In a nutshell, they work just like an online auction, except that the 'price' comes down instead of going up.

Once a listing becomes 100% funded, you'll see that the overall interest rate will begin to fall as lenders compete with each other to be included in the loan.

Don't worry if it doesn't look like much is happening on a listing. The real action usually happens just before the listing ends.

Once a listing has finished, the borrower has up to 48 hours to decide if they want the loan at the final interest rate. There is no obligation to take the loan.