As announced some time ago, I decided to invest in peer-to-peer lending, also known as social lending.
I, therefore, decided to pay 1,000.00 Euros into my Smartika account, which I had already had since Zopa.
For me, it is not a little and I see that the ability of the Smartika system to absorb the loan is not exactly immediate.
Only a little more than 200 Euros have been lent to date, in about two weeks. In any case, I think that in a couple of months everything paid will be lent.
The gross return is about 6%, which obviously must be evaluated considering insolvencies, the cost of the platform (1%), and taxes.
Therefore, I do not think that I will be able to earn more than 4%, also considering the possibility of reinvesting the interest.
That’s why I look carefully at what some readers of the blog reported to me, namely Bondora, an Estonian social lending operator active since 2009 and which also allows Italian insurance investors to lend and therefore earn, while the platform still does not lend money in Italy.
The promised returns are very high, even 20%, and this makes me on the one hand very enticed, on the other very cautious.
I am therefore thinking of starting with a very minimal investment to understand how the platform works, which has some peculiarities compared to our local ones and which, given the market, theoretically exposes to greater risks of insolvency.
I am not familiar with Estonian supervisory regulations, but they may be less stringent than those of our country and therefore expose you to greater risks.
In any case, theoretically, there are no minimum investment limits and a minimum of 5 Euros can be lent.
Finally, I have not found many reviews online and this leaves me quite perplexed, however, I imagine that there are still few active Italians.
I will update you on this investment as well as update the one related to Smartika, perhaps dedicating a specific post on the subject and on the functioning of the Bondora platform, once I have full knowledge of it.
Of course, don’t hesitate to tell me about your peer-to-peer lending experience.
In particular, I would like to understand how active you are, how much you earn, on which platforms you operate.