4th August 2015 Crowdahouse

How safe is peer-to-peer lending?

Is P2P Lending Really Safe?

Since we started crowdfunding in 2012 Crowdahouse have always been on the lookout for media coverage of crowdfunding. The industry has grown exponentially over the last few years and now practically everyone has heard of crowdfunding, whether or not they fully understand it. It’s hard not to have heard of it, as we’re constantly bombarded with multiple TV ads, print ads, giant billboards on London Underground platforms and yet more advertising on tube trains. And that’s not including online coverage.

Know The Risks

‘How safe is peer-to-peer lending?’ is one of the most frequently asked questions by the media, most recently seen in the Daily Telegraph. Crowdahouse believe that this question should be asked as often as possible, not just by the media but by any members of the public who are interested in joining other crowdfunders to invest their money. It’s absolutely essential to know and understand the risks as well as benefits before deciding whether to take part in peer-to-peer lending.

However, there are different types of crowdfunding, which confuses the issue for the public who most likely haven’t been following the development of the industry in much detail. It also doesn’t help when the media lumps all forms of crowdfunding together without themselves fully understanding the key differences. So in the next few days I’ll be writing a post to explain the different types of crowdfunding, because not all crowdfunding is the same. Some types are riskier than others, for example the Financial Conduct Authority (FCA) regard equity crowdfunding as higher risk than peer-to-peer lending.

Transparency is Key

It’s our aim through our website and social media to help you understand how Crowdahouse works, outlining the risks and benefits to you. Then you can make an informed decision about whether to lend to businesses via our platform. Or you’ll simply have learned more about peer-to-peer crowdfunding and decided that it’s not for you.

If you’d like to find out more, please see our FAQs or contact us here.


  • Helen Yuet Ling Pang

    Director of Operations

    Helen Yuet Ling Pang
  • Helen Yuet Ling Pang

    Director of Operations

    Helen Yuet Ling Pang

About Crowdahouse®
Crowdahouse is a business-to-business (B2B) property crowdfunding platform lending to business borrowers, always secured against property. Instead of lending to individuals, we’ve reduced the risk by offering you the chance to lend only to property businesses. You join a crowd to lend money in return for interest on your money. Your loan is secured with a first charge over property, just like a bank, and you pay no fees as a lender.



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