In Australia, marketplace lending is fast following the US, UK, China and Europe. Marketplace lending is quickly becoming accepted and adopted by consumers and businesses alike. The value of loans made through marketplace lending platforms in Australia is forecasted to reach $22 billion in 2020 with $11.4 billion in Small to Medium Enterprises (SME) lending.
The private lending space is expected to deliver strong returns and offers opportunities to invest in an exciting and growing market. Of course, it is important for investors to do their homework on marketplace lenders and their platforms; and receive advice from their financial advisers to ensure they understand the risks associated with these types of investments.