How they describe themselves: GreenNote is an innovative new company striving to help students obtain loans for education via social networking rather than through traditional lending methods. Using the GreenNote online platform, students connect with their social network of friends, family, friends of family, community leaders and others, to borrow money. GreenNote helps formalize everything into legally binding loans and handles all the details from loan documentation through repayment. The benefits are significant. The lenders and the individuals in the social network also earn a return on their money while helping a student get an education.
What they think makes them better: GreenNote loans are an attractive alternative to higher-priced loans than traditional private education lenders. Students gain access to low-cost loans, currently at 6.8% compared to private lending alternatives that can be up to 20%.
Unlike traditional lenders, GreenNote does not require the student to have a co-signer or to show proof of citizenship. Additionally there is no credit approval, FICO scores, or underwriting processes.