Peer-to-peer lending platforms allow individuals to connect directly with borrowers, bypassing banks and other financial institutions. The process typically involves the borrower creating a profile, detailing their loan request and creditworthiness. Lenders can then review these profiles and choose to lend money directly to borrowers, earning interest on their investment. P2P lending is facilitated through online platforms that handle the transaction details, verify identities, and manage payments. This method can offer lower interest rates for borrowers and higher returns for lenders compared to traditional banking methods.