Homepage
PR Newswire
I believe that crowdfunding returns is highly dependent on the quality of the underwriting of the platform. Thus far, I have invested in MoolahSense, Funding Societies and Capital Match. MoolahSense is undoubtedly the champion of poor underwriting.
Have invested in 60 campaigns in MoolahSense since last year. Out of which, 9 fully repaid and 8 defaulted, which puts the default rate at 47%. Amongst the remaining loans, 10 are stressed (more than 45 days late) and another 4 are late, which puts the non-performing loans at 33% for the remainder. Hence, agree with the analysis that diversifying does nothing, especially if you are investing via a platform with poor underwriting standards.
Comparatively, I have invested in 46 campaigns via Funding Societies. While not exactly apples to apples when comparing against MoolahSense as I did more invoice financing on FS, 22 borrowers have fully repaid and another 24 loans are still ongoing (with 100% of repayments on time so far). Clean sheet with 0% default rate.
Have invested in 60 campaigns in MoolahSense since last year. Out of which, 9 fully repaid and 8 defaulted, which puts the default rate at 47%. Amongst the remaining loans, 10 are stressed (more than 45 days late) and another 4 are late, which puts the non-performing loans at 33% for the remainder. Hence, agree with the analysis that diversifying does nothing, especially if you are investing via a platform with poor underwriting standards.
Comparatively, I have invested in 46 campaigns via Funding Societies. While not exactly apples to apples when comparing against MoolahSense as I did more invoice financing on FS, 22 borrowers have fully repaid and another 24 loans are still ongoing (with 100% of repayments on time so far). Clean sheet with 0% default rate.