Peer To Peer Banking

Prosper.com looks like a really smart implementation of peer to peer banking. It’s a little like eBay, with borrowers in the role of sellers and lenders in the role of buyers, the lowest offered interest rate winning the bid. Loans are repaid by automatic payment from the bank, and Prosper.com takes something from Grameen in harnessing the power of groups to motivate borrowers to pay on time.