P2P Lending: A Shadow Bank?

P2P Lending platforms allow you to lend your money to a borrower for an agreed rate. Some of the prominent players include giving 12-person club, cred, Mobyquake, and fire. For instance, Lickby Lones, Space and Late-Name Club offer 12-12.8%. Cred by gift promises up to 12% as the name suggests, but that's rare. 8-9% is the range what most lenders actually earn.