1, different channels: P2P is a very effective financial channel, providing a large amount of information and low entry threshold. However, the threshold of traditional investment and financing channels is too high, which makes individuals and small and medium-sized enterprises unable to meet their own capital needs.
2. Different operation processes: P2P operation processes are simple and low-cost. The traditional financial model has complicated operation process and high cost, which is why the traditional financial model rarely involves microfinance.
3. Different transparency: P2P mode has high transparency. Through some peer-to-peer lending platforms, borrowers and borrowers can know each other's identity information and credit information, and lenders can know the borrower's repayment progress and living conditions in time. However, the information transparency of the traditional financial model is low, the borrower is unilateral, the interest is unilaterally set, and there is no opportunity for negotiation.