DISRUPTIVE INNOVATION
PAGE 13
iNM Volume - 9
P2P lending
Peer to peer lending is an online
business in which individual and institutional
investors provide funding to people seeking
loans
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3) Borrowing and lending
As customers demands continues
to grow it has become increasingly difficult for
financial institutions to cater to all the needs
of customers There has come a situation
wherein the Banks should consider what
portion of their business they would like to
retain and what partnerships can deliver
better value to customers so that the banks
can focus on their core functional areas
The key trends in banking are
Alternative lending P2P Virtual banking
Mobile banking and Standardizing API
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According to data released by P2PFA
the cumulative lending through P2P platforms
globally at the end of Q4 of 2015 has reached
4 4 billion GBP Lending through P2P has
grown dramatically from 2 2 million GBP in
2012 to 4 4 billion GBP in 2015
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Mobile and virtual Banking
Online banking is one of the most
popular ways for people to manage their
money Banks ensure internet banking security
for customers by using encryption technology
such as secure sockets layer The statistics
from the Federal Reserve report shows that
the there is growing number of customers
who opt for online and mobile banking
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Standardizing APIs
Banking as platform movement aims
to standardise APIs across financial institutions
allowing 3rd party developers to easily build
and integrate customer facing enhancements
to the institutions core offerings
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