Is the need to be known a requirement to qualify for a loan(s)?

[BitcoinTurk]

There are many platforms where money can be borrowed and given anonymously with cryptocurrency collateral or NTF collateral and it is possible to do this within the forum. All these platforms I mentioned generally don't request user information but do require a collateral for the money to be borrowed. Of course, in the absence of personal information and proof of income it is necessary to provide collateral to obtain a loan.

Nowadays, many financial institutions and banks require both personal information and a guarantee in return for the debt before lending money. This is very important to provide assurance that the borrower will be able to repay the loan. However, when we examine the platforms where we can borrow using cryptocurrencies, we can see that usually only a collateral is requested for the amount to be borrowed and no personal information is requested. This is necessary so that both the intermediaries and the lender can guarantee themselves that they can safely borrow money completely anonymously and prove that the debt can be repaid.

When we examine the platforms (including the forum) where loans can be taken against cryptocurrencies and NFT collateral, we can see that full anonymity is ensured and no identification or similar document is required. Other than that, platforms that request both collateral and personal information are no different from typical financial institutions as they are absolutely contrary to the mission of blockchain technology.

[KingsDen]

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

What are thoughts?

My thought is not single, and infact it is conflicting but I will try my best to explain. I had known the traditional loan method which the bank uses for so long and I have always thought that before you could get a loan, you must be known by the institution offering the loan and again you must have a tangible collateral to present which in my country is mostly landed properties.

But when I arrived this forum, although it took many years to discover the lending board. On getting to know the lending board, I was surprised to understand that people give non collateral loan to pals they do not know in person. Little did I know that the bitcointalk account itself is a collateral. Now I have understood that even $20k cannot make me destroy my account.
So, answering OP, if there is a collateral, knowing someone in-person is no longer necessary.

[Lanatsa]

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

What are thoughts?

My thought is not single, and infact it is conflicting but I will try my best to explain. I had known the traditional loan method which the bank uses for so long and I have always thought that before you could get a loan, you must be known by the institution offering the loan and again you must have a tangible collateral to present which in my country is mostly landed properties.

But when I arrived this forum, although it took many years to discover the lending board. On getting to know the lending board, I was surprised to understand that people give non collateral loan to pals they do not know in person. Little did I know that the bitcointalk account itself is a collateral. Now I have understood that even $20k cannot make me destroy my account.
So, answering OP, if there is a collateral, knowing someone in-person is no longer necessary.

Also, lendors of this forum cant really just grant out any loan request even if it doesnt have that collateral. You would really be Indepth checked whether you are really that approved on getting a loan or not
which it would be usually be having this kind of consideration;

1. Must have an active campaign
2. Doesnt have red trust
3. Merit count
4. Forum Rank
5. Activeness in the forum
6. Vouch from someone(which is unlikely)

If you dont have those qualities or criterias then even if there lendors of this forum but still you cant really be able to get such approval or
being that eligible on getting one. Actually it is really that  great that we do have something like this on the forum which the amount that being released
is already that significant or with those loan amount which you cant easily get on banks or getting approved but you could actually get on this forum
but it would be situational yet there are loans that would really be that more bigger if the collateral been offered is greater than on the loan amount which its standard.
(Most likely, collaterals are also crypto coins too).

About KYC or location then this would really be standard on bank loans but here on this forum then it wont really be necessary
but of course getting approved would really be that tough and not something that could really be that so easy.

[posi]

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What are thoughts?

Don't ask other people that question and think it's funny or unnecessary. Put yourself in that position, are you willing to lend money to strangers when you don't have any information about them? Can you do it, or will you hold all of his personal information, including his relatives? Just put yourself in that situation and you will understand why banks and lending institutions have to do those things before lending you money. Furthermore, when the number of borrowers reaches millions and the loan amount reaches millions of USD, you have to be even more careful.

[savetheFORUM]

In a crypto context? You may have heard of defi lendigs, one of which is a platform that allows you to borrow without giving away your identity.
In essence, it depends on who the borrower you are referring to is.

He doesn't look like a noob and he also mentioned crypto/P2P lenders there but he thinks they are now getting centralized. For me, I think there are still a few left who are fully decentralized. They are only following the nature of BTC or the cryptos. Obviously, we don't need to fulfill a KYC upon using their service but they will only require a collateral. This is still a problem for the most people who will borrow money because even a good collateral is not present on them.

In conventional banks, if you have a good lobby with the officers you may be allowed to borrow using someone else's identity. lol

What's a good lobby? Is it some kind of a connection or communication as a result of being friendly to them and you have given them a tip (money) each time you enter the bank? It may work but it's risk for both parties. I don't think I can take it.

[rat03gopoh]

What's a good lobby? Is it some kind of a connection or communication as a result of being friendly to them and you have given them a tip (money) each time you enter the bank? It may work but it's risk for both parties. I don't think I can take it.

Yeah, a common "evil" practice of borrowers in my locality is that you have to have very good connections to bank insiders. Then you just have to look for potential borrowers who will then become your "referrals". With some manipulative explanations you can say that, your referral loan proposal will only be approved if the loan amount is accumulated with yours."

With insider cooperation, this proposal will be easier to pass. Of course you still have a bill for your share but it is not a written responsibility, because you borrowed in someone else's name.

[Solosanz]

It's a must, if you can't give valid collateral where they can easily sell it if you can't pay back the loan, what can the lender hold except your credentials? They need to know you since they want to see if you're a human and the real owner, that's why the verification is really strict. They also want to know your track record, have you ask a loan in the other site or is there any loan you haven't pay yet etc.

[wallet4bitcoin]

I have come to realize that our traditional local banks only really give out loans to persons, or organizations that are known either online or offline and has a location with documents to proof their existence.
Same goes for those who use loan apps. You have to at least identify with the verifications stressing on passport, state of residence, age, and the funny thing is that your device location will be required to be turned on while doing all this or even applying for the loan.

I have no doubt my observation is applicable to even crypto currency lenders, because even these days the P2p system isn't as decentralized or anonymous as before where we think we were trading with bots or fake people/scammers.

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

What are thoughts?

When finance is involved, there is need for due diligence to be in place, as a loan institution only manages the resources of a third party, which you not only have to give account of but also will have to multiply. Putting all of this into consideration, you must understand that it is not possible to hand over a third party's finance into the hands of one with a questionable identity or reputation, whether it be online or offline. You must be known and vouched for as one with sufficient capacity to deliver or return the funds loaned or have a collateral with which the funds can be raised in the event of things not going as planned.

[CryptopreneurBrainboss]

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

When you don't have collateral you have to be known to some extend to be eligible for a non collateral loan. On the forum as well, loans aren't just given to anybody (non collateral loans), you have to be known on the forum or your account been valuable that you won't want to risk losing your account for loan and even when you meet all criteria, not all loan amount can be given to you. Been in a campaign also increase the possibilities of your loan been approved because the lender knows you can repay with your signature payouts since most of us don't know ourselves physically. Without money, your connection can help you when you want to apply for a loan. Also on the forum, if a valuable (well known) account stand as a guarantor for you, your loan can be approved .

I have no doubt my observation is applicable to even crypto currency lenders, because even these days the P2p system isn't as decentralized or anonymous as before where we think we were trading with bots or fake people/scammers.

Outside the forum there has to be a collateral that'll be used to repay the lender Incase you forfeit the loan. Basically you need to be known if you don't have the collateral to qualify for a loan both in and outside the industry but if you have the collateral you don't need to be known. Loans are given to people that doesn't technically need the loan as a poor man that needs the loans will be instantly rejected but the rich man with the millions in the bank will get a loan whenever he wants and that's why the rich keeps getting richer because they have access to funds that can be used to improve their businesses while the poor masses keeps on suffering.

[Aanuoluwatofunmi]

It's a must, if you can't give valid collateral where they can easily sell it if you can't pay back the loan, what can the lender hold except your credentials? They need to know you since they want to see if you're a human and the real owner, that's why the verification is really strict. They also want to know your track record, have you ask a loan in the other site or is there any loan you haven't pay yet etc.

Do people even struggle any longer to make sure that they got themselves into taking loan as before again, loan has been one of the ways that people get enslaved under our creditors and I've seen alot of cases of loan taken whereby they debtors are unable to make a payback of the loan given, why should we go by and take a loan, trouble will be there sitting and we will be finding it through invitation.

[NeilLostBitCoin]

It is true that to qualify for a loan, the debtor must be known or identified to the lender. This ensures the lender can assess the debtor and decide whether to approve the loan. Without correctly identifying the debtor, it would be difficult for the lender to evaluate the risk of lending money to them. In some cases, lenders might consider providing loans without identifying the debtor if they have collateral such as bitcoin or altcoins.

[Silberman]

It is true that to qualify for a loan, the debtor must be known or identified to the lender. This ensures the lender can assess the debtor and decide whether to approve the loan. Without correctly identifying the debtor, it would be difficult for the lender to evaluate the risk of lending money to them. In some cases, lenders might consider providing loans without identifying the debtor if they have collateral such as bitcoin or altcoins.

Regular people hate to go through those procedures, because in a way the bank is assessing their economic well being, and being told you do not deserve even a small loan can hurt your ego, but this has to be done, since we have seen already what happens when banks give huge loans to anyone that asks them and this will lead us to another economic crisis, and since I am sure no one wants another one of those then we will have to accept those procedures.

[rachael9385]

Getting a loan from this forum is safer than outside the forum. Why, because you will not be asked to bring any of your official documents, although it depends on the amount of loans you want to collect and your rank too.

No way for newbies or junior members to get a loan here unless they are a full member rank and above. It is still safe to get a loan from the bank. Why? Because I feel that the bank can save your documents with your informations and also make them private to them and not share it with others, but those loan apps that you said most of, are scams, like when I mean scams, I really do mean it. Your identity can be licked to other platforms without your consent and some of these apps do sell informations to other people.

However, verifying your identity when you want to collect a loan is not a bad thing, but when verifying it, we still have to be careful. Some of those places that do offers people a loan also ask for collateral.

[dansus021]

If you want decentralize P2P lending there is actually a lot of them in DeFi marketplace like happen on BSC, ETH and pretty much all EVM chain including the famous one is AAVE.

But you need collateral before making loan but at least your personal ID is safe there is no such non collateral loan it always a collateral because our personal id is considered as a collateral in my opinion

[NeilLostBitCoin]

It is true that to qualify for a loan, the debtor must be known or identified to the lender. This ensures the lender can assess the debtor and decide whether to approve the loan. Without correctly identifying the debtor, it would be difficult for the lender to evaluate the risk of lending money to them. In some cases, lenders might consider providing loans without identifying the debtor if they have collateral such as bitcoin or altcoins.

Regular people hate to go through those procedures, because in a way the bank is assessing their economic well being, and being told you do not deserve even a small loan can hurt your ego, but this has to be done, since we have seen already what happens when banks give huge loans to anyone that asks them and this will lead us to another economic crisis, and since I am sure no one wants another one of those then we will have to accept those procedures.

Understandably, people don't enjoy going through the process of qualifying for a loan. Remembering that personal ego shouldn't come in the way when applying for a loan is essential. If you need a loan, it's important to set aside any self-consciousness and focus on providing the necessary information to the lender.

[Aanuoluwatofunmi]

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What are thoughts?

Don't ask other people that question and think it's funny or unnecessary. Put yourself in that position, are you willing to lend money to strangers when you don't have any information about them? Can you do it, or will you hold all of his personal information, including his relatives? Just put yourself in that situation and you will understand why banks and lending institutions have to do those things before lending you money. Furthermore, when the number of borrowers reaches millions and the loan amount reaches millions of USD, you have to be even more careful.

That's perfect, maybe when he first out himself to others shoes that he is also a lender, will he not require a loan qualateral or enough evidence to proof that he will not loose away his money he's lending out to people, if he had wanted to be a philanthropist, that is another entire different case, he can go as much as any length in being a father Christmas, that's also another way of giving back to the society if we think we have enough money in our disposal unused and other people are lacking, or maybe create a no interest loan which will also attract having strong qualateral as well.

[Wakate]

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

What are thoughts?

My thought is not single, and infact it is conflicting but I will try my best to explain. I had known the traditional loan method which the bank uses for so long and I have always thought that before you could get a loan, you must be known by the institution offering the loan and again you must have a tangible collateral to present which in my country is mostly landed properties.

But when I arrived this forum, although it took many years to discover the lending board. On getting to know the lending board, I was surprised to understand that people give non collateral loan to pals they do not know in person. Little did I know that the bitcointalk account itself is a collateral. Now I have understood that even $20k cannot make me destroy my account.
So, answering OP, if there is a collateral, knowing someone in-person is no longer necessary.

There is no way the loaner can know the person that needed the loan in person. This is a faceless forum and one need to be very careful or else, they can end up giving loan to someone that will run with the money and not refund the money. For a person to be fit to get a loan, they must be in a campaign especially the one that is going to stay for a long time. This is one of the most important requirements for a person to get a loan although there might be other requirements too that will guarantee an account to be able to get loan.

[Jating]

I have come to realize that our traditional local banks only really give out loans to persons, or organizations that are known either online or offline and has a location with documents to proof their existence.
Same goes for those who use loan apps. You have to at least identify with the verifications stressing on passport, state of residence, age, and the funny thing is that your device location will be required to be turned on while doing all this or even applying for the loan.

Not taking sides, but this is pretty much self explanatory, I mean traditional banks will ask you a proof of existence so that they will know if you have the ability to pay or not. As for the loaning apps, it's the same, but what I don't like about this loaning apps, is that majority of them are really going after you if you missed one payment and they will go to the lengths of embarrassing you in social money specially in Facebook.

I have no doubt my observation is applicable to even crypto currency lenders, because even these days the P2p system isn't as decentralized or anonymous as before where we think we were trading with bots or fake people/scammers.

P2P it's very hard, you really need to be very careful. Although there are platforms like Binance who has P2P features, it doesn't mean that it is safe. You still have to do your due diligence to check the accounts that you are going to deal with.

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

For traditional banks and loaning apps? unfortunately yes. Even if you try to open a bank account, they will ask you a lot of documents and you will be forced to submit.

[robelneo]

I have come to realize that our traditional local banks only really give out loans to persons, or organizations that are known either online or offline and has a location with documents to proof their existence.

That's because they need a guarantee that the one asking for a loan has all the correct information and they know how and where to locate him in case he is defaulting, they even ask you for collaterals or proof of where you are working and for how long and do you own your own land, traditional banks are like this, there are lots of documentation involves and you need to provide guarantors or references with a good status in the community or business they are in.

Same goes for those who use loan apps. You have to at least identify with the verifications stressing on passport, state of residence, age, and the funny thing is that your device location will be required to be turned on while doing all this or even applying for the loan.

There's a lot of risk in asking for loan apps they are illegal here in our country because they are not regulated so in case you default on a loan they will threaten you and contact all your contacts and mess up your life.
Taking a loan is not easy you have to prove that you can pay and you will not default and they always have a counter in case you default on a loan, they are not in the loan business just to lose money.

[macson]

I have come to realize that our traditional local banks only really give out loans to persons, or organizations that are known either online or offline and has a location with documents to proof their existence.
Same goes for those who use loan apps. You have to at least identify with the verifications stressing on passport, state of residence, age, and the funny thing is that your device location will be required to be turned on while doing all this or even applying for the loan.

I have no doubt my observation is applicable to even crypto currency lenders, because even these days the P2p system isn't as decentralized or anonymous as before where we think we were trading with bots or fake people/scammers.

Is there any truth to the fact that an individual needs to be known in any place before they can qualify to receive loans?
That is, is the need to be known or identified really required to qualify for a loan?

What are thoughts?

even in this forum, lenders like in "board lending" prefer borrowers who have a good reputation, especially in the real world, when i first borrowed money from the bank, there were many questions asked by the bank to me, even though they initially refused to give me a loan because i couldn't show them that my income was stable and could pay them on time, i'm sure this applies all over the world, reputation is the most important thing in this world, without it it will be very difficult for you to succeed trusted other people, especially the borrower, keep your name good.