Some of The Best MoneyThumb Blog Posts for Private Lenders

Here at MoneyThumb, we have many customers who are private lenders that use our best-selling software, PDF Insights. Ever since the creation of PDF Insights, the Rules of Thumb blog has striven to deliver the best educational and informative blog posts to private lenders.

Today we have amassed a list of what we consider some of the best MoneyThumb and most relevant blog posts for private lenders. Each entry we have chosen below has a link that leads to the blog post and contains an excerpt of the information contained within that post:

• Two Ways To Diversify Capital as Your Private Lending Business Grows--The two main strategies lenders follow as they diversify their capital are: Raising an internal fund. Partner with a firm to bring institutional capital into your capital base. Each strategy is explained in detail in this blog post.
• What it Takes to Become a Subprime Lender--If you have a substantial amount of disposable money you could easily become a subprime lender. Subprime lenders are anyone who uses their own money to make loans to those who couldn't otherwise qualify for a loan. Subprime lenders build capital quickly by charging high-interest rates on the repayment of the loans.
• Is Now The Time To Rebrand Your Private Lending Practice?--Your brand is the perception others have of your company. We would venture to say your brand is your company's personality. And often, there comes a time when a company knows it is time for a total rebrand. It could be that your company has evolved so much that a rebrand is the only way to change the public's perception of you. Take for instance the recent retirement of the Aunt Jemima character by Pepsico. After the George Floyd debacle and all of the Black Lives Matter protests, Pepsico had no choice but to send Aunt Jemima to the history books with her perceived racist representation. The company is now known as the Pearl Milling Company.
• The Best Online Marketing Tips for Your Private Lending Business--Online buying and selling are definitely here to stay, and online marketing is necessary for the success of businesses in any niche. That includes your private lending business. Never before has this been more true than since Covid-19 sent us all scurrying to lock our doors and do business online.
• The 5 Cs of the Private Loan Underwriting Process--Before you can obtain a substantial private loan, it is standard procedure for your loan request to go through the underwriting process. As the Federal Deposit Insurance Corporation (FDIC) explains, “Underwriting is the process by which the lender decides whether an applicant is creditworthy and should receive a loan.”
• Complete Guide to Starting a Micro-lending Business--Now more than ever--with consumers and small businesses direly in need of financial assistance--is the perfect time to start a micro-lending business. Of course, that's assuming you are fortunate enough to have disposable capital.
• The Evolution of The Hard Money Lending Industry--For decades the hard money lending industry was viewed as the black sheep of the lending industry. For anyone who thinks hard money lending is something new, the truth is that the concept of hard money is actually considered to be one of the earliest forms of credit financing, dating back to the 18th century.
• Private Lenders Outpace Traditional Lenders: And the Trend Continues--In the last 10 years, aggregate lending in USD by non-banks has outstripped the pace of growth of traditional lenders, with non-banks seeing a compound annual growth rate (CAGR) of lending 2.3%, compared to 0.6% CAGR to banks. This trend is likely to accelerate as declining core capital ratios - caused by asset impairments resulting from the COVID-19 pandemic - will limit the lending capacity of banks, particularly in Europe. Non-traditional sources of finance such as private equity, sovereign wealth funds, credit funds, and governments themselves will need to step into the breach to finance the recovery and its aftermath.

Although we like to think that each of the Rules of Thumb blog posts we write is the best, the above list does a good job of covering many relevant topics that private lenders will be interested in. If you'd like to read more of our MoneyThumb blog post concerning lending, follow this link to our Lending archives, where you will find 113 total posts in that niche as of today's date.