Prosper was founded as the first peer-to-peer lending marketplace in the United States. Since then, Prosper has facilitated more than $16 billion in loans to more than 970,000 people.
Founded by Chris Larsen in 2005, Prosper is based in San Francisco, CA, and is an online marketplace for person-to-person lending. Its service enables people to borrow and lend directly from each other and from non-bank institutions online, without the cost and friction of a bank.
Through Prosper, people can invest in each other in a way that is financially and socially rewarding. Borrowers apply online for a fixed-rate or fixed-term loan. Individuals and institutions can invest in the loans and earn attractive returns. Prosper handles all loan servicing on behalf of the matched borrowers and investors.
At Volition, we have always firmly believed that the Internet is transforming every sector – and consumer credit is no different. Our thesis was that rather than individuals effectively borrowing and lending to each other through a bank, Prosper could disintermediate the bank and bring better rates and transparency to both sides of the transaction. It was a big, bold vision led by former e-Loan founder/CEO, Chris Larsen, to be the first to introduce peer-to-peer lending in the United States.
Volition Managing Partner, Larry Cheng, recalls, “We saw the potential of how Prosper could bring significant value to consumers by creating transparency and efficiency in the $850 billion revolving credit card debt market.”