Fynanz has created an innovative people-to-people (P2P) marketplace where students can get one of the most competitive rates on private student loans.

The Fynanz marketplace is an online auction site that connects borrowers and lenders. Borrowers have more control over loan terms since they create a loan request specifying a desired loan amount and interest rate. Lenders may then have the ability to bid on the loan listings. Because lenders competitively bid for the loans, Fynanz may result in to deliver lower interest rates compared to traditional financial institutions.

Role of Fynanz – Fynanz manages and facilitates all aspects of the loan origination process, such as:

• Verifying the identity of borrowers, lenders, and cosigners
• Verifying bank account information for all transaction participants
• Borrower underwriting
• Loan bid process (Fynanz may also make bids as a lender)
• Loan funding
• Lender guarantees
• Loan servicing

Role of the Borrower – The borrower initiates a loan listing request that specifies a desired loan amount and interest rate; the listing is posted on the online marketplace.

Role of the Cosigner – Cosigners are necessary for borrowers under age 21 without full-time employment or a verifiable source of income. Cosigners have ultimate responsibility for the loan obligations if the borrower fails to repay. Cosigners are subject to income verification.

Role of the Lender – A lender may be family, friends, alumni or others who bid on the loan listings through the online auction. As a “lender” the role is that of a loan purchaser. Although Fynanz uses term “lender” throughout the website, Fynanz is making the loan to the borrower, and the lender is purchasing the promissory note from Fynanz.

Lenders, borrowers and cosigners must all have a valid bank account to be eligible to become members of the Fynanz marketplace.

1. Borrowers sign-up on the Fynanz website and fill out an online loan listing request, including cosigner information, if necessary
2. Lenders sign-up on the Fynanz website
3. Fynanz verifies the identity and bank account information for all transaction participants (borrowers, lenders, and cosigners)
4. Fynanz underwrites and assigns a proprietary FACS Grade to each loan listing
5. Fynanz approves the borrower/cosigner and the loan listing
6. Lenders begin bidding on the loan listing
7. Once the listing period is complete, if the sum of the bids is sufficient to fund the loan, the loan is funded
8. In most cases, Fynanz will send a check payable to both the borrower and school
9. The student will coordinate with the school to make sure payments are applied properly