Currently we offer five different loan terms with two repayment types:
Every borrower can have a maximum of 1 ongoing loan. This includes loans that are currently listed ("in funding") and loans that have been funded and are not repaid, yet.
The auction lasts a maximum of 14 days and ends earlier when the requested amount is reached. During the auction period lenders are bound to their bids.
A loan is funded and paid out to the borrower either if the requested amount is reached during the auction period or if the funded amount reaches 60% or more of the requested amount at the end of the auction.
Loans with a term of 6 weeks can not be repaid early. Loans with a term of 6 months or more can be repaid early, but not before the first payment of the loan is due.
Interest rates are set according to the borrowers's creditworthiness which is determined by their rating (risk based pricing). Interest rates vary according to the borrowers's rating and the term of the loan. All payments of interest and principal are paid to lenders according to their number of notes held.
All interest rates are stated on a per annum (p.a.) basis to make loans of different terms comparable. The stated rates are nominal rates which means that the effective APR for a lender can vary slightly depending on the concrete payment schedule. You can view all payment schedules of your holdings under 'Investments' in your account and copy paste them directly to a spreadsheet for further calculations. The interest rate payment is always calculated based on oustanding principal at the payment due date.
We have the smallest fees of all peer-to-peer lending platforms. Let us know, if you think otherwise!
We do not charge any fees for investing in bitcoin loans or for registration as a lender.
All fees are VAT exempt according to §4 no. 8a UStG (German VAT act)
Date: February 2016