Top 5 Peer-to-Peer (P2P) Lending Platforms in Malta 2023

If you’re a Maltese investor interested in P2P lending, we’ve got you covered. Check out our top picks for peer-to-peer lending platforms currently available in Malta:

No local platforms for peer-to-peer lending in Malta

Malta doesn’t have any local P2P lending platforms at the moment. If you are a Maltese investor looking to invest in P2P lending, you must use a foreign platform instead.

History of peer-to-peer lending in Malta

The interest in peer-to-peer (P2P) lending in Malta started as a response to the global growth of the alternative finance industry, as well as the need for diversifying investment opportunities and providing access to credit for small and medium-sized enterprises (SMEs) in the region. The growth of P2P lending platforms in countries like the UK, the US, and other European countries inspired investors and borrowers in Malta to explore this new financial model.

P2P lending in Malta has developed slowly compared to neighboring countries, primarily due to the absence of local P2P lending platforms. While some Maltese investors and borrowers have participated in P2P lending through international platforms, the overall market penetration in Malta has been limited.

One of the main reasons for the slow development of P2P lending in Malta is the strong presence of traditional bank lending in the country. Malta has a well-established and conservative banking sector, with a small number of banks dominating the market. This has made it difficult for alternative lending models like P2P lending to gain a strong foothold in the country.

In comparison to neighboring countries, Malta’s P2P lending market remains relatively underdeveloped. In the European context, countries like Germany, France, and Italy have seen a more rapid growth of P2P lending platforms and market volumes. But the United Kingdom, in particular, has emerged as a leader in the European P2P lending market, with local platforms like Funding Circle, Zopa, and RateSetter attracting significant investments from both retail and institutional investors.

Best foreign platforms for P2P lending in Malta

To find the best P2P lending platform in Malta, investors should consider the fees and returns offered. Some of the most popular platforms in Malta are:

  • Lendermarket: This platform offers an easy-to-use interface with low fees and high-return options for P2P lending.
  • Esketit: A popular choice for short-term loans, Esketit offers investors the chance to invest in projects with high potential returns.
  • Reinvest24: This platform focuses on equity investments in real estate projects across Europe.
  • AxiaFunder: This unique platform focuses on litigation crowdfunding and is perfect for investors looking for something different.
  • PeerBerry: With options for personal, business, and real estate loans, PeerBerry also offers a buyback guarantee for investors.

These platforms provide investors with access to low-cost loans and the potential for high returns. It’s important to research each platform thoroughly to choose the right one for your investment goals.

FAQ about P2P lending for Maltese investors:

In Malta, using P2P lending platforms from other countries has its benefits. It provides lenders with more options to choose from in terms of borrowers and investment opportunities. Moreover, foreign platforms may offer better rates and terms compared to local lenders. European P2P lending platforms can also attract investors from various countries, making investments more liquid and reducing the risk of certain investments.

Opting for a local P2P lending platform in Malta can offer several benefits. Firstly, it can provide convenient access for both Maltese borrowers and lenders, making it an excellent option for those keen to support their local community. Moreover, local platforms can offer more personalized services to Maltese borrowers who are familiar with local regulations, taxes, and market trends. Another significant advantage is that using a local platform can minimize the costs associated with transferring funds from foreign lenders due to exchange rate fluctuations, although this will depend on the currency in question.