Summary of returns March 2020

Finishing the first quarter of this year with a post of yields for March 2020. These are times of self reflection and isolation and for me this is no exception. This is how the returns for the past month look like.

* – not counted in total income due to reasonable doubt of Grupeer’s future.

Thank you all who are beginning their journey by using links from my blog. I am truly thankful for your support. Please note that by the end of the March I decided to withdraw from platforms. You can read about status below.

On a side note. Even though I removed affiliate links for Fast Invest right after stopping with them, I can see that somebody might still be invested. I really hope this post reaches her/him and helps to make the right decision.

The total yields from investments last month is 29.12 EUR.

Highlights of March 2020

As mentioned, last month I decided to withdraw from P2P and P2B and wait for more stable time to join back in.

Decision was partly fueled by all the disappointing news about Grupeer and Monethera.

Secondary market fee for Mintos

From 13.04.2020 Mintos will introduce a fee for placing loans on the secondary market. 0.85% of loan volume should be withheld for seller once the loan is sold.

I believe this is a strategy which other platforms could see as an example. Let us wait and see.

Mintos’ updates on suspended loan originators and pending payments

Firstly, Mintos announced to update investors about suspended lending companies on a monthly basis.

Secondly, they will update on pending payment status on a weekly basis.

To be honest these are better news than the secondary market fee.

Significant increase of mails from various platforms

During this time I received about 2x the mails I usually receive. Mails are related to requests and information around certain platform promotions and cashbacks. Also related to handling the economic downturn by specific platforms and loan originators.

In my opinion this underlines the current uncertainty in the P2P and P2B market.

Growing number of emails

Status of the sell off

Would like to add some figures related to status for selling my loans on different platforms.

For all three platforms I have set all my loans on sale on 28.03.2020 at par value. Reporting the status as of 04.04.2020. Loans are put on the secondary market for 7 days now.

Mintos

I sold 3 loans with total value of 24.57 EUR.

Total free funds of 97.49 EUR.

Did no withdrawals yet due to no possibility to do a withdrawal via Revolut. Will withdraw in batches to avoid multiple transaction costs. However, this is costly. One withdrawal costs around 2.50 EUR per transaction because my target account is in DKK.

Viventor

I have successfully sold 0 EUR of loans.

On 29.03.2020 a larger chunk of loans matured allowing me to withdraw 136.60 EUR via Revolut.

Must mention that there was a slight delay in withdrawal – requested on 29.03.2020 and arrived in 03.04.2020 (5 work days).

Twino

In this case I sold most of my loans – 677.71 EUR.

First withdrawal of 436.36 EUR came within 4 work days. Now waiting for the subsequent withdrawal. Worth to note that Twino allows only one ongoing withdrawal transaction at a time.

Blocking Twino withdrawal
When trying to withdraw available funds before ongoing transaction is completed – window shows previously requested amount

Mostly ended up with Payment Guarantee loans. Drawback of them is that they are not appealing in the secondary market because you bind yourself for the whole loan term. Or maybe people are not familiar with the Twino’s term.

In Twino I am left with 401.90 EUR invested.

Conclusions about platform liquidity

Clearly the easiest sells were on Twino (677.71 EUR). Mintos (24.57 EUR) taking second place and Viventor taking the third with 0 EUR being sold during the first week.

Selling loans on secondary market - after 7 days

Currently, I did not change my mind about keeping sells at par value.

Summary

Platform secondary markets in uncertain times provides possibility to sell your investments, however, performance differs – Twino being by far most liquid. I will take this experience with me when taking the decision for where to invest when situation settles.

I hope you are all good, thank you taking your time and I also hope that we see the end of this lockout during the next quarter.

Stay healthy – physically and mentally!

2 comments

    1. Hey Lucas! Thank you, I do spend on Google ads, but the impression share of all the ads shown is tiny.

      Looking forward for your March update. Especially for the e-shop to see if you were right about the prediction.

      Kindly,
      Janis

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