Advances in Peer to Peer Lending: An Evidence from India

Abstract

Purpose: This study aims to examine the lending procedure of peer to peer lending platforms and its advancement in India.

Design/ Methodology/ Approach: Content analysis was done for the working mechanism of peer to peer lending platforms. For Sentiment analysis of customers, reviews were taken from social media sites and analysis was done using IBM Watson Analytics tool. A comparison between different peer to peer lending platforms was done by drawing data from internet sources.

Findings: The outcome of the study suggested that the peer to peer lending companies are adopting the technologies to mitigate the risk involved in lending and gaining popularity among the borrowers and lenders.

Practical Implications: The peer to peer lending platforms can be the alternative way of lending for the quick and hassle-free transaction than the traditional way.

Originality/ Value: The novelty of this study enumerates the business model of the lending platforms in India without the involvement of financial intermediaries.