Invest your money through Peer-to-Peer (P2P) Lending Platforms.
What is Peer to Peer (P2P) lending platform?
==>> Peer to Peer (P2P) Lending platforms prevents the role of mediocre like a banks.
As an example if a (Person A) wants to fixed deposit his money.
To earn some interest
Where he will go? He goes to bank. Whatever the bank he may account have on ( HDFC, KOTAK, POST BANK, STATE BANK, BARODA BANK etc.) Whatever it is - He goes to bank and (Person A) Say's to a account manager - I want to fixed deposit my money, for 3 year's lock in periods, I don't need now, I have some work to do after 3 year's
How much is the interest will I get from this?
An Account Manager say - We have almost 7% of annual interest for fixed deposit in our policy.
A (Person A) Say - Yeah, keep always fine
I am depositing this money and I will come back after 3 year's with the interests of 7% annually
Account Manager - Say yeah, keep fine.
At the Same time (Person B) Requires a money urgently because he may on troubles,
Where He will go? He goes to bank, The same bank the (Person A) goes to-
A (PersonB) goes to bank and say to a manager - Hey! I have some urgency and I need a money urgently. I am in a big-big trouble.
An Account Manager Say's to a (PersonB)- Listen Whatever the amount you may require, We can help you too but the annual interest we charge is 13% and apart front this- There would be a processing fees charges, Service charges and we will have some 3 year's aggreement that you will give us money back and the EMI gets started from next months with the interest of 13%.
Now, Can you please tell me my friend at the what interest rate, Does the bank collected money from (PersonA)
i.e. 7% of interests
and Now, Please tell me at what interest rate does the bank distributed the money of (PersonA) to (PersonB)
i.e. 13% of interest annually
Now,
(13% - 7%) = 6% of interest rate is earned by the bank. An in this 6% of interest banks manage his assests through and do the salary of his employee. An remaining of them banks keep for themselves as a net Profit.
Now, Coming back to the Peer-to-Peer (P2P) Lendings
As I said in the first course, It's demolish the role of mediocre like your bank's
Now (PersonA) and (PersonB)
directly will be able to connect through this platform.
As an invester (PersonA) directly will be able to get annual interest of 12% which is a huge-
and (PersonB) will get his loan approve through this platform
P2P (Peer-to-Peer) can beat the Market and Inflation.
Today we may have almost 5% of annual inflation that can easily beaten by P2P that is (Peer-2-Peer) Lending platform.
If you keep your money trushing them into the bank.
Your money will be slightly-slightly get beaten by an inflation
An If you Keep and hold your money in P2P (Peer-to-Peer) lending. It will not just beat inflation but records some profits.
Now the question is -
How much does P2P (Peer to Peer) Lending platforms is secured.
==>> I would say if you keep your money deposit in banks for longer time.
It will be your's Non-Performing Assest which will get decrease slightly-slightly by inflations still you are in a loss-
If you try keeping your money in P2P (peer 2 peer) lending platforms still I wouldn't say you are 100% secured
This Platforms your money -
As an example if you have 10,000 to invest your complete 10,000 will be not distributed directly to 1 person, So he fails to pay your money will get plunge
thats the reason this platforms distributes your 10,000 to the 10 Peoples each one of them by 1000,
If and so if 1 person fails to pay, The platforms recover your money from other sources.
but the interest you earn will be reduced at some point of view and the amount you deposited is completely safe.
I held talk with there customer service, And they are saying it's completely safe your money.
We have the licence of NBFC-P2P from RBI.
The best P2P (Peer-2-Peer) lending companies in india (2024) is
Mobikwik Xtra
i2i Funding
Lendbox
cashkumar
Finzy
IndiaP2P
Lendingcart
12%club (BharatPay)
Cred Mint
What are your Limits of investment in P2P?
==>>
The minimum investment you can start your journey with the investment of 1000 Rs., However some companies you can start with 500rs too-
Also the Maximum limit is Rs. 50 Lakhs, However if you're investing more than 10 Lakhs you needs to complete a Kyc Process.
and the Max limit for borrowers to an individuals cap limit is set by RBI is 50,000 (Source: )
How will be taxed your income interests from P2P?
==>>
The lender's actually pay's the amount in monthly installment. This returns are usually Principle amount + monthly interest rate, Only the interest that applies on EMI, Which consider the income from p2p lending will be taxed As per article 56(2) of Income tax act 1961. An this income comes under the category of "Income from other sources" that the govt. consider
So, you will need to pay the taxes as per your tax slab rate.
Here, You can start your journey of investment through Mobikwik Extra here is the link===>>Click here
Does P2P lending Platforms have alternative?
==>>
Yes, There is alternative against P2P lending platforms,
You can diversify your portfolio by investing in mutual funds, REIT,s i.e. Real estate investment trust, Debanture like corporate bonds, Treasury bonds, T bills etc. There are lots of options you can diversify your portfolio through
When do will you start earning the loans you fund?
==>>
As long As you invest in the p2p, You can see your interest will be shown on your applications from day 1 itself. and the Daily interest will be credited to your fund.
How can we withdraw the money we've invested in P2P
==>> It is depend on the plans you select early day's an year ago Mobikwik was giving an options to his investor of (flexi investment) in that plan your earning goes up to 12% and you can withdraw anytime of your choice there wouldn't be any deduction
but Now a day's As I writing this article in 2024 The Mobikwik has changed there policy and stopped the flexible options for all the new investor.
You will have to go through certain locking period that you have selected in usually (3 months, 6months, an year, 2 years etc.)
An if you try to withdraw a money before your locking period ends.
You may have some interest lost or the platform will pay you a less interest than It should be.
This is all about the P2P lending Platforms If you like such a new information do follow the page.