𝍐 Lending Club
Hey everyone, welcome to the start of my next series where we'll talk about all of the great money making opportunities we find, but that we don’t qualify for because we’re:
“Too Young To Work”
“Too Young To Work”
Whenever you see the falling money picture, you can know it's an update to this series!
Okay, so if you’re under 18, like me, you may get frustrated when you're presented with a totally do-able money making idea but it all falls short with the little section, on the last page, asking for your age only to say: “Sorry you have to be 18 or older”. Those 8 words are some of the hardest to read, but I can understand why many companies have to bar people below the age of 18. Sometimes it's due to maturity, and sometimes due to legal reasons and what not. But no matter what, the final outcome is always the same. Spending two hours looking into doing some online work only to find out that I've wasted my time.
So, let’s start with today’s great company, but my horrible timing.
BackGround
Lending Club, a peer-to-peer lending service. For those of you who don’t know, peer-to-peer lending is when peers lend you money or you lend money to your peers. And peers can be anyone, from your mailman to a fellow student, or even your own family. Many people describe it as getting a loan from a bank, but instead of the bank, you or a peer is providing the money.
The Good
Now, Lending Club is an online service which links lenders and those looking for a loan. The best part about it though is anyone can become a lender! ….. As long as you’re 18 or older, which last time I checked, it’s not something I can change too quickly. But Lending Club is still worth a look, they offer a service for both parties to get together. And they have created a platform where lenders can easily get their money and interest back from the debtors who in turn also have an easy time hooking up there own savings account to make automatic monthly payments back to their lenders.
The Bad
But, it’s not all good though. Lenders still risk the chance of losing their money if they lend it to someone who files for bankruptcy or if they lend to somebody who defaults on their loans. And for those who borrow money still, have to not only pay back the money the borrowed but also pay back interest on that money.
The Great
You may still be asking though, once I am old enough, how can Lending Club help me? Well, that’s simple. Much like how a bank makes money from the interest you pay back to them when you take out a loan, you too can lend out money which people have to pay interest on. So, you could make 700 bucks each month as people pay back their debts to you, which, include not only the original sum you lent out but also more money from the interests they pay to you. And there’s a way to avoid the risk of losing your money too, all you have to do is make small $5-$10 to 100 people rather than lending one person $500-$1000. And the best part is that Lending Club was designed to support just that! Often times a loan may have hundreds of lenders who all lend a little money in order to minimize the risk of lending.
Endnotes & Conclusion
Overall, I think Lending Club is a great way to make a passive income while you work or learn but it is in no means a way to make all of your money, without originally sinking a lot of money into it. And there’s always a risk of someone defaulting on their loan. But we don’t have to worry about it because Lending Club is sadly 18 and older,
I guess we're just Too Young To Work!
I guess we're just Too Young To Work!
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