Lendy repays £20m in October – breaks monthly record
Lendy – The Property Platform and one of Europe’s leading peer to peer secured lending platforms, has broken all previous records for loan repayments generated in any one month, recovering £20 million in total in October 2017 alone.
This exceeds its previous September 2016 high of £14.5 million. The record figure includes repayments on P2P loans on three caravan parks in Christchurch, Dorset, totalling £7.6 million and a Manchester mill of £1.35 million.
Lendy was launched in 2012 and is one of the fastest growing businesses in its sector, it now has over 18,000 users and investment lent to borrowers is now over £342 million. It has been profitable from the outset, delivering a £2.7million in profit before tax in 2016, growing only when resources allow, providing an extra level of reassurance to its investors.
Investing heavily in due diligence has been key to Lendy’s success. Its robust due diligence process includes a five-phase credit assessment overseen by its Credit Committee, to ensure the property being charged provides an adequate level of security for the total capital and interest costs due under the peer-to-peer loan contract and for the proposed term.
However, Lendy has taken an equally robust approach to investing in contingency planning to ensure that if problems arise, suitable recovery options are available. Its recovery strategy has included adding experienced personnel to its team, such as appointing a dedicated Portfolio and Debt Recovery Officer, James Crascall, in the summer. James is a lawyer with ten years’ experience working in the debt recovery teams of large, regional law firms, including Trethowans.
Liam Brooke, co-founder of Lendy, says:
“We are committed to having the best recovery processes in the P2P industry, to help protect investors’ hard-earned investments. This has been our best monthly performance to date, but we’re not stopping there. Our ambition is to be the most trusted P2P platform in the sector.
“Lendy’s success is based on two fundamental principles. We have long understood the importance of writing good loans, but we also know that it is just as crucial to have the right procedures in place if a loan does become impaired.”
Over the next few months, Lendy will continue to refine its due-diligence processes, working with the FCA on its full authorisation, and developing new features and processes to improve both the quality and liquidity of the available loans, or secondary market.