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Over the past decade, the online lending industry has grown into an important source of financing for everyday consumers and small and medium-sized businesses (SMBs). In the United States, online lending companies offer both quick cash products, such as peer-to-peer and payday lending, as well as longer-term, secured loans for mortgages and business financing.

Today, the online lending market has grown into a truly global industry, with many of the larger companies operating in multiple countries. Unfortunately, the industry is still maturing — thanks to variable consumer demand and a lack of regulatory coordination, the online lending market in one country can look and function very differently from the online lending market in another. As a result, many borrowers continue to struggle with limited access to international lending options.

That being said, the online lending industry is catching up quickly. To help guide you through this evolving and competitive market, we've put together a brief rundown of some of the biggest players operating around the world. We'll start with Australian online lenders, and work our way around the globe.

What is Online Lending?

Before jumping into the details of the Australian online lending market, it's worth taking a step back and defining what we mean by online lending. Simply put, online lending is an umbrella term for a variety of financial products and services that allow retail consumers and businesses to borrow money online. Because these loans are processed and underwritten online, loan providers can make and process loans faster and at a lower cost than brick-and-mortar lenders.

One of the other key advantages to using an online lending company is the convenience of online accessibility. As long as you’re able to satisfy a company's credit and eligibility requirements, you can have your loan application reviewed and funded within a matter of minutes. This quick turnaround time allows you to avoid the lengthy approval and underwriting processes that are often involved with traditional banking loans.

Online Lending Options Around the World

While far from exhaustive, the following list offers a snapshot of some of the most prominent online lenders across four major international markets.

Australia

• OnDeck: One of the largest alternative lending companies in the world, OnDeck has altered the landscape of small business lending in Australia, offering accelerated loan applications and business loans between $10,000 and $250,000.
• Prospa: Specializing in small business loans, Prospa customers can take advantage of a range of online loan products, from fast-tracked micro loans to ongoing credit lines.
• Harmoney: Offering unsecured personal loans between $2,000 and $70,000, Harmoney is a popular option for Australian customers looking for a quick and easy way to access credit.

United States

• SoFi: Boasting flexible repayment terms and no prepayment, origination, or late fees, SoFi customers can apply for personal loans of up to $100,000. 
• Rapid Finance: Known for its wide variety of loan products and $1 million maximum loan amount, Rapid Finance offers cash advances, business lines of credit, and Small Business Administration bridging loans.
• Earnest: Specializing in student loans, Earnest offers flexible repayment options and competitive credit terms for undergraduate and graduate students looking to fund their education.

Canada

• LendDirect: One of Canada's most popular online lending companies, LendDirect offers qualified borrowers access to unlimited cash advances through a $15,000 line of credit.
• LendforAll: Functioning as a matching service for a range of domestic loan providers, LendforAll connects borrowers to a wide range of different loan products, including debt consolidation, equity loans, personal loans, and business lines of credit.
• GoDay: Specializing in micro and payday loans, GoDay supports personal, short-term loans of up to $1,500, with an average approval time of 5 minutes for eligible borrowers.

United Kingdom

• Capalona: Catering to SMBs and start-ups, Capalona offers both secured and unsecured loans, with loan amounts ranging from £1,000 to £500,000.
• Sunny: Boasting fast approval times and discounts for early repayment, Sunny offers high-interest payday loans between £100 and £2,500.
• Post Office: Backed by the Bank of Ireland, Post Office is a popular service which provides instant approval for eligible borrowers for personal loans up to £25,000.

The Bottom Line

The online lending industry has grown tremendously over the past few years, with the number of online lending companies skyrocketing from only a handful of players to thousands of companies around the world.

The growth of the online lending market has been fueled by the increasingly global nature of consumer spending. As more and more consumers turn to the convenience and low fees offered by online lending companies, it's becoming easier than ever to access capital in new markets where traditional banking is unavailable or limited.

Ultimately, the proliferation of online lending companies is a reflection of the growing demand for convenient, consumer-focused financial services. With the continued growth in online lending in emerging markets, it will only be a matter of time before the online lending market becomes ubiquitous around the world.