SEOUL, July 4 (Korea Bizwire) – 8PERCENT, a P2P (peer-to-peer) lending company, revealed on July 4 that 30-something men who live in metropolitan areas are their primary investors.
P2P lending refers to a system where lenders and borrowers make direct monetary exchanges with one another.
A P2P lender evaluates the creditability of potential borrowers applying for loans, and if approved, lends them a small amount of money.
As of June 30, top P2P lending company 8PERCENT’s total accrued loans summed up to 26.6 billion won ($23 million), with a total of 8,283 investors investing 3.21 million won ($2800) on average per person.
The average age of the investors was 34.3, and more than 90 percent of the investors were between the ages of 20 and 40. 8PERCENT also revealed that 77 percent of the investors lived in metropolitan areas, and that 67.5 percent were male and 32.5 percent, female.
The largest investment made so far was 453 million won ($395,000) diversified into 1,115 different bonds.
“Until last year, 90 percent of investors were from metropolitan areas, but the portion from non-metropolitan areas increased to 23 percent this year. Investment from women also increased from the low 20s to 30 percent, and we’re seeing growth in the number of investors in their 50s as well,” said Kang Seok-hwan, chief marking officer of 8PERCENT.
Small credit loans of 24.2 billion won ($21 million) comprise more than 90 percent of the total investments. Out of the total amount, 13.4 billion won ($11 million) was loaned to individuals, and 10.8 billion won ($9.4 million) to corporations.
Besides credit loans, borrowers also obtained real estate mortgage loans of 2.4 million won ($2 million).
By M. H. Lee (email@example.com)