In Peer-to-Peer Lending, Size Matters
Hongling Capital knows when to call it quits.
This 8-year-old Chinese online peer-to-peer (P2P) lender, unlike other microloan-focused players, rose to fame by granting big-ticket loans of as much as 400 million yuan ($60 million) to a single corporate borrower.
But several massive defaults and a looming 200,000-yuan cap per loan have pushed China’s largest P2P lender over the edge. Late last month, Hongling declared that its P2P business model doesn’t work, and the company will exit the industry in three years.
- 1How Did an Ambitious Cross-Border Settlement Firm’s Dream Turn Sour?
- 2Court Overturns Sentence for Ally Who Turned on Guo Wengui
- 3 China En Route to Driverless-Car Road Testing
- 4China’s Quest for ‘World Class’ Universities Triggers Spending Spree
- 5Despite Cryptocurrency Curbs, China Backs Underlying Technology
- 1Power To The People: Pintec Serves A Booming Consumer Class
- 2Largest hotel group in Europe accepts UnionPay
- 3UnionPay mobile QuickPass debuts in Hong Kong
- 4UnionPay International launches premium catering privilege U Dining Collection
- 5UnionPay International’s U Plan has covered over 1600 stores overseas