The theory is that fixed costs for banks are so high they cant profitably source and score these loans. However Fintech p2p firms can using "technology". Note

The theory is that fixed costs for banks are so high they cant profitably source and score these loans. However Fintech p2p firms can using "technology". Note in my experience most p2p financing companies aren't actually peer to peer. They have a bunch of cash from investors, banks or other p2p loans companies which they then loan out.