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Due to the anonymity on such social lending platforms, determining the creditworthiness of borrowers is of high importance. Beyond the disclosure of traditional financial variables that enable risk assessment, peer-to-peer lending platforms offer the opportunity to reveal additional information on the loan purpose. We investigate whether this self-disclosed information is used to show reliability and to outline creditworthiness of platform participants. We analyze more than 70,000 loans funded at a leading social lending platform. We show that linguistic and content-based factors help to explain a loan's probability of default and that content-based factors are more important than linguistic variables. Surprisingly, not every information provided by borrowers underlines creditworthiness. Instead, certain aspects rather indicate a higher probability of default. Our study provides important insights on information disclosure in the context of peer-to-peer lending, shows how to increase performance in credit scoring and is highly relevant for the stakeholders on social lending platforms.<\/jats:p>","DOI":"10.1145\/3589003","type":"journal-article","created":{"date-parts":[[2023,3,28]],"date-time":"2023-03-28T12:00:24Z","timestamp":1680004824000},"page":"1-19","update-policy":"https:\/\/doi.org\/10.1145\/crossmark-policy","source":"Crossref","is-referenced-by-count":11,"title":["Peer-to-Peer (P2P) Lending Risk Management: Assessing Credit Risk on Social Lending Platforms Using Textual Factors"],"prefix":"10.1145","volume":"14","author":[{"ORCID":"https:\/\/orcid.org\/0000-0003-3618-8423","authenticated-orcid":false,"given":"Michael","family":"Siering","sequence":"first","affiliation":[{"name":"Goethe University Frankfurt"}]}],"member":"320","published-online":{"date-parts":[[2023,6,23]]},"reference":[{"key":"e_1_3_1_2_1","doi-asserted-by":"publisher","DOI":"10.1002\/isaf.325"},{"key":"e_1_3_1_3_1","doi-asserted-by":"publisher","DOI":"10.2307\/1879431"},{"key":"e_1_3_1_4_1","doi-asserted-by":"publisher","DOI":"10.1016\/S0378-4266(97)00036-8"},{"key":"e_1_3_1_5_1","doi-asserted-by":"publisher","DOI":"10.1109\/ACCESS.2020.2984412"},{"issue":"2","key":"e_1_3_1_6_1","first-page":"1","article-title":"Emergence of financial intermediaries in electronic markets: The case of online P2P lending","author":"Berger S. 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