Peer-to-Peer (P2P) lending is a popular alternative to traditional financing methods. It is the process of obtaining financing from other groups of individuals — as opposed to a financial intermediary like banks, credit unions, credit cards, or payday lenders. It is also an effective way to (re)build credit history and credit worthiness.

 

Canadian regulators have given the green light to P2P lending companies, which opened up the space for this alternative to traditional lending routes.

 

Peer lending has been around for about as long as banks have been denying loans to loan applicants (often blacks, indigenous, immigrants, and other marginalized demographics), and forcing those prospective borrowers to turn to people in their own communities or online lending circles, for alternative financing. #BlackEconomicTheory

 

 

One of the benefits that BWP Co-op members enjoy is access to Peer-to-Peer Lending Circles offered by partner organizations – Whole Woman Network and PARO Centre for Women Enterprise (via Alterna Savings Credit Union).

Benefits of Peer-to-Peer (P2P) Lending Circle (For Lenders).

Opportunity to Participate in the Solidarity Economy and Impact Investing.

BWP Co-op peer-to-peer lending circle is an opportunity for interested non-voting cooperatives, investors and BWP Co-op member-owner-workers to participate in the solidarity economy, social finance, shared prosperity and impact investing.

 

This is for you if you are passionate about providing loans with dignity – giving a hand up and not a hand out. And if you are committed to the ethos of sustainability, financial inclusion, social justice, creating profit with purpose, and positively impacting the lives and business ventures of other women, their families and their communities.

 

 

 

Benefits of Peer-to-Peer Loans (For Borrowers).

 

Leverage More Funds.

BWP Co-op peer-to-peer loan are effective for leveraging additional funds at competitive market rates and terms, while protecting you from credit card debt and high-interest loans.

 

Credit History.

Our peer-to-peer loan does not require a credit check for the first loan; it offers convenience and peace of mind if you have no credit history or poor credit history. However, for subsequent loans, a credit check and completion of a financial literacy course are mandatory.

 

Improve Liquidity and Cashflow.

If you have no cash, credit or other source of equity, our peer-to-peer loan allows you to protect your credit history and score by injecting much needed capital into your business;  for payment of bills, to stock inventory, and to take advantage of sales, discount & promotional offers from your vendors and suppliers.

 

An Alternative When Ineligible for a Bank Loan.

If the loan amount you require is too small for a financial institution to consider, our peer-to-peer loan is an effective way to access funds to cover emergency expenses.

 

A Pathway to Financial Literacy, Wealth Wholeness and Self-Leadership.

BWP Co-op peer-2-peer loans ensures that all borrowers complete a 12-week financial literacy and self-leadership course after the repayment of their initial loan, before they are eligible for subsequent loan(s). This mandatory requirement helps members in their journey to self-leadership, financial literacy, wealth wholeness and freedom.

 

Paying it Forward.

Our approach disrupts the sometimes extractive traditional financial model about lending and enables us as a community to break prevailing socio-economic systemic barriers, get our members out of debt faster, empower them with healthier money habits, and support our members to eventually pay it forward by becoming investors themselves, thereby earning a profit and helping other women and their communities too. #NoSisterLeftBehind #SolidarityEconomy 

 

Do you have additional questions? Interested in learning more about the BWP Peer-2Peer Lending Circle? Click Here to Schedule a Complimentary 30-minute Consultation with a member of our Community.