One reason suggesting that banks may be better than individuals at matching lenders to borrowers is that banks:

Question

Quizplus · Accepted Answer

Banks typically have access to more information and resources to evaluate the creditworthiness of potential borrowers, including credit scores, income statements, and balance sheets. This allows them to make more informed lending decisions and reduce the risk of default. Additionally, banks are motivated by the potential for profit, which incentivizes them to make sound lending decisions and avoid excessive risk-taking.

One Reason Suggesting That Banks May Be Better Than Individuals