Inspiring News Articles
Excerpts of Highly Inspiring News Articles in Major Media
Below are one-paragraph excerpts of highly inspiring news articles from the major media. Links are provided to the original inspiring news articles on their media websites. If any link fails, read this webpage. The most inspiring news articles are listed first. You can also explore the news articles listed by order of the date posted. For an abundance of other highly inspiring material, see our Inspiring Resources page. May these inspiring news articles inspire us to find ever more ways to love and support each other and all around us to be the very best we can be.
Scott Macaulay ... fixes vacuum cleaners for a living. This is the 28th year that Macaulay, 52, is hosting Thanksgiving at a Baptist Church in Melrose for people who have no other place to go. They might be widows, or new arrivals to this country, or poor. Some are simply lonely, like the elderly woman with Parkinson’s who arrived one year in an ambulance from a nursing home. Every year, Macaulay fashions a living room-dining room tableau inside the First Baptist Church fellowship hall. Except for the occasional small donation, Macaulay finances this all himself, and even though he’s frugal, it still costs him more than $1,000. As soon as one Thanksgiving dinner is over, he starts saving for the next, despite his own financial struggles. Still, he’s never skipped a dinner, not the year with the ice storm, not the year he passed out while driving, had a car accident, and was rushed to the hospital, where he got a pacemaker. He didn’t even cancel it this year, after getting word last Friday that the church ovens were broken and wouldn’t be fixed on time. He simply arranged a late switch to the Green Street Baptist Church. The largest crowd he’s had was 89 people. He’s refined and expanded the menu over the years; it now includes frozen meatballs as the hors d’oeuvres and canned fruit cocktail with a daub of pink sherbet. “It’s fabulous,” said an 88-year-woman, a widow “many, many, many years,” who ... goes to Macaulay’s meal every year.
Note: Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
The Power Pallet ... generates electricity from corn cobs, wood chips, coconut shells and other kinds of cheap, dense biomass. Although it costs $24,000 to $34,000, the Pallet can churn out electricity for less money than the diesel generators that power businesses across the developing world, while coughing up less pollution. And when used properly, the Pallet is “carbon negative,” pulling more heat-trapping carbon dioxide out of the atmosphere than it pumps back in. Its very existence is almost an accident. Years ago, the tinkerers who would eventually found All Power were ... building flame-throwing robots for Burning Man. Berkeley officials objected and convinced Pacific Gas and Electric Co. to cut the power [to their property]. As a result, Jim Mason, All Power’s CEO, developed a keen interest in generating electricity off the grid. “We got shut off and decided to hack climate change,” Price said. Now All Power has morphed into one of the Bay Area’s unlikeliest exporters, installing 700 machines in more than 30 countries worldwide. Its 30 employees assemble one or two Pallets each week, all in Berkeley. And All Power is one of a handful of American companies displaying their products at this week’s international climate conference in Paris. The Pallet uses gasification, a process more than a century old, that subjects carbon-rich organic material to high heat. What’s left of the original material becomes biochar, which can be mixed into soil as fertilizer. That waste product - biochar - is how the Pallet achieves carbon-negative status.
Note: Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
842 megawatts is ... more than enough to power all the homes in the Denver metro area. It’s also enough to keep about 15 percent of Google’s data centers humming. On Thursday, Google announced that it had finalized contracts to buy 842 megawatts of wind and solar energy from plants in the US, Chile, and Sweden, nearly doubling the company's total clean energy capacity. The contracts ... help to give the energy companies financial stability to be able to build additional clean energy facilities. Renewable energy now provides about 37 percent of the total energy consumed by Google’s data centers worldwide. This purchase is the largest of its kind ever made by a non-utility company, but Google isn’t the only tech giant shifting over to clean energy. One of Facebook’s five data centers is powered entirely by a nearby wind farm, and the company says it plans to get 50 percent of its energy from renewable sources by 2018. Amazon’s cloud computing division announced last year that its operations would eventually be powered completely by clean energy. And in 2014, Apple announced that all of its offices, stores, and data centers in the US were being powered ... renewable sources. Google was one of 13 large companies that collectively invested more than $140 billion in new clean energy projects in July as part of the American Business Act on Climate Pledge. Apple and Microsoft were also part of the pledge; both companies said their operations would eventually be 100 percent powered by renewable energy.
Note: Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
Cochin International Airport in southern India’s Kerala state may be best known as the gateway to the tourist beaches and houseboats of the region’s famous backwaters. Now it has a new claim to fame: The world’s first solar airport. Since August, the airport has used 46,000 solar panels laid across 45 acres to power all its electricity needs, and sell excess power to the government-run grid. At night, when the sun doesn’t shine, it pulls some of that power back from the grid, making the airport effectively “carbon neutral.” Over the next 25 years, the project is expected to reduce carbon emissions by the equivalent of planting 3 million trees. The move to solar power is also expected to help cut pollution in Kochi, an industrial city ranked the 24th most polluted in India. Based on the results at Kochi, India’s government has directed 125 airports run by the Airport Authority of India to generate at least 1 megawatt of solar power each by March 2016. If a medium-sized airport such as Kochi, with just 1,300 acres of land, can produce sufficient electrical power for its operations, larger airports such as Delhi, with 5,000 acres, and Bangalore, with 3,000 acres, should be able to meet some of their power demand too, said Kurian, the Kochi airport’s managing director. “We are expecting not only other Indian airports, but airports in other countries, also to follow suit,” he said. “Every day we are being asked for expert advice and are answering queries from across the world.”
A Georgia State Patrol Trooper went above and beyond the call of duty after a Halloween tragedy. Four Morgan County children lost both of their parents as they were getting ready to trick-or-treat Saturday. Donald and Crystal Howard ... were killed instantly when their SUV flew off the road and hit a tree. Trooper Nathan Bradley arrived at the home to break the news of the tragedy. “Unfortunately, I was greeted by four children in full costumes,” Bradley said. With their grandmother’s permission, Bradley didn’t tell the children, who ranged in age from 6 to 13, that their parents had died. “The first thing I said was, ‘Hey lets go get something to eat,’” Bradley said. “They said, ‘My parents will be here soon.’ I said, ‘Your Grandma wants you to hang out with me till she gets here." Bradley treated Justin, Amaya, Damien and Travion to dinner, movies and Halloween candy at the Monroe State Patrol post followed by a sleepover. “The whole purpose was to preserve their Halloween,” said Bradley. They weren't told about their parents’ accident until the next morning when their grandmother arrived. Bradley also started a GoFundMe page for funeral expenses so that Crystal and Donald can be buried in Florida, where the children are moving in with grandparents. All the kindness came from a young state trooper who didn't want to ruin Halloween for his four new friends. “It’s the first time in the line of duty I told someone I loved them and I do love them,” Bradley said. “I care about them a lot.”
Note: Through gofundme, over $450,000 was raised to support this grieving family. Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
Ra Paulette ... has been scraping and shaping New Mexico's sandstone into man-made caves of art. He calls them his wilderness shrines - massive in scale, poetic in their design. "I see this as an environmental project; I'm trying to open up people's feelings," he said. He has no degree in sculpting. He's not a structural engineer, and he's not an architect. He is simply a man who found his passion. "Most of the wonder that I feel is in the actual making of the caves," he said. "Once they're made, I move on, if I want fresh wonder." He's found that fresh wonder digging about a dozen caves so far, most commissioned by nearby residents who want a piece of livable art. One cave along the Rio Grande River even has power, a wood floor, and a colorful bathtub with running water. It took Paulette two years to dig. He charged a mere $12 an hour in labor. "You don't do this for the money, you're not getting rich off making these beautiful places," said Cowan. "No, it's the process, you know? I'm having the time of my life." Recently ... documentary filmmaker heard of the caves, and spent three years following Paulette as he dug. The result was a film so unique it was nominated for an Academy Award. Suddenly, Ra Paulette was a caveman with a following. Showing us his latest project, [he said], "This is the largest thing I've ever done." At 67, he'll be well into his 70s before he shares this cave with the world. He hopes those who come here will find in its solitude what Ra Paulette already has: a sense of peace, and purpose.
Note: These caves bear some similarity to the intriguing carved caves in New Mexico allegedly created by a group called the WingMakers.
Medicine Hat, a city in southern Alberta, pledged in 2009 to put an end to homelessness. Now they say they've fulfilled their promise. No one in the city spends more than 10 days in an emergency shelter or on the streets. If you've got no place to go, they'll simply provide you with housing. "We're pretty much able to meet that standard today. Even quicker, actually, sometimes," [said] Mayor Ted Clugston. Clugston admits that when the project began in 2009, when he was an alderman, he was an active opponent of the plan. "I even said some dumb things like, 'Why should they have granite countertops when I don't,'" he says. "However, I've come around to realize that this makes financial sense." Clugston says that it costs about $20,000 a year to house someone. If they're on the street, it can cost up to $100,000 a year. "This is the cheapest and the most humane way to treat people," he says. "Housing First puts everything on its head. It used to be, 'You want a home, get off the drugs or deal with your mental health issues,'" Clugston says. "If you're addicted to drugs, it's going to be pretty hard to get off them, if you're sleeping under a park bench." And the strategy has worked. In Medicine Hat, emergency room visits and interactions with police have dropped. But there was one change that initially surprised Clugston — court appearances went up. "They end up dealing with their past, atoning for their sins," he says. Clugston believes that no one on the streets is unreachable.
Sixteen countries have alerted the European Union that they want to opt out of E.U.-approved GM crops. Members of the economic bloc have until Oct. 3 to let the E.U. know if they were requesting to opt out of growing GMO produce from major companies like Monsanto, Dow, Syngenta and Pioneer, and according to the Food Navigator, a food trade publication, countries including Germany, Italy, Denmark, Bulgaria and Cyprus recently filed their requests and applications, increasing the number to 16. In August, Scotland publicly said it would prohibit GMO crops out of concern that they could damage the country’s “clean and green” brand. “Scotland is known around the world for our beautiful natural environment – and banning growing genetically modified crops will protect and further enhance our clean, green status,” Rural affairs secretary Richard Lochhead said in a statement at the time. “A growing number of governments are rejecting the commission’s drive for GM crop approvals,” Greenpeace’s E.U. food policy director Franziska Achterberg told the Guardian. “They don’t trust the E.U. safety assessments and are rightly taking action to protect their agriculture and food. The only way to restore trust in the E.U. system now is for the commission to hit the pause button on GM crop approvals and to urgently reform safety testing and the approval system.”
Note: Read also an article on how the American Academy of Pediatrics has cut ties with Monsanto. To understand the serious risks and dangers of GMOs, see this excellent summary of the acclaimed book "Seeds of Deception."
The sleek race car dubbed 'Blade' didn't come off an assembly line - but out of a 3D printer. Kevin Czinger of Divergent Microfactories has spent most of his career in the automotive industry. One day he realized that no matter how fuel-efficient or how few tailpipe emissions the modern car has, the business of car manufacturing is destroying the environment. "3D printing of metal radically changes that," said Czinger. Currently cars are pieced together on long assembly lines inside large factories that use massive amounts of energy. Even the most fuel-efficient car has a large carbon footprint before ever leaving the plant. Czinger and his team's approach was to take the large plant out of the equation. To accomplish this they printed the modular pieces that are used to connect carbon rods that make up the Blade's chassis. The 3D printed chassis is only 102 pounds and has the same strength and safety protection as a frame made out of steel. By using carbon fiber instead of steel or aluminum for the body, the entire vehicle only weighs 1400 pounds (635kg). The Blade ... runs on natural gas, reducing its carbon footprint even further. The core enabling technology, the ability to print out car components that can be easily assembled, is what Kevin Czinger hopes will revolutionize car manufacturing. He says electric cars are a step in the right direction, but alone they won't be enough to curb greenhouse emissions given the projected rise in demand for cars globally unless the way they are manufactured changes.
Note: Watch a five-minute video showing this exciting process.
Everybody knows about the spread of war, the rise of AIDS and other diseases, the hopeless intractability of poverty. One survey found that two-thirds of Americans believed that the proportion of the world population living in extreme poverty has almost doubled over the last 20 years. Another 29 percent believed that the proportion had remained roughly the same. That’s 95 percent of Americans — who are utterly wrong. In fact, the proportion of the world’s population living in extreme poverty hasn’t doubled or remained the same. It has fallen by more than half, from 35 percent in 1993 to 14 percent in 2011 (the most recent year for which figures are available from the World Bank). The world’s best-kept secret is that we live at a historic inflection point when extreme poverty is retreating. United Nations members have just adopted 17 new Global Goals, of which the centerpiece is the elimination of extreme poverty by 2030. Their goals are historic. There will still be poor people, of course, but very few who are too poor to eat or to send children to school. Inequality [remains] a huge challenge in the U.S. But globally, inequality is diminishing, because of the rise of poor countries. The challenge now is to ensure that rich donor nations are generous in supporting the Global Goals — but also that developing countries do their part, rather than succumbing to corruption and inefficiency. So let’s get down to work and, on our watch, defeat extreme poverty worldwide. We know that the challenges are surmountable — because we’ve already turned the tide of history.
Amid a massive corruption scandal which has tarnished Brazil’s political class and driven the country’s president to the brink of impeachment, the Brazilian supreme court has banned corporate donations to candidates and parties in future elections. With eight votes in favour and three against, the court declared late on Thursday that the rules allowing companies to donate to election campaigns were unconstitutional. Rosa Weber, one of the judges who ruled in favour of the ban, argued that undue economic influence comprised the legitimacy of the country’s elections. “The influence of economic power has ended up transforming the electoral process into a rigged political game, a despicable pantomime which makes the voter a puppet, simultaneously undermining citizenship, democracy and popular sovereignty.” According to “The Spoils of Victory”, a US academic study into campaign donations and government contracts in Brazil, corporate donors to the PT in the 2006 elections received between 14 to 39 times the value of their donations in government contracts. The case was brought to the supreme court around one and a half years ago by the Order of Brazilian Attorneys (OAB). On Thursday the organization’s secretary general, Cláudio Pereira de Souza Neto, celebrated the decision. “It is what Brazilian society has been hoping for, even more so in these times of crisis,” he said, adding that the court order should make future elections cheaper.
Note: What do you think might happen if the US and Europe banned corporations from making political contributions? Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
A record-breaking distance has been achieved in the bizarre world of quantum teleportation. Scientists teleported photons (packets of light) across a spool of fiber optics 63 miles (102 kilometers) long, four times farther than the previous record. Quantum teleportation relies on the strange nature of quantum physics, which finds that the fundamental building blocks of the universe can essentially exist in two or more places at once. Specifically, quantum teleportation relies on an odd phenomenon known as "quantum entanglement," in which subatomic particles can become linked and influence each other instantaneously, regardless of how far apart they are. Scientists cannot distinguish the state of either particle until one is directly measured, but because the particles are connected, measuring one instantly determines the state of the other. Currently, physicists can't instantly transport matter (say, a human), but they can use quantum teleportation to beam information from one place to another. "What's exciting is that we were able to carry out quantum teleportation over such a long distance," study co-author Martin Stevens, a quantum optics researcher at the NIST in Boulder, Colorado. Quantum teleportation could enable the development of a "quantum Internet" that allows messages to be sent more securely, Stevens said. The scientists detailed their findings ... in the journal Optica.
The Elephant Sanctuary south of Nashville is more than 2,000 acres of freedom for elephants. But for a resident named Tarra, there's not enough room in Tennessee to escape the bad news she got last week. For nearly a decade, Tarra had been best friends with a dog named Bella, a mutt who wandered onto the sanctuary grounds and into the heart of the gentle giant. They were so close, in fact, that when Bella got injured a few years ago and had to spend three weeks recuperating in the sanctuary office, guess who held vigil the entire time? Twenty-two hundred acres to roam free, and Tarra just stood in the corner waiting. Home video of their reunion shows how inseparable they'd become and remained, right to the end. Last week, sanctuary workers found Bella's body. By all indications she'd been attacked by coyotes. Where they found Bella is not where she was attacked. "When I looked around ... there was no signs of an attack here," said director of elephant husbandry, Steve Smith. "And Tarra, on the underside of her trunk, had blood - as if she picked up the body." Steve's theory is Tarra carried Bella possibly a mile or more to bring her home. [The sanctuary's CEO Rob] Atkinson said the elephants are ... spending more time with Tarra and being extra nice - making gestures like giving her a portion of their food. Of course, anyone who's lost a dog knows you can't eat your way out of the grief - as much we might try - but still nice to know at least Tarra's not alone in this. It's also nice to see that compassion is much more than just human.
Note: Don't miss the beautiful video of this sad event at the link above. Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
A couple in Turkey ... doled out food to 4,000 Syrian refugees for their wedding reception. The bride wore an elaborate white dress, with a tiara perched on her headdress, and the groom sported a white tuxedo with black trim. They stood behind large food trucks distributing meals to hungry Syrians. The couple had decided that instead of hosting their friends and family for a traditional banquet reception, they would feed the victims of a bloody civil war next door. The idea came from the groom’s father, who volunteers for a Turkish relief organization called Kimse Yok Mu (KYM). For the past few years, KYM has distributed daily meals to the thousands of impoverished Syrians who’ve flooded across the nearby border. He approached a representative of the organization and proposed that the family would cover part of the costs of feeding refugees for the day. His son ... was surprised by the prospect, but [was] soon won over. “When he told that to the bride she was really shocked because, you can imagine, as a bride you wouldn’t think about this — it’s all about you and your groom,” says Hatice Avci, the international communications manager for KYM. “In southeastern Turkey there is a real culture of sharing with people in need. They love to share their food, their table, everything they have. That’s why the bride also accepted. And afterwards she was quite amazed about it.” So, they arrived at KYM’s distribution center on Thursday to spend the day serving food and taking photographs with their grateful recipients.
One of the stories that inspired bestselling author Susan Casey’s new book on the intricate world of dolphins, Voices in the Ocean, is almost too beautiful to be believed. A biologist named Maddalena Bearzi was studying a group of dolphins off the coast of Los Angeles when she noticed something strange. The “pod” (group of dolphins) had just landed upon a herd of sardines. They were about to start feeding when one, unexpectedly, darted off. The rest followed, swimming full speed out to sea. When she reached them, three miles offshore, the pod had a formed a circle - in the middle of it, a girl’s floating body. Very near death, the girl had a plastic bag with her identification and a suicide note wrapped around her neck. With the dolphins' help, she was saved. The first dolphins lived on land. It took them 25 million years to adapt to being in the water. Their bodies shrank and their teeth shrank and their brains got big. They did all kinds of shape-shifting evolutionarily. Their brains grew significantly. It’s fascinating because scientists don’t know why. Most scientists’ main guess is that it was due to their changing social behavior. How did the dolphin know the girl was there? That’s the big question. They don’t rely on vision. I suspect it had something to do with frequency and vibration but of course that’s a guess. We don’t know. They tend to treat us the way they would treat other dolphins. By themselves, they’re vulnerable - to sharks, getting lost, all these things. So when you see dolphins together there is constant touching. They know how to help each other.
In much of the developing world, the electrical grid is a rickety, unreliable tangle of wires — if it exists at all. So starting quietly last year, SolarCity created a charity that installs solar arrays, complete with battery packs, at rural schools in developing countries. The GivePower Foundation has lit nearly 1,000 schools so far in Africa and Central America, a number expected to top 1,500 by the end of this year. Each solar and battery system is designed to generate and store enough electricity to light the schools for ... extending class hours. Students and community members can also use the systems to recharge their cell phones, increasingly popular in areas that never had widespread landline phone service. Hayes Barnard, GivePower’s president, says, “In certain parts of the world, there are opportunities to use renewable energy from the get-go. You don’t have to fight the status quo that’s been established around dirty energy.” The foundation aims to light one school for every megawatt of solar power SolarCity installs in the United States (a megawatt is roughly equal to the amount of electricity used by 750 American homes in any given instant). Next up: lighting 200 schools in Nepal, as part of the country’s recovery efforts from this spring’s devastating earthquake. Barnard will participate in that installation project himself. SolarCity recruits its own employees to do much of the installation work abroad, offering the work trips as an incentive for outstanding job performance.
Many 16-year-olds might covet a smartphone. Ronald Hennig just wanted a suit so he could attend a relative's funeral. The teenager ... was living in a group home at the time. His caseworker was unable to justify the nonessential expense. But an anonymous benefactor stepped in to help Hennig through a website called One Simple Wish. "I was able to go to the funeral," said Hennig, now 18. "I could pay the same respect as everyone else." One Simple Wish was started by Danielle Gletow to help grant the wishes of children in foster care. Each child's wish is posted online, and anyone can pay to make that wish come true - from tangible items such as a bicycle, a varsity jacket or school supplies to an experience like music lessons or a trip to the theater. Since 2008, the nonprofit has granted more than 6,500 wishes for children living in 42 states. More than 400,000 children were living in the U.S. foster-care system in 2011. "The wishes that don't seem like the basic necessity are (often) the ones that are the most important," Gletow said. "Because those are the wishes that are really just a kid being a kid. We don't want to constantly remind them of how sad or tragic or challenging their circumstances are. Anybody can go on our website, and they can look at hundreds of wishes that are posted on behalf of children in foster care and children in vulnerable family environments," Gletow said. "These small things make an enormous difference in the life of a child who has spent their entire life wondering if anybody cares about them."
Some 1.3 billion people worldwide live without electricity, affecting health, lowering incomes, and making education difficult. An increasing number of advocates ... are promoting the use of solar power to [increase] access to clean energy across the globe. Solar is a low-cost energy source in the long run, but it has high initial costs. Some solar manufacturers and energy distributors are helping people skirt these up-front costs through creative financing models. In programs such as these, customers can finance their own solar systems for less than what they would otherwise be spending on kerosene ($40-$80 per year on average). Barefoot College developed a training program for grandmothers, who ... learn how to install, maintain, and repair the solar systems and, upon graduation, receive a monthly salary for their work. Solar Sister trains rural African women in sales and entrepreneurship, empowering them to become active participants in the economy while acknowledging that “women invest 90 percent of their income into their family’s well being.” Lighting a Billion Lives trains local entrepreneurs to manage their own solar charging station, from which they rent out solar lamps for a modest price to the local population. The organization also offers microloans and subsidies to facilitate such entrepreneurship. Grameen Shakti (Bangladesh), SolarAid (Africa), and Kamworks (Cambodia) operate with similar values. In this way, solar companies are ... empowering families [and] communities.
His body ravaged by chemotherapy treatments, retired radio engineer John Kanzius spent months in his basement in 2003 cobbling together a makeshift tumor-killing machine. Kanzius had no medical background. He had been a ham radio operator and the owner of a television and radio station company. But he had leukemia, and he did not want to die. He did not know it then, but the John Kanzius's Noninvasive Radiowave Cancer Device ... would eventually make the pages of respected medical journals and attract the support of leading cancer researchers. Dr. Steven A. Curley, an oncologist ... launched Kanzius’s research into the national spotlight and devoted his career to the project. Curley had treated many cancer patients, but [grew] particularly close with Kanzius. In 2009, Kanzius died at 64 from pneumonia while undergoing chemotherapy. Many thought the Kanzius machine would die with him. But this May, Curley filed protocols with the Italian Ministry of Health to test the radio wave machine on humans diagnosed with pancreatic and liver cancer. Researchers from the University of Pittsburgh, the MD Anderson Cancer Center and Rice University tested the technology [on] human cancer cells in petri dishes, as well as into tumors in mice, rats, rabbits and pigs. Using the Kanzius machine, they were able to heat [injected] nanoparticles and, as a result, kill all those cancerous cells [while surrounding healthy areas remained intact]. Results were published in the oncology medical journal Cancer, as well as Nano Research.
Note: Learn more about promising cancer treatments that are emerging and why these are frequently overlooked. Explore a treasure trove of concise summaries of incredibly inspiring news articles which will inspire you to make a difference.
Tired of sharing a single bathroom with his teenage son, Sean Rosas hatched a plan. But ... renovating their broken-down bathroom ... would cost more than what Rosas, the director of volunteer services at a nonprofit, had on hand. That’s when Rosas, 43, stumbled on Lending Club, a website that matches borrowers directly with individual lenders. If you need a loan, the site pulls up your credit score, vets your application within minutes and assigns an interest rate. If enough people sign up to lend, you can get the money in days. More than 250 people chose to back Rosas, giving him a three-year, $16,000 loan at 8.9% annual interest. Rosas, who has made every monthly payment so far, is thrilled with his deal. “It was a much more human experience than if I had gone to a faceless bank,” he says. Peer-to-peer has grown partly as a response to the recession; when credit was tight, traditional banks pulled back on lending, and consumers needed alternatives. Compared with a traditional loan application, Lending Club is blissfully easy. To qualify, borrowers need only an active bank account, a minimum FICO credit score of 660 ... and at least three years of credit history. What lenders are really doing is investing: they’re putting their money in notes backed by the prospective repayment of loans. The sizes of the loans range from $1,000 to $35,000. Investors can buy notes in increments as small as $25. Since its founding in 2006, Lending Club has delivered investors an average annual return of 7.79%–appealing at a time when three-year Treasury bonds average 1%.
Note: Curious about emerging alternatives to traditional banking? Learn more about the inspiring microcredit movement.