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Some consumers or individuals with spare capital tend to follow the old axiom "neither a borrower nor a lender be," but others are looking around at how to cash in on lending. Seeing how much income banks and major lenders make from their loans is enough to get some individual cash or asset holders interested in lending out some of their money, hoping to make good gains in interest payments over time. Interestingly enough, a combination of economic incentives and new technology allows more people to effectively become a lender and get some returns on money that they have parked in a bank account.



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    Collect your capital. For the best results, you'll want all of your lendable money to be collected in one central account or "pot." This will also help you to figure out how much you can lend without negatively impacting your own household budget.
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    Understand your loan goals. Before you get into actually lending out money, you'll want to look at several factors including how long you want that money to be tied up, and how much you plan to make with it. This will help you narrow down lending choices further on in the process.
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    Look at the tax burden. The plain fact that experienced money handlers understand is that every investment has a tax burden, and lending is no exception. As a personal taxpayer, you will have to pay taxes on income from interest payments, which will be taken out of your gross gains, or yield. It's incumbent on you as the lender to figure out how this will affect your decisions.
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    Research microlending. For almost all individual would-be lenders, the best way to effective lending is through Internet microlending services that help small lenders find interested borrowers. Take a look at these sites and familiarize yourself with all of the rules and regulations in order to avoid misunderstandings later.
    • Take a look at how microlending sites help you "pick" borrowers. In a similar method as the ones used by big lenders, micro-lending sites often "rate" borrowers according to specific criteria, so that the lenders can match the ones that meet their desired level of risk. Generally, you'll be picking a "basket" of loans and betting that the majority of them will not default, or in other words, be unable to repay.
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    Make the call. When you have your desired loan recipients picked out, you should be able to seal the deal on microlending sites using proprietary tools and paperwork. When these are all finished, you will actually be a lender, able to collect income payments to boost your total investment portfolio.

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Categories: Renting

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Deutsch: Ein Kreditgeber werden


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