On Thursday, Kuflink received full authorization from the Financial Conduct Authority (FCA) for its peer-to-peer lending platform. According to the registration, Kuflink has been given permission to provide regulated products and services, which includes accepting deposits, provide credit to consumers, offer investment advice, and arrange deals with investments.
As previously reported, Kuflink was set up in April 2016, and the lending platform became operation in August 2016. The website offers a secured, property-based peer-to-peer lending platform and its sister company, Kuflink Bridging, retains 20% in every deal, which is secured against UK property and the maximum LTV for its lenders is 56% against an auction value of 90 days. While sharing details about the authorization, CEO of Kuflink, Tarlochan Garcha, reportedly stated:
“These are very exciting times for the group. We have been working with the FCA since August 2016 and we are delighted to have achieved full authorisation for our P2P platform in such a relatively short timeframe. I am in no doubt that the unique investor safeguards in the shape of Kuflink Bridging taking the first 20% of each loan made on to its own balance sheet, has helped us in our goal to become fully authorised so quickly. We now have a highly effective and complementary source of funding for our short term lending proposition via Kuflink Bridging. Unlike some other lenders, we are not at the mercy of corporate funders, whose commitment to the market wavered, as we saw after the Brexit vote. Not only is Kuflink Bridging is able to provide a solid platform for consistent competitive lending facilities to the broker market, but Kuflink’s P2P proposition offers ordinary investors the opportunity for strong returns backed up by the best safeguards in the industry.”
Garcha recently spoke to Crowdfund Insider about the development of Kuflink’s peer-to-peer lending platform:
“Investing 20% in every deal demonstrates to our lenders that we have full confidence in all our deals. We are, in essence, putting our money where our mouth is. For us, the priority is our client and we want to ensure they are completely satisfied with every product on the platform.”