What is private money?
While traditional loans depend on the borrower’s credit score, employment status, debt to income ratio, etc.., private money offers other creative ways of qualifying. Majority of the time, private money loans are secured by the property that is being acquired or by another asset.
Although private money lenders like inStride Funding work by connecting a private investor with a borrower, these loans are still required to follow banking laws. These kinds of loans are great for business capital and are not recommended for private consumer debt purposes.