European peer to peer lender Bondora has closed out 2015 having funded over € 24 million in loans. Bondora is regulated by the Financial Conduct Authority having received interim approval in May of 2015. The company has applied for full FCA authorisation, an expensive and rigorous undertaking but something that may allow it to be accepted by the forthcoming updated ISAs. Bondora also accepts accredited investors from both the US and Canada.
The Estonia-based online lender recently shared some interesting platform facts including.
- Bondora has processed € 421 million in loans in 2015.
- Since 2009, when the platform launched, Bondora has processed € 885 million in loans
- Over 52,000 individuals applied for a loan during the past 12 months
- Over 12,000 investors have used the P2P platform
- Bondora has serviced 243,062 borrowers
- Average rate of return on loans in 2015 equals approximately 19%
- Average loan amount is € 2347
- Average interest rate is 28.6%
Bondora also received its first institutional investors – a step that will certainly boost platform growth. Company management is on the record with its intent to be present in all EU countries by 2017.
Partel Tomberg, CEO and founder of Bondora, told the Globe & Mail this past fall;
“We are able to provide investors with a diversified spread of different loan exposures in different jurisdictions, multiple geographies and various risk classes of loans. The borrowing markets we operate in have highly inefficient banking systems and limited alternative financing options for borrowers – thus ensuring premium returns to investors. Over time, we anticipate investment returns to somewhat decrease as we expand the platform to include new markets where the banking consumer-loan rates might be lower than in the current countries we presently working in,” he said. “But it will also further reduce the volatility and risk for investors.”