Think before products, before technology, into behaviors and solutions that were not designed at all, and eventually as far past into human evolution as you can find. Look at the threads connecting major leaps, and the accidental variations that ended up being hugely influential. Then place your idea on this continuum and argue how your idea could contribute to future evolution.
An informative and quick read on the history of lending. Here are some of my thoughts based on the research.
- The evolvement of lending is significantly impacted by the advancement of technology.
- Contract and Collateral are to reduce risk (trust is the core factor here), Interest Rate is for lenders to make profits, Credit Scores is to indicate the borrower's reliability.
- The lending industry focuses on making a profit for lenders rather than helping borrowers' financial management and investment, on providing convenience (with technology and cross-functional services) rather than changing borrowing habits (which means constantly being in debt).
- If a loan is a quick and accessible financial solution for low-income families and small/medium businesses, where would be the threshold before it traps them in the debt cycles?
- Should a loan be the first consideration when one needs money? If yes, in what kind of circumstances?