Where Investors and Borrowers Are

The percentages of investors and borrowers are based upon the population of the state and how many actual investors are within these states.

There are more states now eligible for investing on peer lending and three of the largest percentage of investors are from California, New York and Washington. California is the birth place of Lending Club and Prosper Marketplace – the two largest peer lending platforms in the United States. Lending Club is known as the disruptor in banking. In New York investing in peer lending has drawn in financial savvy individuals, many who are still and used to be heavily invested in Wall Street. As for Washington state, it is home to LendingRobot, do we need to say more?

There are several reasons a person would need to borrow money, but why from peer lending instead of banks and payday facilities? Here are some reasons for the largest percentage of borrowers (on Lending Club and Prosper Marketplace) who come from California (14.42%), New York (8.13%), Texas (7.73%) and Florida (6.81%):

1. Payday lenders can charge high interest rates on loans, more than even most banks.
2. Payday lenders are legally not allowed to function in certain states.
3. Banks even though not as bad as Payday lenders still charge higher interest rates for those that have fair credit.
4. Borrowers have a hard time trusting banks.

Side Fact: Most natural disasters have occurred in these states.

Where The Investors Are

*Note: This is only based on LendingRobot investors.

Where Lending Club and Prosper Borrowers Are


*Investor percentages based on LendingRobot data

**Borrower percentages based on Lending Club and Prosper Data

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