Best Biz P2P Loan Product

Investment Objective:

  • The product attempts to generate moderate risk adjusted returns by focusing exclusively on matured businesses.
  • It presents a unique feature for lenders to invest passively in a mix of borrowers thereby diversifying risks without compromising on returns.

Product Riskometer:

This product is suitable for lenders who are willing to:

  • Invest specifically in borrowers with matured business set-up
  • Take moderate risk

Standard Exclusions:

Following borrowers are excluded from this product:

  • Selected high risk profiles
  • Poor credit bureau score or recent defaults
  • Non-residents Indian
  • Age less than 21 years or more than 55 years
  • Borrowers without KYC documents

Product Performance Trend:

Matured business borrowers have delivered moderate net returns (post default) consistently over the last 5 qtrs.

Released from January 2018

Presenting the "Best Biz" P2P Loan Product:

Our historical data suggests that borrowers with business stability of more than 5 years belong to the low risk category and are consistent in their repayments and hence become a sure bet for lenders to invest. Currently, approximately 30-35% of borrowers funded on our platform have their old business set-up.

Product Summary:

  • Minimum investment amount is ₹30,000/-
  • Maximum investment amount is ₹10,00,000/-

To mitigate investor’s overall risk, Faircent will deploy this investment into various risk categories as follows. Also, investment per borrower will be limited to ₹1,500/- to ₹10,000/- depending on the borrower risk category.

  Minimal Risk Low Risk Medium Risk High Risk V. High risk Unrated
Distribution of investment 0-10% 10-25% 10-30% 10-25% 5-15% 0-10%

Lock-in and Re-investment option:

The repayments from this product will be automatically re-invested for a period of 12 months and cannot be withdrawn for 12 months. Post 12 months, you have an option to continue re-investment or make monthly withdrawals.

Investment simulation:

₹1 lakh invested in this product will deliver the following returns over 18-24 months.

Highest return% over last 5 qrtrs Avg. return% over last 5 qrtrs Lowest return% over last 5 qrtrs
₹1,39,500/- ₹1,33,500/- ₹1,30,000/-

Fees & charges:

Investment fees 1% of the investment amount
Collection / recovery fees As per terms on the website

Product Distribution:

Below charts give the distribution of all matured business borrowers on the platform on their bureau scores (based on their loan repayment history), their monthly income & their monthly fixed obligation to income ratio.

Register at www.faircent.in to start investing today.

Disclaimers:

  • All information stated above is updated as of Jan’18 unless otherwise stated. The trends provided above are purely for information and being dynamic are true as of the date of publishing but can change immediately thereafter.
  • Product returns are historic and Faircent doesn’t provide any guarantee of these returns in the future. Faircent will perform risk management activities to maintain returns in the acceptable range but it is possible that lenders may even lose principle amount in case defaults are too high.
  • Investment made in the product may get invested over a period of time depending on the amount of investment. Interest will start accruing only when the amount is disbursed to the respective borrowers on the platform.
  • By investing in this product, lenders authorize Faircent to send funding proposals on their behalf to borrowers meeting the investment criteria. As per applicable regulations, legal agreements will be between the lenders and individual borrowers who receive the invested funds.
  • Monthly re-investment will be made to borrowers meeting the product’s investment criteria at the point of re-investment.
  • Loan repayments after 12 months will be made on a monthly basis in the lender escrow account; lenders can withdraw the funds from the escrow account or place a request to re-invest these.
  • Reserve Bank of India does not accept any responsibility for the correctness of any of the statements or representations made or opinions expressed by Fairassets Technologies India Pvt Ltd. (Faircent.com), and does not provide any assurance for repayment of the loans lent on it.