It's important to us that our investors understand how their money has been diversified and the performance of their loans. We believe in transparency and provide the status of all your investments within the 'My Portfolio' section of our platform.
When looking at your loans, you will see each one has a status. The status will be one of the following:
When a loan has a status of 'Active', it means it is performing as expected and the borrower is making payments as expected.
Sometimes a borrower may fail to make interest payments. Where this happens twice or more consecutively, we will consider the borrower to be in arrears and get to work to put things right. This does not mean that you will not receive your interest, just that it might be delayed. Any accrued interest which is owed to you is always visible in your portfolio. You also won't be able to sell the loan whilst it is 'In Collection'. Our loan servicing team will be working with this borrower to bring the account back up-to-date.
This means that a borrower has failed to pay their arrears payments following our enquiries or they have not repaid the loan and time and no formal extension has been agreed. In these circumstances, we will be working very closely with the borrower to remedy the situation. This does not mean you will lose any money, as in a worst case scenario we are able to seize the underlying property and sell it to recover your capital and any outstanding interest payments.
When a loan is in enforcement, we have exhausted all our attempts to get the borrower to pay outstanding capital or interest and we are now actively looking to take possession of the property. Once the property is repossessed and sold, your capital and any outstanding interest will be paid in a lump sum.