Lithuanian P2P loans: An alternative investment with high ROI
Lenndy a p2p platform with loans from different loan originators
Hello, who are you, what is Lenndy and who is behind Lenndy?
Hi there, Lenndy team is a start-up which launched in September, 2016. Lenndy model was created by different types of professionals who believed in creating a successful investment tool for investors. You can find detail information about our members by visiting our website https://lenndy.com/en/apie-mus/
Can you give us a general review of Lenndy?
Lenndy is the first Lending Marketplace in Lithuania which connects investors with loan originators. At Lenndy, investors can invest in asset-backed business loans and get estimated 12-15% return. The main difference comparing with other Lending Marketplaces is that there are no unsecured consumer loans at Lenndy which means that you can have the same return by investing in asset-backed loans. Lenndy has a strict loan policy and every loan is analyzed carefully by platform operator’s risk managers.
Why should I invest on Lenndy?
It’s worth investing at Lenndy because you can diversify your portfolio by investing in one additional platform. There is a good expression for that: “don’t put all your eggs in one basket”.
It also depends from investors’ investing strategy. If they seek to get the same return investing in secured loans with mortgage, cars or other collateral, they feel safer with the investments. Buyback guarantee also provides security which means that the loans that are late for more than 90 days will be bought back by loan originator.
By March 2017, there will be a “Sell portfolio” button, which will allow investors to sell their loans immediately. This function will provide a liquidity for Lenndy’s investors.
We also give extra advantages to our Lenndy investor club members. Everyone who is interested can write us an email and set-up an appointment and we will provide detailed information about our loans and business strategy.
What are the perks of being a a Lenndy club member?
Club members can get an information about loans earlier and get +1 % of investment for “closing” the loans, that we offer to close.
What trading volume do you currently have and where do you want to be at the end of 2017?
We seek to end this year with at least 5 mln. EUR loans funded. The amount is not huge, but it’s the quality that is number one for us. We think that it’s better to have smaller amount invested without any delays.
Who are your Loan Originators (FirstFinance, DPMP and Simplefin)? Is Lenndy involved with the lenders?
Lenndy is not involved in the management of the loan originators but we conduct regular meetings and have strict due diligence and monitoring policies in place. It’s very important for us, because of reputation risk. We seek to end this year with at least 5 mln. EUR loans funded.. The amount is not huge, but it’s the quality that is number one for us. We think that it’s better to have smaller amount invested without any delays.
Which countries are covered?
Today you can invest in Loans issued to Lithuanian business as well as USA lease contracts. We are actively seeking for Loan Originators from other Central Europe Countries and we are already in negotiation with at least 5 of them.
What types of loans are offered?
We have 4 different types of Loans at Lenndy. Car loans, Mortgage Loans, Invoice Financing and other Bussiness Loans (working capital loans).
Are there fees for investors?
There are no fees for investors, accept the taxes they have to pay in their country. Lenndy monetizes its activity from Loan Originators.
How does Lenndy earn money?
Lenndy charges fees to the loan originators.
Does the buyback guarantee cover 100% of the investment sum and will the buyback guarantee also refund outstanding interest payments?
Yes. Buyback guarantee will cover 100% of the investment and refund the outstanding principal to the day the investment is paid back to investors.
What happens when Lenndy or one of the lenders goes bankrupt?
It’s our favourite question. All loans that are issued by Loan Originators have original documents. The contracts that investors receive when investing at Lenndy have all the necessary information about the original loan contract. It means that if Loan Originators goes bankrupt – bankrupt administrator (appointed by the court) will manage the further processes repaying the Loans. Borrowers, in that case, still has to meet their obligations.
And if Lenndy goes bankrupt, there is an association of Crowdfunding Platforms in Lithuania, which has an obligation to continue the administration processes and work with Loan originators.
All of these processes are written in our business continuity plan with law firm “Sorainen” and submitted to Lithuanian central bank.
Why is Paysera necessary? Why no simple SEPA transfer?
Paysera is the biggest e-money management system that was integrated in our platform at the beginning. We know that it’s not that easy to finish the registration at Paysera because “Know Your Client” policy is very strict, especially for non-Lithuanian investors. We are preparing our system at the moment for SEPA transfer investment opportunities and hope investors will find it easer to invest.
Is there an auto-investor?
No, but there will be a possibility in few months. It’s just not the right time for that, because Lenndy is a young platform and doesn’t have that many investors. We seek to establish auto-investing that doesn’t have disadvantages like delayed investments, which lowers investors ROI. Loans provided at Lenndy are large amount and most of them saved by collateral, which means that investors don’t have to invest small amounts in dozens of loans.
Is there a secondary market? If no, how can I sell a loan?
We will have a “Sell” button in few weeks, which will allow investors to sell their loans immediately for 5% charge.
Where is the difference between “projects” and “social projects”?
When our team started establishing Lenndy, we decided to be as much socially responsible as it’s possible for a Lending Marketplace so we are helping social projects to attract investments without any return. Lenndy investors has an opportunity to participate in social projects with very small amounts of their investments, if they’d like. Basically, you just contribute to some social cause and you do not get your money back, but you receive a symbolic reward instead such as a hand-made cup, cinema tickets or etc.
Is Lenndy open to international investors?
Yes, Lenndy is open for international investors. All they have to do is register at lenndy in few minutes and then register in Paysera with full identification to invest.
How does Lenndy funds it’s Buy Back Guarantee fund?
Buyback is not a fund. We created more successful model that works differently. Loan originator provides a buyback guarantee if the borrower doesn’t pay back for 3 months. Buyback guarantee is only for asset backed loans like cars or real estate. Loan originator gets it;s profit from recovery of the asset and investors don’t have to wait for long procedures, because Loan Originator already bought the loan back from investors. There is more information: https://lenndy.com/en/kaip-veikia-buyback-garantija/
How Can I Contact Lenndy?
You can write us an email email@example.com or calling to our support number +37064635595
How Do I Sign Up?
You can sign up by just clicking on facebook button or create a new account with email confirmation. Then you’ll have to register in Paysera and identify yourself to level 3 minimum.
What’s The Minimum Deposit / Investment?
The minimum investment is 10 eur, and there are no fees for the platform.
How Long Are The Investment Terms?
The terms are from 1 month to 5 years.
What Are The Loan Default Rates?
We have 0 delays and 0 defaults. Soon you are going to see a new statistic page at Lenndy.
What are your goals for 2017?
After creating a successful investment model, now it’s our duty to invest in product development and make it easier for investors to invest. We see Lenndy as transparent, innovative and trustworthy international lending marketplace with more than 5 reliable Loan Originators. This year will show us how far Lenndy can go.
What is Arturas Stukalo biggest passion outside of Lenndy and why?
Good question. My passion is social responsibilities. I’m glad to participate in different projects and accomplish them with lots of different people. I improve my skills and point of view to the world, that I later use in business, that way.
Where can potential investors find more about Lenndy?