Mobile Wallet P2P Lending via Central Registry
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Solution Overview
Problem
Current systems lack an effective method for facilitating peer-to-peer (P2P) mobile wallet lending, particularly multiple-hop lending, where risk and loan terms are not adequately allocated, and there is no efficient mechanism for borrowers to obtain loans when their payment elements are insufficient or credit is not available.
Innovation Solution
The implementation of methods and systems for P2P lending through mobile wallets, utilizing either a central registry or a fully or semi-fully distributed P2P system, where borrowers can request loans from multiple lenders, with risk assessment services and automatic payment extraction, allowing for negotiation and recording of loan terms in a database or blockchain.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If a centralized P2P loan service is used to facilitate mobile wallet lending, then loan facilitation and risk management are improved, but system complexity and intermediary dependency increase
Solution Approach 1:
A centralized P2P loan service acts as an intermediary between borrowers and lenders, managing loan requests, risk assessments, and fund transfers. The service receives loan requests from borrowers, evaluates them using risk assessment services, and connects approved loans with willing lenders through a user interface, thereby facilitating reliable P2P lending while managing complexity centrally.
2Adaptability or versatility
If multiple-hop lending is implemented to expand loan availability, then borrower access to funds is improved, but risk allocation and transaction complexity increase
Solution Approach 1:
The lending process is segmented into discrete, manageable steps: loan request submission, risk assessment, lender selection, fund transfer, and repayment. Each step is handled independently through the centralized service, allowing multiple-hop lending to be broken down into simple sequential transactions that reduce overall complexity while expanding availability.
3Ease of operation
If automatic payment extraction is implemented to simplify repayments, then ease of operation is improved, but automation complexity and system requirements increase
Solution Approach 1:
Borrowers pre-authorize the centralized P2P loan service to automatically extract repayment amounts from their mobile wallets when sufficient funds are available. This preliminary authorization enables automatic repayments without requiring complex real-time decision-making systems, as the service simply executes pre-approved transactions when conditions are met.
Data Source
AI summary
Disclosed in some examples are methods, systems, and machine readable mediums for providing P2P lending through mobile wallets. The P2P lending may utilize a central registry or be a fully distributed P2P system. In some examples, the use of a network accessible P2P loan service may simplify the discovery and communication with other mobile wallets throughout the process of obtaining a loan.