Investors are so hungry for yield in the bond market that they’re giving rich college grads money to help pay off their student loans.
Social Finance, a company that uses crowdfunding to refinance student debt, just packaged a bunch of those loans and sold them.
It’s an increasingly popular form of lending called peer-to-peer, or P2P. Firms like Social Finance (SoFi) and contemporaries Lending Club and Prosper pair people who want income with people looking for credit. It’s an end run around traditional bank lending.
Read More At CNN.
