, several companies operating online P2P lending are introduced thoroughly. They are either from overseas or from inland. The Operating Modes, risk control measures and profit modals of all these companies are thoroughly analyzed. All these are to provide a comparative analysis between abroad and inland. So that useful suggestion can be given after the anylasis.Companies analyzed include Zopa from UK, Prosper from US, a NGO called Kiva, and two other Chinese companies.This paper is mainly about anlysis of P2P enterprises at home and abroad to sum up the obstacles now faced by online P2P lending enterprises in our country. More importantly, according to the problems, the author provide some proposals to aid the healthy development of this industry.Structurally, the article is divided into six parts. The first three parts introduce the background knowledge and relevant theoretical knowledge of online P2P lending. The fourth part is about the development of several online P2P lending companies abroad and inland, with the purpose of comparison. The fifth part is a comparative analysis to the development of P2P lending In China including the status quo, the countermeasures and proposals. And finally sum up the concrete measures to realize sustainable development of the modal. Article six is the focus of this thesis, but also the innovation and imperfection.