How Duck9 works

All lending and borrowing happens in the Duck9 markets.

Online Tutorial

 

Thanks for your wanting to know more about Duck9.

To learn more about LENDING, click here to launch the tutorial.

To learn more about BORROWING, click here to launch the tutorial.

1) Lenders park cash to lend at Duck9

2) Borrowers go onto Duck9
-Borrowers register
-Borrowers get "confirmed"
-Borrowers apply for offers

3) Bankers get mad at lost customers

4) Borrowers and Lenders are Happy

5) Duck9 handles billing, customer service and collection for Lenders

 

The markets work just like, well, markets. Lenders put their wares on display; in this case, money they are prepared to lend to other people for a certain length of time. And, just like any market, different vendors may have different prices (interest rates). Some may pick lower rates but only want to lend to borrowers who have a very high likelihood of paying it all back. Others may pick higher rates but be prepared to be more flexible, thereby taking a pass on borrowers who might be slightly more likely to default.

 

Borrowers can then come and have a sniff about, see what the rates are and if they're good value agree to borrow. Because Duck9 cuts out the middleman, everyone gets an AWESOME deal.

 

Of course this would all be very complicated and risky if everyone traded one-on-one with each other, so Duck9 glues the whole thing together with its offer matching system. This divides the lenders' offers up into small chunks and distributes them around potential borrowers - at least 50 in fact. Each loan a borrower gets is made up of lots of bits of lenders' offers. No one gets to borrow from the same person twice.

 

All lenders and borrowers enter into a legally binding contract with their respective borrowers and lenders. Duck9 manages the collection of monthly repayments and if any of that money is not paid on time, uses exactly the same sort of recovery processes that banks use.

 

Duck9 earns money by normally charging borrowers an exchange fee of 1% (opening offer - zero exchange fee) and if borrowers take out repayment protection insurance on their loan, receives commission from its insurance provider. Duck9 doesn't charge lenders.

 

More about lending | Take a tour | More about borrowing

 

Who's behind this rather wonderful idea? >>