During the signup process we will offer you to activate the AutoBlend (Premium Track), that way, you’ll be able to continuously lend the funds that accrue in your BLender account and receive the principal and interest payments on them. You can log into your account at any time and disable (or enable) it.
BLender created a SafeGuard fund to protect lenders should a borrower be unable to repay his/her loan for whatever reason.
The fund, which is not-for-profit, is funded from a designated percentage of each loan and is held to offer lenders maximum protection. (For more information see the funds rules and regulations on the SafeGuard fund page.)
As soon as your money is transferred to the borrowers, they will begin to pay you back in monthly installments.
The money in the SafeGuard fund comes from a designated percentage of each loan and is presented to the lender and borrower when the loan is generated.
A lender is eligible for a SafeGuard Fund payment if and when a borrower defaults on four consecutive payments and there is a sufficient balance in the SafeGuard Fund.
If this is the case, the SafeGuard Fund will repay the principal of the last four monthly payments in question, and the fifth one. From now on, the lender will be paid the designated monthly payment (the principal) at the end of each month until the loan’s maturity.
Each lender and borrower allocates a designated percentage of the principal of the actual loan given, usually between 1 and 5 percent, based on the company’s estimated default likelihood.
BLender manages the SafeGuard fund.
The lender receives a payment in accordance with the balance of his/her SafeGuard fund allocation as long as there is a sufficient balance in the SafeGuard fund.
You may withdraw the available money in your BLender account at any given moment. Check “Withdraw Money” on the “Lender Administration” page to see how much is available to be withdrawn.
Report the interest earned, which is detailed in the report you receive each month by e-mail, to your accountant.
