Online Peer-to-Peer Lending: A Literature Review
Research output: Journal contributions › Scientific review articles › Research
Standard
In: Journal of Internet Banking and Commerce, Vol. 16, No. 2, 08.2011, p. 1-18.
Research output: Journal contributions › Scientific review articles › Research
Harvard
APA
Vancouver
Bibtex
}
RIS
TY - JOUR
T1 - Online Peer-to-Peer Lending
T2 - A Literature Review
AU - Bachmann, Alexander
AU - Becker, Alexander
AU - Bürckner, Daniel
AU - Hilker, Michel
AU - Kock, Frank
AU - Lehmann, Mark
AU - Tiburtius, Phillip
AU - Funk, Burkhardt
PY - 2011/8
Y1 - 2011/8
N2 - The term online peer-to-peer lending (P2P) describes the loan origination process between private individuals on online platforms were financial institutions operate only as intermediates required by law. Initialized by groups in online social networks, first commercial online P2P lending platforms started in 2005. Thus online P2P lending is a relatively young research field. This paper gives a brief overview of the P2P lending market and reviews the research on the determinants of P2P lending. We distinguish between financial and demographic characteristics of the borrower, as well as social characteristics like friends and group affiliation. The reviewed literature gives insights on how the determinants affect the borrowers' likelihood of successful funding, the final interest rate that has to be paid as well as the relationship of the borrowers' characteristics and lending success.
AB - The term online peer-to-peer lending (P2P) describes the loan origination process between private individuals on online platforms were financial institutions operate only as intermediates required by law. Initialized by groups in online social networks, first commercial online P2P lending platforms started in 2005. Thus online P2P lending is a relatively young research field. This paper gives a brief overview of the P2P lending market and reviews the research on the determinants of P2P lending. We distinguish between financial and demographic characteristics of the borrower, as well as social characteristics like friends and group affiliation. The reviewed literature gives insights on how the determinants affect the borrowers' likelihood of successful funding, the final interest rate that has to be paid as well as the relationship of the borrowers' characteristics and lending success.
KW - Business informatics
KW - Demographic characteristics
KW - Determinants of funding success
KW - Financial characteristics
KW - Group intermediation
KW - Literature review
KW - Peer-to-peer lending
UR - http://www.scopus.com/inward/record.url?scp=80054905231&partnerID=8YFLogxK
M3 - Scientific review articles
VL - 16
SP - 1
EP - 18
JO - Journal of Internet Banking and Commerce
JF - Journal of Internet Banking and Commerce
SN - 1204-5357
IS - 2
ER -