Flexible peer to peer lending & borrowing

General Principles

FEES - GENERAL PRINCIPLES

  • To charge appropriately in relation to the cost of the service or people time costs involved
  • To keep fees as low as possible consistent with making a reasonable profit
  • Automate as much as possible to reduce the people costs consistent with providing a good personal service
  • To apportion charges fairly between borrowers and lenders
  • To present charges as clearly as possible and explain how they work
  • To adjust the prices as we go, in line with these policies

Borrowers' Fees

FEES - Borrower Info

Borrower Loan Origination Success Fee

The Loan Origination Success Fee is once-off £100.00 plus 1% of the Loan amount.

This fee covers the costs of setting up the loan and its transactions, which increase with the size of the Loan.
The above fee is is added to the loan for repayment and is taken when the Loan is disbursed to the Borrower.

There are no penalties or fees for early repayment of a loan

Arrears & Default Fees

Fee for a Late (more than 5 days) scheduled Instalment Repayment is £10.00.
If the loan is in arrears or default we pass the debt on to a reputable professional debt collection agency for collection.
The debt collection agency will charge the borrower fees (over which we have no control) for the work they do in attempting to collect the repayments. We believe these fees are £60 administration fee plus 18% commission on any recovery, but they may vary from that.
For more information on Arrears and Default on a Loan please refer to this explanation.


Some Borrowing Fees Examples

Loan Amount Flat Rate Fee Percentage  Fee     Total Fee
£1000 £100 £10     £110
£3000 £100 £30     £130
£5000 £100 £50     £150
£7000 £100 £70     £170
£10,000 £100 £100     £200
£15,000 £100 £150     £250
£25,000 £100 £250     £350

Lenders' Fees

FEES - Lender Info

Lending Fees


The annualised interest rates offered to lenders are calculated after the site has taken its Loan Servicing Fee, so lenders receive the rate as quoted.

The Loan Servicing Fee is taken from each successful repayment made by the borrower before the balance of principal and interest is passed on to lenders. 
The Loan Servicing Fee may vary between lender investment products.


Secondary Market Fees

Secondary Market transactions, selling loan parts
The seller of a loan pays a flat fee of £1.00 plus 1.5% of the outstanding loan amount with a minimum of £5.00 total.
Examples: On the sale of a loan with £1000 outstanding the seller fees will be (flat) £1.00 + (percent) £15.0 = £16.00.
On the sale of a loan with £100 outstanding the seller fees will be (flat) £1.00 + (percent) £1.50 = £2.50, but the minimum charge is £5.00.

There are no fees to the buyer of loans on the secondary market.

Arrears & Default Fees

If the loan is in arrears or default we will pass the debt to a reputable debt collection agency for collection on behalf of the lenders.
Relevant fees are paid by the borrower & any money recovered will be passed to the lenders pro-rata.
However the lender should understand that the full amount owed on the loan may not be recovered.
For more information on Arrears and Default on a Loan please refer to this explanation.
 

We reserve the right to change any of the above fees, in line with our stated general principles, on 7 days notice posted here