The Borrowers are SMEs seeking for expansion or to keep up money flow in their businesses who cannot prove their creditworthiness through the traditional systems. Lendledger sees a very good opportunity in this deficiencies as they help to connect Dps to the lenders and borrowers to help securely transfer borrowers (with borrowers’ consent of course) financial data to prove their creditworthiness to the lenders.

Borrower’s rescue- Lendledger

Lendledger is a financial services platform build on the stellar blockchain that seeks to connect lenders, borrowers, Data Providers (DPs) and Credit Scorers to seamlessly transact and exchange data securely. The Borrowers are SMEs seeking for expansion or to keep up money flow in their businesses who cannot prove their creditworthiness through the traditional systems.

Borrowers' Creditworthiness- their Financial History

Though these businesses do not have a credit history with the credit bureau to make them eligible for a loan from a financier, yet they have businesses which are thriving or established. These businesses make financial transactions through digital services platform to pay bills, receive payments from customers through point of Sale systems (PoS). These digital services platform has a record of all their transactions. These transactions are integral to the thriving of their businesses and can prove their creditworthiness to financiers or lenders to grant them loans. But this is not the case as the digital services providers (Data Providers or DPs) with which these SMEs have their financial data cannot trust financiers or lenders with these data as they wish to keep the financial data of their customers secure. In cases where DPs trusts lenders, the interaction forms slowly and takes a lot of time. lendledger platform adv.png

Source: Whitepaper (link below) Lendledger sees a very good opportunity in this deficiencies as they help to connect Dps to the lenders and borrowers to help securely transfer borrowers (with borrowers’ consent of course) financial data to prove their creditworthiness to the lenders. Through the blockchain technology, DPs can make sure that the data they are giving are secured and they are incentivized for the data they provide. On LendLedger, borrowers can freely choose from a list of lenders that are available as they are unrestricted. The financial data of the borrowers are also in the custody of each borrower as they are able to securely share this data with lenders of their choice on the platform. There are credit scorers on the platform who use an algorithm to calculate the credit score of a business from the financial data of the borrower. You can read more about LendLedger features [here](https://cryptostocksreviews.org/lendledger-sme-loans/news/).

Questions and Answer

Though the whitepaper was explicit enough, there are still questions that came to mind as I read it. I wish to understand the project better while willing to help readers answer questions that are troubling their mind. I took to the telegram channel of Lendledger where my questions were adequately answered by Greg DeForest, Head of Product of LendLedger, enjoy.

Ayobami Abiola | https://cryptostocksreviews.org:

With the sharing of data by the Dps on the platform... I read that they will be paid for the data, the question is: by who? Is it by the platform, the borrower or the lender? Since the data belongs to the borrower and it will be their own decision to share with any lender through the CE.

Greg DeForest, Head of Product, LendLedger:

The Lender will generally be the one paying for data based on terms set by the Data Provider. Sometimes this will be an upfront payment, sometimes it will be a share of the interest income generated by the loan.

Ayobami Abiola | https://cryptostocksreviews.org:

How does the platform ensure credit repayment aside the assurance from credit history? I haven't seen anywhere on the WP (white paper) that talks about collateral. This question is especially for those who are new on the platform.

Greg DeForest, Head of Product, LendLedger:

The pipes we are building can handle all types of loans, but the current loans to SMEs are unsecured loans (the same way credit card debt is unsecured). Lenders have the same types of recourse they have with any loans they make of this type: contact the Borrower, collections calls/processes, etc.

Ayobami Abiola | https://cryptostocksreviews.org:

There are other countries where we have customers or people who are unserved by banks and inadequately served by microfinance, aside from India and other countries mentioned by the WP. What is the plan of the platform to access these markets, I am talking specifically in Africa (Nigeria to be precise-My country). What are the plans to access the DPs over here or it’s strictly for those countries in the WP.

Greg DeForest, Head of Product, LendLedger:

LendLedger is a global platform! India is only the first market we are launching in. We have plans to launch in several other markets over the next 18 months, and have contacts and are in conversations with potential partners (Lenders & Data Providers) in places like the Philippines, Myanmar, Singapore, East Africa, Vietnam, and others.

Ayobami Abiola | https://cryptostocksreviews.org: Why the stellar blockchain? You could have chosen Ethereum network or even waves. What made you choose stellar?

Greg DeForest, Head of Product, LendLedger:

High level, Stellar is fast, cheap, secure and great to work with. Ethereum doesn't make sense for our use case. We have a blog post where we go into more detail. https://medium.com/lendledger/stellar-the-right-platform-for-lendledger-f2fd813aa41.

Screenshots

The screenshots of the telegram chats can be seen below: ![Screenshot_20180828-084008.png](https://cdn.steemitimages.com/DQme1TNC44NCqeTAAtCs8u8W2ukvJLg3M1C9B1LvhLJQ4Ss/Screenshot_20180828-084008.png) ![Screenshot_20180828-083947.png](https://cdn.steemitimages.com/DQmT2H719K2ryDfnJdLk7Yr6udkT8gBBmxMkC57mvdeAou8/Screenshot_20180828-083947.png)

For further information on LendLedger, you can Visit:

Website | Whitepaper | Telegram | Twitter Thanks for reading. I am @ayobami99. You can also reach me on bitcointalk and blog for more exciting contents on the blockchain technology.

Posted from my blog with SteemPress : https://cryptostocksreviews.org/borrowers-rescue-lendledger/news/