Legal Partner DWF reviews peer to peer lending
Loan-based (P2P) Crowdfunding Platforms and the FCA’s Consultation Paper – Change is Coming.
Lord Adair Turner, former chair of the FSA until 2013, predicted in 2016 that “the losses which will emerge from peer-to-peer lending over the next five to ten years will make the worst bankers look like lending geniuses”.
The number of crowdfunded loans originating from online platforms has grown at an exponential rate in recent years. This increasingly emerging and important financial sector has been subject to a FCA Consultation Paper issued earlier this week. Does the Paper endorse those eye-catching comments made by Lord Adair a couple of years ago?