Electronic Commerce & Prosper.com Essay Example | Topics and Well Written Essays - 250 words

Electronic medico & Prosper.com - Essay ExampleThis form of borrowing and bestow is much cheaper un desire the traditional add businesses like credit cards. Hence, borrowers in pursuit of cheap credit will definitely opt to borrow with prosper.com than their bank. Consequently, according to (Arnold and Harzog 75) the traditional lending/ borrowing businesses are likely to experience a drop in their lending business as more and more Americans are opting for peer-to-peer lending.Secondly, the business model of prosper.com does not have borrowers to deposit collaterals to get loans. Therefore, borrowers in pursuit of small loans will opt for prosper.com due to minimal lending requirements. Subsequently, this will lead to a fall of traditional lending/ borrowing businesses.According to (Arnold and Harzog 78) customers of traditional lending businesses will most likely shift to the peer-to-peer lending business model offered by companies such as prosper.com, because of low interest r ates and minimal lending requirements. This will definitely lead to a castigate in borrowing from traditional lending