Spain – Passive income

Spanish mortgage lender FIREOF has just launched on Mintos p2p lending marketplace

By MPI10th July 2018News, Peer-to-Peer LendingFIREOF, FIREOF DM, invest, loans, Mintos, mortgage lender, peer-to-peer lending, Spain, Special Purpose Vehicle, SPV

There are now even more investment opportunities in mortgage loans, as Spanish mortgage lender FIREOF Management (FIREOF) has just launched on the Mintos peer-to-peer lending marketplace. You can invest in its loans now and enjoy net returns of up to 8%.

Established in 2015, FIREOF is an asset secured lending business whose mission is to provide a financial bridge to Spanish consumers. FIREOF pursues a win-win relationship with their borrowers. The company is fully licensed and audited and it provides its credit products through established brokers.

FIREOF has a Special Purpose Vehicle (SPV) that will place its loans on Mintos, FIREOF DM. An SPV is a subsidiary company with an asset/liability structure and legal status that makes its obligations secure even if the parent company would experience financial difficulties. The SPV used for Mintos investors was incorporated in 2016, while the holding company has been operating in real estate lending since 2009. All loans and investments will be held by the FIREOF DM, while FIREOF will service the loans. FIREOF DM, the loan originator as a pure cashflow SPV, has no employees nor liabilities except from the assignments of Mintos investors and its own equity from its investors and shareholders. The SPV adds an extra layer of security for investors on Mintos.

“Our motivation is to democratise the mortgage financing business by offering the opportunity for small investors to access the biggest financial asset in the world. Currently, only large financial institutions can invest in this market, and they alone benefit from the fixed income secured by real estate collateral. We want to change this,” said FIREOF Managing Director Agustín Fernández Clemente.

The average Spain-issued mortgage loans from FIREOF on Mintos will be EUR 50 000 with a repayment period from one to five years, which will be paid in monthly instalments. The loan-to-value (LTV) ratio is not greater than 45%. The typical borrower is a middle class wealthy real estate owner with a need for short-term liquidity.

To keep its interests aligned with investors, FIREOF will maintain 15% of each loan placed on the marketplace. The loans will initially not be secured with a buyback guarantee.

As of June 30, 2018, FIREOF has an assets under management portfolio of EUR 25 million. The company has eight full-time highly qualified senior employees with a total experience of more than 100 years in the Spanish real estate lending business.

Mintos becomes a member of the Spanish Fintech and Insurtech Association

By MPI22nd February 2018News, Peer-to-Peer Lendingfintech, Mintos, Spain, Spanish Fintech and Insurtech Association

Mintos is now a member of the Spanish Fintech and Insurtech Association. The association aims to create a supportive environment for fintech and insurtech companies in Spain and strengthen the growth of the fintech industry.

The association achieves its goals through extensive research that leads to projects facilitating the creation of good practices in the industry and making it more dynamic. It is the voice of the fintech industry in Spain, and its goal is to achieve a more favourable regulatory framework that suits the demand of the modern environment and facilitates growth and development.

“We are proud to be a part of this community and to contribute to the development of the fintech industry in Spain. On Mintos, Spain is one of the target markets both in regards to investors and loan originators. Being a member of a dedicated association we will now be more involved in national events and the progress of Spanish fintech regulation. We are looking forward to the opportunities this partnership will facilitate,” says Martins Sulte, CEO and Co-founder of Mintos.

Currently, four loan originators on Mintos offer investment opportunities in consumer loans from Spain: Creditstar, Dindin, EuroOne and ID Finance. To date, around EUR 19 million has been invested in Spain-issued loans on Mintos.

The Mintos website is fully available in Spanish and Spanish-speaking investors can receive full customer support and communications in their native language.

EuroOne from Spain joins the Mintos p2p lending marketplace

By MPI29th November 2017News, Peer-to-Peer Lendingartificial intelligence, EuroOne, Mintos, peer-to-peer lending, Short-term loans, Spain

The Mintos marketplace welcomes EuroOne, a new loan originator from Spain. EuroOne offers to invest in short-term unsecured personal loans issued online under its NetCredit and LunaCredit brands.

“We are proud to be part of the Mintos marketplace. This is a great opportunity for investors, as EuroOne offers a valuable alternative for today’s underbanked segment in Europe. The vast experience of the management team with artificial intelligence gives EuroOne an advantage over its competitors, as we make smart decisions in real-time,” says Denis Kalinin, CEO of EuroOne.

EuroOne loans available for investment on the Mintos marketplace will range from EUR 300 to EUR 1 000, with a repayment period of up to 30 days. The average net annual return to investors will range from 11 to 13%. Initially, the loans will be listed on Mintos at an introductory rate of 13%.

EuroOne loans will be supplemented with a buyback guarantee covering loans delinquent for more than 60 days. EuroOne will keep at least 10% of each loan on the Mintos marketplace on its balance sheet.

EuroOne Group is an artificial intelligence company that builds financial solutions for underbanked consumers. It was established in March 2017 in Berlin. The company employs a multinational team consisting of 30 highly skilled employees working in offices in the United Kingdom, Germany and Spain.

To launch company operations in Spain, EuroOne purchased Rapido Finance SLU issuing short-term loans under the NetCredit brand in August 2017. The acquired subsidiary was established in 2016 and has issued 20,000 loans worth EUR 6 million to date.

EuroOne plans to gain significant market share in the region by expanding in Spain and entering new markets. The product portfolio of EuroOne currently includes short-term and personal loans, with more consumer products planned in the near future.

80% of EuroOne’s customer base comes from mobile. EuroOne customers are aged between 22-70 and earn between EUR 800 and EUR 2000 a month. Typically they borrow money to cover unexpected expenses, such as medical expenses, home repairs or helping family and friends.

EuroOne creates consumer finance loans by using sophisticated artificial intelligence techniques and tight scoring applications. EuroOne proprietary technology calculates the expected lifetime value (LTV) for each prospect by using hundreds of data points acquired from traditional and nontraditional sources, such as information from Internet browsers and telecom providers.