Understanding the Fintech and P2P Lending Market

Peer-to-Peer (P2P) lending, also known as marketplace lending, has become a go-to for borrowers seeking quick approvals, especially those who don’t meet traditional bank criteria. Through online platforms, investors lend directly to borrowers at competitive rates. Although P2P lending is regulated differently than traditional financial institutions, lending platforms must still hold both an Australian Financial Services Licence and an Australian Credit Licence.

At Levi Consulting, we help P2P lenders by conducting due diligence, negotiating with borrowers, and resolving disputes. Our focus is on managing risk and maximising returns for lenders and investors.

Solutions for Distressed Loans

Our team identifies early warning signs of loan distress and work with lenders to implement strategies that prevent losses. Whether the issue stems from a borrower’s personal life changes, macroeconomic disruptions, or the nature of high-interest lending, we provide the guidance needed to mitigate losses.

We’ve seen how factors like loan delinquency, high interest rates, and external market shifts can lead to distress. We step in early with strategies to recover loans or resolve disputes while keeping borrowers compliant.

Our approach to loan recovery is minimally invasive but adaptable. When intervention is needed, we secure assets and protect the lender’s position. Our work often involves negotiating with voluntary administrators, acting as receivers, or offering strategic advice to avoid formal appointments.

Case Examples

In one case, we were appointed as receivers for a parts and distribution business in administration. Within 24 hours, we determined the costs of receivership outweighed the benefits and resigned but continued to work with the administrator to minimise the lender’s exposure.

In another case, our industry connections enabled us to secure a favourable outcome for a fashion retailer, protecting our client’s first-ranking security during a voluntary administration.

Support from Levi Consulting

With years of experience working with fintech and non-bank lenders, Levi Consulting has developed a reputation for delivering effective solutions in challenging circumstances. Our projects have spanned loans ranging from $100,000 to over $100 million. We are committed to long-term relationships with our clients and take an outcome-focused approach to every situation.

David Levi, a registered liquidator and member of key professional associations like the Australian Restructuring Insolvency & Turnaround Association (ARITA) and the Turnaround Management Association Australia (TMA Australia), is available for consultation. Contact David Levi at 0418 602 466.

See our brochure on how we support fintech, peer to peer and non-bank lenders: Fintech Brochure