How is it possible to decrease the net annual yield when interest rates increase
Simultaneously with the increase in interest rates on investments, we have on Mintos an obvious decrease in net annual return.
It's an alogism.
I see the cause in the alarming increase in the volume of Pending payments and also those In Recovery.
I have a major concern that on Mintos we may reach situations where the volume of active investments will be less than "Pending Payments" plus "In Recovery".
Dear Mintos, your investitional platform is becaming more and more problematic and less attractive for Investors.
Dear Mintos team, the investors community need more comunication, transparency, less unsolved problems and real solutions for investor's money "in recovery" and "pending" !
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I believe that one of the bigger issues is that lots of companies don't offer loans, nor do they plan to do so, making Mintos unattractive for the credit companies.
Next problem about your lower annual net return even though you have higher average interest is, that like many others, we still have claims from companies that are potentially less eager to pay or just can't pay - got to say I don't know if Friday updates are just about loans and not claims in addition but my guess is that it is just about loans.
The loans, in fact have a bigger potential than the claims had in the long run. Give it enough time and I am pretty sure the loans can outperform the claims we used to have.
But for this more lending companies need to join the loans. It's for them also more profitable to make a package of claims. Like this they can lend money to more borrowers.
The 50€ per loan is bothering me though, because I need higher investments to reach them monthly but that's not the topic.
Also you're right about the struggle atm with for example ID Finance, yet they pay till now every month some money from pending payments.
Borrowers got problems paying back due to Inflation and other things, I assume. Without their payment, company can't send money to Mintos and Mintos can't give us the money.
Till end of year they have seemingly time to pay it all off...
Yet on other p2p Plattforms, people also pay back later than actually said. I assume it's right now a common problem
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Fabian Simon Walter, thank you for sharing your thoughts. Nevertheless, your first statement is not correct. In reality, the vast majority of lending companies available on Mintos have been already launched in the Notes setup. At the same time, it is true that, as you wrote, investing in Notes comes with many advantages. You can read more about the key benefits here.
We encourage you to follow closely our increasing Notes offer.
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