A Look at the Origins of Online Lending
You might find yourself wondering about the origins of online lending, and how it has become the major industry that it has evolved into during recent years.
The origins of online lending have evolved from standard lending practices combined with the increased ease and convenience of using the internet for a variety of purposes.
Before you can really understand the origins of online lending, though, you need to take a few moments to understand the standard banking practices that it evolved from and how internet connectivity has helped lending to grow from banks and finance companies to online services that allow you to research and apply for loans in the convenience of your own home.
Lending before the internet
The origins of online lending begin before the word "online" had much of a meaning at all. Before the advent of the internet, and before the "personal computer" was even really conceived, personal banking and lending was much different than it is today.
Loan applications would take several days or weeks to be considered, and several banks in an area might share one or two loan officers who had to travel from bank to bank? meaning that there were only certain days on which you could apply for the loan that you desired.
Keeping track of loan payments could also be a hassle, and mistakes weren't uncommon and often resulted in either overpayment or late fees.
Computers improving communication between banks
Once personal computing became a reality, the origins of online lending truly begin. It didn't take long for banks to realize that these computers could be put to use making both banking and recordkeeping much easier? bank systems could connect via modem and telnet in order to share information, and the records of account holders and borrowers could be accessed much more quickly from a computer database.
Of course, early computing was quite simple by today's standards, and mistakes did happen? but the convenience of the computer systems and the gradual increase in their reliability often made up for the drawbacks and enabled banks to increase both productivity and the ease of the lending process.
Internet banking
Following the origins of online lending, simple networks such as those that banks and other businesses used to connect with each other eventually gave birth to the world wide web of the internet.
As websites for products and businesses became more common, banks slowly but surely began to advertise their services and features via some of these websites.
As internet technologies increased, many of these banks began offering rudimentary account access and other services via their websites so as to stay ahead of their competition? thus was born internet banking.
As technology continued to grow, so did the services offered by banks online; full account access, banking inquiries, and loan applications all developed as the ability to implement them was created.
Online lending
From the humble origins of online lending grew a huge worldwide industry. Lending companies developed that were completely separate from standard banks? with the lower overhead of operating a website when compared to that of running a bank, they are often able to offer competitive if not lower interest rates and can process loan applications and transfer funds faster than many standard banks and finance companies.
Of course, even with the current convenience of online lending services the future may hold additional conveniences and services as internet and computing technologies continue to develop and evolve? meaning that online lending will most likely continue to grow in popularity and will be able to offer more and more services to customers at competitive rates and reasonable terms.
You may freely reprint this article provided the following author's biography (including the live URL link) remains intact:
About The Author
John Mussi is the founder of Direct Online Loans who help homeowners find the best available loans via the http://www.directonlineloans.co.uk website.
 Google News Updated : Fri, 22 Aug 2008 00:13:38 GMT Hillary Clinton's Staff Looking to Avoid Embarrassing Anti-Obama ... - FOXNews
FOXNews - Hillary Clinton's staff is trying to avoid an embarrassing anti-Obama demonstration by her supporters during the floor vote at next week's Democratic convention in Denver. Clinton Will Attend Fund-Raiser for Towns Clinton for VP? She Says Ask the Obama Campaign Publ.Date : Thu, 21 Aug 2008 23:15:16 GMT UPDATE 1-Microsoft enlists Seinfeld for ad campaign--source - Reuters Reuters - By Steve Gorman LOS ANGELES, Aug 21 (Reuters) - Comedian Jerry Seinfeld will star in a $300 million marketing campaign for Microsoft Corp aimed at burnishing the image of its computer operating system, a person familiar with the effort said on Thursday ... Jerry Seinfeld and Bill Gates to star in anti-Apple ads Seinfeld to be pitchman for Microsoft Publ.Date : Thu, 21 Aug 2008 21:27:28 GMT GM to Invest $500 Million To Build Chevy Cruze - Wall Street Journal
Wall Street Journal - By KATHY SHWIFF General Motors Corp. will spend more than $500 million in the US to build the Chevrolet Cruze, a next-generation compact car. GM announces $500M investment for small car GM to invest $500 million in small car plant Publ.Date : Thu, 21 Aug 2008 21:10:12 GMT IAC Officially Breaks Up - Wall Street Journal
Wall Street Journal - By DAVID BENOIT and KATHY SHWIFF IAC is left as a collection of more than 35 Internet companies -- including search engine Ask.com, dating site Match. IAC: And Then There Were Five Diller's IAC Split May Fail to Boost Investor Returns (Update2) Publ.Date : Thu, 21 Aug 2008 23:17:40 GMT Marlins let one slip away in San Francisco - Sports Network
Sports Network - San Francisco, CA (Sports Network) - Marlins reliever Kevin Gregg's wild pitch in bottom of the ninth inning scored Emmanuel Burriss to send San Francisco past Florida, 4-3, in the finale of a three-game series. Giants walk off on Gregg's wild pitch Giants beat Marlins on wild pitch in 9th inning Publ.Date : Thu, 21 Aug 2008 23:33:45 GMT Microsoft's Photosynth wilts under pressure - Computerworld
Computerworld - By Gregg Keizer August 21, 2008 (Computerworld) Within hours of its launch, Microsoft Corp.'s new photo-stitching service went dark, overwhelmed by demand, the company said Thursday afternoon. New Microsoft photo site spends first day offline New Microsoft Tech Converts Photo Soup Into 3-D Image Publ.Date : Thu, 21 Aug 2008 23:28:59 GMT My Super Sweet 16: The Miley Cyrus Edition - E! Online
E! Online - Miley Cyrus is about to show up all those spoiled brats on My Super Sweet 16 who think they're cool being flown to their party by helicopter or when they're carried in like a princess by a group of hot dudes. Miley Cyrus to Celebrate Turning 16 at Disneyland Miley Cyrus Sweet 16 Publ.Date : Thu, 21 Aug 2008 20:21:48 GMT Web Site Traffic |
PARLOT::Ebooks, Scripts,
Websites, and more... It is no secret that thin or no credit can... Read More Here are some useful tips on what to consider before... Read More What are personal loans? They are unsecured loans that a... Read More Finding cheap loans isn't always easy? it seems like every... Read More Can I Ask my Family for a Loan to Pay... Read More If you need cash now there are several options available... Read More Wedding loans because wedding may be made in heaven but... Read More A Payment Protection Plan is an insurance cover you would... Read More You need some more money for college expenses this semester.... Read More Online payday loans can get you fast cash through a... Read More Education never ends ? it is not said without reason.... Read More Cars ? they are your passion, necessity, luxury, earning member.... Read More Payday loans, also known as cash advance, are a useful... Read More If you find yourself in need of poor credit loans,... Read More Refinancing your loan is one of the best kept secrets... Read More If you are a homeowner in need of a home... Read More Government loans are those that the government of a country... Read More If you live in the United Kingdom and find yourself... Read More Are their rewards of being your own boss? Yes, in... Read More The usual modus operandi in most automobile purchases is as... Read More If you're searching for an adverse credit homeowner loan, you... Read More You need to be wary of guaranteeing a loan. What... Read More Military loans are made available to active servicemen and retirees... Read More Should you find yourself overcome by debt, you might want... Read More Listed below are some of the benefits of an unsecured... Read More
Adsense
websites
Finding A Thin Credit Or No Credit Motorcycle Loan
What To Consider Before Applying For A Loan
About Personal Loans
A Guide to Finding Cheap Loans
Business Loans from Family - A Good Idea?
Fast Cash Payday Loans
Wedding Loans Because Wedding May Be Made In Heaven But They Are Certainly Not Made For Free
What Is A Payment Protection Plan?
Why Student Loans are Better Than Credit Cards
No Credit Check Personal Loans - If You Need Fast Cash, A PayDay Loan Online Is a Very Quick Process
Education Loans Can Augment The Boundaries Of What You Can Achieve
Secured Car Loan - if Car Signifies a Second Home to You
Payday Loans or Cash Advance Loans - Useful After a Bankruptcy
So Many Loans, So Little Time
Refinancing Your Auto Loan
125% Equity Home Loans
Government Loans for Beginners
Finding the Right Bad Credit Loan UK
Business Loans: If You Know How To Make Good Use Of Money And Expertise
Want a Cheaper Finance for Your Vehicle? Try Secured Automobile Loans
A Guide to Finding an Adverse Credit Homeowner Loan
Be Wary of Guaranteeing a Loan
Military Loan and Military Loans
A Guide to Debt Consolidation Loans
Benefits of an Unsecured Loan
Affordable and Reliable Web Hosting Starting at $4.49/Month
Second Mortgage Loans
A second mortgage is a loan that is secured by... Read More
Unsecured Loans
The term unsecured loan relates to a loan which is... Read More
Are You In The Market For a Car Loan?
Car loans are a tempting way to purchase a new... Read More
Cash Loans for Unemployed ? for an Instantaneous Response to Needs of the Unemployed
Unemployment is generally supplemented with several other vices like poverty... Read More
Guide to Bridging Loans
Here is a useful guide to bridging loans. This is... Read More
Ways to Find a Cheap Loan
If you're in the process of trying to find a... Read More
Home Loans in the UK
Owning a home is the most important dream of any... Read More
Bridging Loans - Fulfilling Financial Shortfall between Real Estate Transactions
You are trying to buy a new property and selling... Read More
Personal Loans for Unemployed ? Liberating You from the Tangles of Unemployment
Like most of the contingencies (the after effects of unemployment... Read More
An Overview of Getting a Homeowner Loan
Should you be in the market for a homeowner loan,... Read More
Top 10 Ways to Avoid Loan Fraud
Every year, misinformed homebuyers, often first-time purchasers or seniors, become... Read More
What?s All the Hype about Omni Military Loans?
The average person some time in their adult lives will... Read More
Where to Look for Bad Credit Loans
When trying to locate bad credit loans, many people find... Read More
Military Payday Loans ? When?s The Best Time To Avail Of These?
What are the opportune times to avail of military payday... Read More
A Look at Getting a Bad Credit Personal Loan
Trying to get a bad credit personal loan can be... Read More
Securing Debt Consolidation Secured Loans
If you're like most people, then you've got debt in... Read More
Car Loans - Shop Around, Compare Offers, and Watch The Small Print
Getting a loan to buy your new car is, you... Read More
Payday Loan Qualifications - What to Expect
Payday loan qualifications are different from other types of short-term... Read More
Benefits of a Home Improvement Loan
Some of the many benefits of a Home Improvement Loan... Read More
What is a Bridging Loan?
A bridging loan as the name implies is a loan... Read More
Debt Consolidation Tips
Here are some useful Debt Consolidation tips. Debt consolidation is... Read More
Payday Loans ? The Legal Loan Sharking Industry
Laws have been created to protect people against "Loan Shark"... Read More
No Credit Car Loans - Even With No Credit History, You Can Still Get Approved
Even it you have no credit history, you can still... Read More
Finding a Cheap Secured Loan
In a time when everything seems expensive, it might seem... Read More
Navigation After Financial Closure - Bankruptcy Personal Loans
Bankruptcy has a stigma attached to it that is hard... Read More
Loan |