We have been among the first to thoroughly test this platform and in this MEGAreview we tell you our impressions and all the information you are looking for … are you ready? 🙂
What is LenderMarket Statistics and Global Data
LenderMarket is a new marketplace lending proposal based in Ireland which began operations in June 2019 that comes from the hand of Creditstar Group AS , one of the most important Lenders / Originators in Europe, founded in 2006 and specialized in micro loans and consumer loans in Poland, Spain and the Czech Republic (the “Creditstar” brand will sound familiar to many of us because it is currently a Mintos Originator).
First Steps in Lender Market
Registration in LenderMarket is a very simple process, absolutely similar to the standard of other crowdlending platforms in Europe, and consists of the following steps:
➊ Fill in the initial investor registration form.
➋ Confirm the email address by clicking on the corresponding email.
➌ Provide proof of identity to carry out the verification (including ID or Passport and photo). Verification is carried out through the Veriff company, which is also common in other lending platforms.
➍ Make the first contribution of funds by bank transfer.
Requirements to create an investor account in Lendermaket
+ Be of legal age.
+ Registration is open for European citizens.
Deposits How to add funds to our Lendemarket account
Contributions can be made by bank transfer. Specifically, Lendermarket works with the Irish bank Fire Financial Services Limited and – once our identity has been verified – in our account they will provide us with the account number and identifier to make our contributions.
Lendermarket Bonus – New Users Bonus
Lendermarket currently offers a very attractive promotion for new investors who want to try the platform, consisting of a bonus of 1% of EVERYTHING you invest the first 2 months since you register on the platform. To access this promotion, you simply have to register from HERE .
How Lendermarket Creditstar Commissions Works
Lendermarket has absolutely NO commission for the investor. It is thus a platform “0.0” commissions as we like on this website 🙂
How to Invest in Lendermarket Crowdlending in 2020
At Lendermarket we have 2 investment modes available:
- MANUAL Investment from 10 euros per operation
- AUTOMATIC Investment (from 10 euros, with the possibility of setting up multi-strategies)
Next we will take a look at the parameters that define the operations published in thismarketplace.
Investment Manual Analysis Lendermarket P2P – Most Important Parameters
➊ Loan Listings
In this section of our Control Panel we will find a list with all the loans available to invest at this time.
In Lendermarket we can invest in operations originating in the Czech Republic, Poland and Spain – they will soon expand this list to new countries-
In general, all the loans we will see in the primary market will be CURRENT (up to date with payments).
➍ Current Term
Outstanding days / total days of loan duration. In Lendermarket the vast majority of credits are very short term.
➎ Interest Rate
Currently in Lendermarket we have a flat rate of 12%
Lendmarket How Autoinvest Works (Automatic Investment) – Step by Step Tutorial and Configuration
➊ To start the AutoInvert configuration, we will go to the AUTO INVEST section of our Dashboard and click on the CREATE NEW button
➋ Next we will give our Autoinvert a name (in Lendermarket we can have several AIs at the same time with different strategies, so it is important to identify each one).
➌ In TOTAL AMOUNT we will indicate the amount of money that we will allow to manage this Autoinvest, All the money we have in Lendermarket above this amount will remain as available balance, unless we have more than one Autoinvest.
In INVESTMENT PER LOAN we will indicate how much we want to invest in each loan. For diversification, we indicate the minimum (10 euros).
➎ In these check boxes we indicate if we want to reinvest automatically (the usual thing is yes) and if we want to invest in loans that we already have in our portfolio (for example if we have bought a loan in a manual … are we going to let Autoinvest invest in the same loan? … by default we have it disabled).
➏ Below we will indicate the range of interest in which we are willing to invest. Right now Lendermarket is launched with a “flat rate” of 12% profitability, but conditions could change in the future.
➐ In REMAINING TERM we indicate the minimum and maximum terms in months in which we are willing to invest.
➑ In COUNTRIES we will indicate the countries in which we are willing to invest. We default marked all for the sake of greater diversification.
➒ Later we will make sure that we have checked the BUYBACK GUARANTEE box (repurchase guarantee). Currently all Lendermarket loans are issued with Repurchase Guarantee, but this could change in the future.
➓ Finally, we accept terms and conditions and press SAVE AND ACTIVATE.
Lendermarket Secondary Market and Liquidity
Lendermarket does NOT currently have a secondary market. In any case, it does NOT seem to us a critical function to implement given the very short expiration of the vast majority of its operations, which in practice makes the liquidity of our investments reasonably high compared to other crowdlending options.
Lendermarket Buyback Buyback Guarantee
Lendermarket presents TOTAL Repurchase Guarantee (capital and interest) for all its operations, with activation of the same 60 days from default. Buyback coverage is offered by Credistar.
Lendermarket Creditstar Originators
As we have commented previously, Lendermarket is the P2P Lending arm of Credit Star Group, an originator of active personal loans since 2006 , with a portfolio of managed loans close to 100 million euros and a large European presence. Some of Creditstar’s subsidiaries are Monefit Estonia OÜ, Creditstar Czech sro, Creditstar Spain SL, Creditstar Poland Sp. Z oo or Creditstar Finland OY. This originator currently has a “B” rating in Mintos.
Lendermaket Pay – Cash Withdrawals
Lendermarket allows us to withdraw our available balance at any time and from one euro, without charging any type of commission to the investor . Usually withdrawals are processed quickly and in one or two business days we will have the money back in our bank account.
Is Lendermarket Ltd safe? Risks and Regulation
Lendermarket is a company registered in Ireland since 2016 with registration number 585178 subject to the commercial laws of Ireland and Europe.
Like the rest of crowdlending platforms, investing in the operations of Lender Market can be a very profitable activity, but not without risks, some of which we indicate below:
+ Risk of lack of liquidity of our investments
+ Risk of non-payment of loans by borrowers
+ Bankruptcy risk of one of the originators
+ Bankruptcy risk of the platform
Ergonomics Lender market Web and Reports
The Lendermarkt website is very intuitive and simple to use , being suitable for browsing even for the newest in the world of crowdlending.
If we carry out the study of distance in clicks for the most common operations that we usually carry out, we obtain the following results:
★★★ 3 clicks to invest in one of its operations.
★★ 2 clicks to see the status of one of the loans in which we have invested.
★★★ 3 clicks to withdraw money.
Which is slightly better than the average of the crowdlending platforms analyzed. Bravo!
Lendermarket Limited Expected Real Annual Yield
✰ LenderMarket has an average gross return of approximately 12 % , right now with a fixed interest rate for all its operations.
✰ It does not present any type of commission for investing users, so no losses are expected in this regard.
✰ It is not expected to reduce long-term defaults (all loans have Buyback).
✰ The estimated annual average net profitability, so it is a 12% base minus (0)% of losses and commissions = 12% annual net for a well diversified long-term portfolio , which is slightly above the average platform Crowdlending evaluated on this website.
Lender market Taxation – Tax Withholding
Lendermarket does NOT practice any withholding of interest earned on its platform. It is our responsibility to declare them. Remember that crowdlending interests are taxed as movable capital yield. If in doubt, please consult with a tax advisor.
Lendermarket P2P Lending – Contact Information and Customer Service
Lendermarket has its physical offices in Dalkey, Ireland and makes a contact phone number available to all investors, which is +44 203 966 2222. It also has a support email that is firstname.lastname@example.org
In our experience, the Customer Service is excellent: fast and efficient, professionally answering any questions or queries we may have.
The Team behind the Company
Some of the best professionals in the Creditstar matrix work on the Lendermarket project. Here you have a nice corporate video with your team and offices
Is Lendermarket Crowd Lending reliable? Opinion Forums, Networks, Aggregators …
Being a newly created platform, there are still no significant opinions in the main aggregators. We will update this section when more information is available.
Our Personal Investment Strategy in Lender-Market
✰ Diversification is the key: We focus on Lendermarket as a crowdlending marketplace to use, prioritizing maximum diversification, investing in as many countries and available terms as possible, without any filter in our Autoinvest.
Opinion Lendermarket 2020 – Final Conclusion
“ LenderMarket is a new Irish crowdlending platform that brings together the 3 great qualities of every good marketplace worth its salt: short-term, total repurchase guarantee and very good profitability. Although it needs to increase its offer, it is undoubtedly a very interesting proposal to consider to complement our portfolio “
Advantages of Lendemarket – Strengths
➊ Crowdlending market oriented to the very short term (with maturities usually one month or less), which will provide great liquidity to our investments.
➋ 100% of loans issued with full Buy-Back Guarantee.
➌ Attractive profitability today, with an average of 12% in loans with Buyback.
➍ Despite being a new crowdlending marketplace, from the beginning it has the support and trust of a consolidated brand like Credistar.
Weaknesses and aspects to improve
➊ Lendermarket is a young company that is increasing its client and investor base. The performance of its long-term operations remains to be verified.
➋ More available supply volume is missing. We assume that it will tend to correct itself over time.
Alternatives to Lendermarket Review
In our opinion, in times when the profitability of the main crowdlending marketplaces starts to suffer a bit, Lendermarket is a good complement of support for consolidated platforms such as Mintos and company.
Do you want to have a space to comment and share your doubts and experiences about this Irish crowdlending platform?… Look no further! Here below we enable the Lendermarket Forum so you can express yourself and ask freely… Write us your comment! 🙂