Peer-to-peer, or person-to-person, lending (“P2P lending”) is a type of crowdfunding that involves the facilitation of loan originations outside of the traditional consumer banking system by connecting borrowers directly with lenders, or investors, through an Internet platform.  P2P lending’s use of Internet platforms reduces costs by eliminating many operational expenses associated with traditional consumer bank loans, such as the cost of maintaining and staffing physical branches.  Some cost savings are passed along to borrowers through lower interest rates than those offered by traditional banks.  P2P lending platforms may be subject to certain consumer banking and related regulations, and the funding side of P2P lending platforms is subject to SEC regulation.  For more information about P2P lending, how it works, current regulations and considerations, see our client alert, “P2P Lending Basics:  How it Works, Current Regulations and Considerations,” available at http://www.mofo.com/~/media/Files/UserGuide/2015/150129P2PLendingBasics.pdf.