Can somebody please explain to me how the investment terms are matched with incoming loan requests?
When I enter an interest amount and an investment amount, is my investment term then also able to bid on loan requests with higher rates?
creditguru
When I enter an interest amount and an investment amount, is my investment term then also able to bid on loan requests with higher rates?
Yes, but you will only get the interest rate that you proposed.
Oldboy
But this can't be true, because a friend of mine got one time a higher interest than entered in the investment term.
Please only give an answer if you're sure.
creditguru
Please only give an answer if you're sure.
If the borrower has submitted a loan application (not the automatic one), with a higher interest for example 45%, you the investor have investment terms set for lower interest, then your investment can go automatically in to the loan with higher interest (borrower set 45%).
vlk494
Thank you so far.
So, if I set an investment term with 42% interest and a borrower submits a loan application with 45% and my investments goes into the loan, do I get the 42% or the 45% (I know that I can only get the “loan interest” and not the “total interest”)?
The question is rather, can I get a higher interest rate as set with my investment term?
And what is ment by “automatic one”?
creditguru
So, if I set an investment term with 42% interest and a borrower submits a loan application with 45% and my investments goes into the loan, do I get the 42% or the 45% (I know that I can only get the “loan interest” and not the “total interest”)?
The question is rather, can I get a higher interest rate as set with my investment term?
And what is ment by “automatic one”?
There are 2 ways for borrowing money one is automatic, that means borrower sets loan term and amount and system automatically makes loan offer, interest is determined by investment profiles, at first system adds lower interest investments, but in order to fulfill whole loan is forced to add some higher interest investments.
Now borrower can choose if he wants to take the loan or leave application on-hold (hoping to get better interest or if the system did not found the whole amount). If he chooses to leave application on hold he can also edit the interest. You can see all the application on-hold “Invest” - “Loan applications”.
Now the system again finds lower interest investments, less than or equal to the borrower set interest, but all of those investment go in to loan with the borrower set higher interest. Rest of the loan is fulfilled manually.
For example: you have investment terms set at 30%, borrower leaves application on-hold with 40% interest, your investment goes in to the loan with 40% interest, not the 30%.
(Using you example your investment goes in to the loan with borrower set 45, so yes you can get higher interest rates)
vlk494
Now borrower can choose if he wants to take the loan or leave application on-hold (hoping to get better interest or if the system did not found the whole amount). If he chooses to leave application on hold he can also edit the interest. You can see all the application on-hold “Invest” - “Loan applications”.
Now the system again finds lower interest investments, less than or equal to the borrower set interest, but all of those investment go in to loan with the borrower set higher interest. Rest of the loan is fulfilled manually.
For example: you have investment terms set at 30%, borrower leaves application on-hold with 40% interest, your investment goes in to the loan with 40% interest, not the 30%.
(Using you example your investment goes in to the loan with borrower set 45, so yes you can get higher interest rates)
Thank you very much. Now everything is clear.
creditguru