• BLender created a special SafeGuard fund to protect lenders’ money.
  • You can resell the loan balance through Re-Blend at any moment and get back the remaining of your SafeGuard fund payment.

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 to offer lenders maximum protection.


What is the purpose of the SafeGuard fund?
The SafeGuard fund was designed to protect lenders’ money should a borrower be unable to repay his/her loan.

Where does the money in the SafeGuard fund come from?
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 offered.

When am I eligible for payment from the SafeGuard fund?
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.

What is the designated percentage allocated to the safeguard fund?
Each lender and borrower designate a percentage of the loan, usually between 1 and 5 percent, based on the company’s estimated default likelihood.

What happens if the borrower decides to pay off the loan before its maturity date (early repayment)?
In this scenario, the Lender will receive a partial reimbursement, representing the relative duration of the loan, as long as there are funds in the SafeGuard Fund.

As a lender, in what cases would I be reimbursed for the money I deposited into the SafeGuard Fund?
A relative reimbursement for the money deposited to the SafeGuard Fund will be received in case the borrower has paid back the loan in full before the maturity date (early repayment), or if you sell your loan on Re-Blend. Both as long as there is a sufficient balance in the Safeguard Fund.
No reimbursement will be received for loans paid on the maturity date (no early repayment event).