BLender mixing model created based on the financial, social and demographic background of credit rating, overturns the P2P lending bank foothold, bring more opportunities in emerging markets.

at present, the P2P lending platform BLender were leading venture Capital from the United States Blumberg Capital (focus on global financial markets) for $5 million. BLender now in Israel, after get the financing plan in the next few months will be spread to Western Europe and Latin America market. Facing Geektime interview, BLender, the CEO of Gal Dr Aviv said they are a few specific countries: Colombia, Brazil, Germany, France, etc., he also said that some new features will be released, but he is not willing to disclose details.

as a peer-to-peer (P2P) company, Blender creditors and debtors, via technology connection for the borrower to provide attractive interest rates and receive money quickly and easily. Currently P2P company is very competitive, Prosper and LendingClub for the industry giants, from 2005, was established in 2006 to 2014 in October has moved more than $130 in loans.

in so many P2P company, what’s special BLender?

when asked about the BLender is different from general P2P lending platform of uniqueness, Aviv gave Geektime answer like this: first, the BLender plan their international business, and not just the distribution of local or domestic loans; Second, the traditional credit bureaus and rating system is not in place, the BLender can assess a personal credit risk in a timely manner.

the latter is the BLender business model of the driver. Aviv said: “we found that where there’s FICO credit scores, there will be a very powerful credit markets, such as the United States. But if you see no effective agency area, you can get credit is very low, the pricing is high.” And BLender noticed, because there is no rating agencies for small Banks to provide accurate information about the risk of default, so the big Banks and credit card companies often disputed. (hunting cloud network note: FICO credit points is developed by the us personal consumption credit evaluation company a personal credit rating method, has been widely accepted by society)

in order to reverse the foothold, the P2P lending BLender Rating2.0 is developed. Aviv called based on financial, social and demographic background of credit rating. He did not elaborate on how the system works, but said: even if the browsing history, also helps to personal credit risk rating, the rating includes the track “intention to pay” psychological archives. Potential borrowers can through the network, mobile phone or native applications access BLender (compatible with iOS and Android), and see whether they are eligible to get a loan in a few minutes.

another feature of BLender is its own creator portfolio DirectMatch, internal Re – a BLend of the secondary markets. P2P platform and LendingClub allow lenders to small incremental to various kinds of loans to spread and reduce risk. BLender to optimize the matching algorithm, bank will automatically scattered money in all kinds of loans. And with the help of the Re – BLend, need not to subcontract and LendingClub, lenders can also buy and sell each other loans and investment portfolios.

since it was established in November 2014, the BLender has set aside net interest margin of more than 10 million ($2.5 million) of loans, the average loan in net interest margin between 15000 and 20000 (us $3740 to $5000). Currently, involved in the BLender is not individual enterprises, a total net interest margin of 5000 to 5000. (hunting cloud network note: NIS is net interest margin, average interest-earning assets yield and the difference between the average cost of interest-bearing liabilities rate)

the Israeli government is forbidden to institutional money invested in P2P platform. According to Aviv, P2P platform release funds, funds accounted for 85% of global institutions. But in the next few months, once the policy cancelled, BLender will get more institutional money. Although the transition will weaken effect brought by the BLender P2P marketing Angle, but the money will make the company has strong ability to lend.

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