Platform lending reaches the significant milestone, with still no loan defaults, no investor losses and an average LTV of under 60%. Caps a highly progressive 2018 which included a brand refresh, platform upgrade, new ‘Auto-Lend’ facility and successful capital raise.
Proplend is delighted to confirm that total commercial lending facilitated to date via its P2P platform has now passed through the £50m mark. All loans are commercial property backed, comprising a mix of bridging and mortgage lending risk-adjusted returns – funded by our growing band of Classic account, Pension account and ISA ‘Lenders.’
By circumventing the traditional banking system, our Lenders have access to secured, inflation-beating fixed income whilst providing creditworthy commercial borrowers with an invaluable source of fast, flexible, interest only alternative funding.
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Having facilitated its first loan in 2014, Proplend has since accommodated over 50 commercial facilities, each loan typically funded within 24 hours by more than 100 participating Lenders. With a maximum loan term of 5 years, 20 loans have fully repaid to date with more than £15m capital returned and over £4m interest earned across the book – much of it tax-free.
“Attractive rates of return are commonplace for P2P lending, but it’s the steps we’ve taken to reduce capital risk that sets us apart from other platforms according to Lenders and industry experts”, claimed Brian Bartaby, Proplend CEO and Founder. “Our perfect repayment record to date and the comprehensive due diligence we share with Lenders has given many investors the confidence to trust all loans we list and enable our new Auto-Lend facility” he said.
“With no investor losses and an average loan to value under 60% so far, our safest Tranche A investments offer even more comfort on capital risk, with Lender exposure capped at 50% LTV” adds Bartaby.
Describing Proplend loans as benefiting from; “fantastically good security [typically] backed by steady borrower income”, extended to; “experienced property landlords”, P2P specialists, 4thWay continue to rate Proplend as “one of the lowest-risk lending platforms in the P2P market”. Top-rating its Tranche A investments as; “astoundingly attractive for the risks involved”.
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And Proplend Lenders continue to recommend and speak in glowing terms about their platform too, including IFA, David from London who advocated; “I have introduced some clients to them because of the confidence I feel in them.”
“I came across Proplend and liked their proposition and transparency. I decided to give them a go and have made several investments now, increasing the capital I commit. Good reporting, no surprises so far, and they seem very willing to communicate” he concluded.
New Lender Paul from Surrey, sharing his early experiences of lending through a Proplend flexible ISA enthused; “Easy to set up and a simple dashboard with everything displayed where you want it. Good rates and plenty of information about all offerings even before they become available.”
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Speaking about Proplend’s plans for the future, Ben Butterworth, Head of Lender Relations remarked; “We don’t intend to rest on our laurels or merely maintain our rate of growth. We aim to push on in 2019 and originate more loans, more often, with the same high standard of DD – offering our Lenders the same attractive, risk adjusted returns and even more ways to invest.”
“We’re delighted with the overwhelmingly positive feedback we regularly receive from wealth managers, pension administrators, new and experienced investors alike” he continued. They’re impressed with the returns available given the security borrowers are expected to provide.
Related to this post
Proplend loan volume and return statistics
Steps we take to minimise Lender capital risk
Proplend launches Tranche A ‘Auto-Lend’ facility
Proplend retains maximum 4thWay rating
