peer to peer

Oct
09

Follow RateSetter’s pace on transparency, and other ways fintech lenders can win bank share

This article is one of the reasons AustralianFintech.com.au exists – to make more Australians aware of FinTech products & companies, and how these FinTech products can help everyday people and businesses alike. Small business owners seem largely unaware of who fintech lenders are and what they do. In a survey conducted by business banking research company East & Partners, business owners were asked “what companies do you think of first in the area of fintech?” Thirty-nine per cent of SMEs (turnover less than $20m) couldn’t think of anyone. Of those who could, the majority nominated cloud computing companies Xero and Quickbooks, EFTPOS providers Mint Payments and FX providers HiFX and […]

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Aug
30

Bruce Billson endorses disruptive online SME lenders

Fantastic article featuring many Australian FinTech companies and their ability to cause disruption to the big banks. Also great news to see the Australian government supporting this disruption. The Minister for Small Business Bruce Billson has backed a flurry of new online lenders targeting small and medium businesses to pressure the big banks to extend more credit to the often ignored sector. Mr Billson gave a ringing endorsement of the fintech start-ups’ ability to stir the forces of banking competition, after the big banks were stung by criticism at the National Reform Summit last Wednesday. Source: Bruce Billson endorses disruptive online SME lenders

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Aug
24

DirectMoney to sell loans through Loan Market and Finsure

DirectMoney, the marketplace lender which floated last month, has established strategic partnerships with two mortgage brokers, Loan Market and Finsure, providing it with distribution channels for its unsecured personal loans which the brokers will offer customers as an alternative to finance from banks. Source: DirectMoney to sell loans through Loan Market and Finsure

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Disrupters in battle for access to credit data

This is will be an ongoing battle for all players in the industry! Control of customer credit data is emerging as a flashpoint between banks and peer-to-peer lenders despite the introduction of the comprehensive credit reporting regime, which disrupters say is inadequate to allow competition to thrive in the digital world. Matt Symons, the chief executive of Australia’s largest P2P lender SocietyOne, has called for the government to monitor closely the quality of reporting by banks into the comprehensive credit reporting (CCR) regime. Source: Disrupters in battle for access to credit data

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Jul
14

Investing opportunities in FinTech

Investment Investment in FinTech takes two directions. Firstly you can invest your funds into companies such as peer to peer lenders for them to distribute as loans. This takes the form of either direct investment for the wholesale investor or investment into managed investment schemes that administer the funds for a fixed return. Obviously as the level of management increases the returns will decrease but so too will the risk. The second approach that is starting to gain a foothold is to invest directly into the companies themselves through new ‘crowd funding’ platforms that provide you with equity for your investment. These equity raising platforms are great for anyone looking […]

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Jul
14

Peer-to-Peer

Peer-to-Peer Peer-to-Peer is perhaps the biggest driving force behind FinTech. By using technology to directly link peers you can increase efficiency and reduce the points of contact in any transaction. As each point of contact requires some form of payment for their facilitating role they simply add additional costs and complexity. Consider a loan from a bank as an example in simple terms: I deposit my money in the bank for which I expect to receive a return for letting them use it to make loans rather than holding it outside the banking environment. You borrow money from the bank so that you have access to funds that you would […]

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Jun
22

P2P lender ThinCats Australia on prowl for strategic investors, potential IPO | afr.com

ThinCats Australia is looking to capitalise on investor interest in peer-to-peer lending, as it gears up for a potential initial public offering and holds talks with strategic investors.It’s understood ThinCats Australia, backed by UK-parent ThinCats, is in discussions with private equity firms, credit unions and accounting firms about a strategic investment. The company, which launched in Australia last year, is also considering a run at the ASX boards. Source: P2P lender ThinCats Australia on prowl for strategic investors, potential IPO | afr.com

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Apr
02

Fintech split on lower regulatory hurdles

Challengers to the banks and global payment giants disagree on whether there should be an easing of regulations for finance start-ups, a major recommendation of the Murray inquiry.Peer-to-peer lender RateSetter Australia argues current regulations are adequate and flexible enough. It said “graduated” regulation applied based on the company’s risk to the financial system suggested by the Murray financial system inquiry could threaten confidence in the emerging loan business models – particularly those lending to the public.”It is important that regulations for P2P lending are not weakened in any way and that consistency of regulation is critical for the P2P lending industry to prosper,” it said in its submission to the […]

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