Social lending using peer-to-peer (P2P) platforms is not a new concept, as informal lending between friends and family has long existed. However, the use of social media and online platforms is a new development that is growing rapidly. P2P lending platforms like Prosper and Zopa have originated over $160 million in loans in just a few years. Studies predict that the P2P lending market in the US could grow to $5.8 billion by 2010, and social banking platforms may capture 10% of the worldwide retail lending market by that year. This document examines the history and growth of social lending using online P2P platforms.

1. Social lending: is it really new? Is it going to be big? Jean-Christophe Capelli March 29, 2008

4. P2PLending: cut out the middleman How to mitigate risk? Bank takes risk Bank Bank Borrower Lender Personal relationship Friends & family loan Business Model Lender Online P2PLending Source > Deutsche Bank Research August 2006 Peer pressure and/or diversification + social media features(optional) Borrower Lender Borrower Borrower Borrower

6. Social lending timeline Already a global industry Some local barriers to entry (regulation, positive credit scoring)

8. US Forecast (Celent Study) US P2P loans market : 2007 : 600 millions USD 2010 : 5,8 billions USD

10. Personal loans between family and friends who do work French launch: May 2008 Contact: Jean-Christophe Capelli, CEO Blog: http://capelli.typepad.fr +33 (0)6 14 73 23 46