As the Covid-19 pandemic continues to impact the UK economy, we wanted to update you on the current market conditions and how these may affect your LendingCrowd portfolio.
We expect that all of our new lending for the foreseeable future will be through the Coronavirus Business Interruption Loan Scheme (CBILS), which is only available to institutional lenders. We are working on the imminent launch of our CBILS loans, having been approved for accreditation by the British Business Bank.
A number of loans have recently been repaid in full ahead of schedule. As a result, lenders may have funds from these repayments sitting in their account, earning no interest. Lenders have the option to use our Loan Market to buy more loan parts, withdraw funds, or restart auto-investment so that our platform automatically purchases additional loan parts on their behalf.
Our secondary market, which enables lenders to buy and sell existing loan parts, remains active. Lenders with our Self Select accounts can hand-pick the loan parts they want to buy or sell, while those with our Growth or Income accounts can let our platform do the hard work for them – providing they have the auto-investment feature switched on. Many lenders have restarted this function, and it’s quick and simple to get going again.
With auto-investment switched off, Growth and Income account holders will see cash building up in their accounts as they receive their regular repayments. If lenders are happy for our platform to resume purchasing loan parts on their behalf as before, they can reactivate auto-investment by:
- Logging in to their LendingCrowd dashboard
- Choosing the account they want to change
- Selecting ‘Manage account’, then ‘Manage your repayments’
- Choosing Growth Mode or Income Mode to reactivate auto-investment
If you need any help to enable auto-investment, or you have any other questions, please email firstname.lastname@example.org or call 0345 564 1600.
On behalf of our community of borrowers, thank you to all our lenders for their continued support.