Many people know that private lending is very harmful, but why do people still engage in this cause? I think the main reason is the big profit. A great man said that when profits are big, people are willing to rush headlong into it, which gave birth to the constant behavior of private lending. Sometimes the profit of private lending can reach 100%, which is one of the reasons why so many people do it. 2. Some people will choose private lending when the bank can't get the loan.
Ma Yun once said that our bank is very strange. It only lends money to the rich and does not lend money to those who have no money. So many private lenders have found this opportunity. Many companies are going bankrupt, but banks are unwilling to borrow money, so they can only go to private borrowers, so that the company can continue to operate, which is one reason why private borrowers are still continuing. We must avoid the harm of private lending.
Why is private lending harmful? On the one hand, many private loans are informal, unattended and have high interest rates, which will seriously harm the people. In addition, private lending will also give birth to various social instability factors, so we must avoid the harm of private lending.
In a word, I think on the one hand, private lending is harmful, and some people are doing it. It is because of the big profits. On the other hand, many companies will choose private lending if they can't get loans. We must avoid the harm of private lending and find ways from other places.