Without going into details of the concept of peer-to-peer lending, one can explain it as a type of debt financing, in which lenders and borrower enjoy freedom and control over the terms of loan, without any intervention of intermediary financial systems. Further simplifying, it is a term used for the practice of money lending by individuals via services that connect lenders and borrowers directly. It may come as a surprise to some; the core concept behind peer-to-peer lending is not new.
