| P2P online lending is a new type of financial service which refers to the combination of lenders and borrowers by Internet. The P2P online lending company is a financial intermediation to offer information to lenders and borrowers for the success of the deal.The function of P2P online lending is the same to the traditional financial institutions. However, as a new financial service, it meets the needs of the vast persons and changes the people’s understanding of the financial market. In recent years, P2P has growing faster and faster. Especially, in2012, the number of P2P online companies was more than100and over50thousand people borrow money by P2P online lending.In China, Compared with traditional financial institutions, there are four characteristics of P2P online lending:multiple participants, flexible trading, great risk and return. With the Information asymmetry environment, the adverse selection and moral hazard become the biggest obstacle to P2P online lending. Simultaneously, P2P online lending is lack of legal and government regulation. As a result, the lower success rate of trading and higher interest rates become the common phenomenon in P2P online lending markets.In order to promote healthy and sustainable development of P2P online lending and enhance the richness and diversity of our country’s financial market, this study analyzes the factors of the success rate of trading and interest rates and proposes appropriate solutions, which provide valuable references to the participants and regulators of P2P online lending. |
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