Repeated investments by lenders are critical for the survival and success of an online P2P lending platform. Lenders’ trust in a platform influences their investment decisions. This study explores the impact of trust and its antecedents on lender investment intention in online P2P lending platforms. An online survey of 358 active P2P lenders on several leading online P2P lending platforms in China was conducted. Empirical results suggest that lender trust in a platform has a strong influence upon both perceived risk and investment intention. Furthermore, the results show that top management team heterogeneity, reputation, and quality of the platform have significant effects on lender trust. Both theoretical and practical implications of these findings are discussed.
Yang, Ming; Li, Haiyang; Shao, Zhen; and Shang, Wei, "Influencing Lenders’ Repeat Investment Intention in P2P Lending Platforms in China through Signaling" (2017). PACIS 2017 Proceedings. 72.