Ablrate is a new p2p lending service that launched this month in the UK. Ablrate is short for asset backed lending rate, meaning each loan will be backed by an security. The management has long experience in aircraft financing and consequently the first loan on the platform is secured by an aircraft. This loan offers 10% interest p.a. (paid monthly).
International investors welcome
Ablrate is open to non-UK investors (except from the US). Investors are not charged a fee to lend. The minimum bid is 100 GBP (about 125 EUR). After I signed up I used Transferwise to transfer money to my Ablrate account to avoid high banking fees (instead of doing a direct bank wire since I know from experience that UK banks do deduct heavy fees on incoming international transfers).
The P2P Lending Marketplace
Ablrate will offer two types of loan listings. Fixed rate listings will close once the loan amount is fully funded (the first loan is a fixed rate offer). With auction offers the lenders will underbid each other with lower interest rates once the loan amount is reached until the auction term closes. Ablrate has a secondary market where investors will be able to buy and sell loan parts.
First loan listing. Comprehensive detail information is available on the platform after registration and authentication.
My first impression of the platform is good. Very much information is presented in the extensive FAQ, the lender brochure (see How It Works > For Investors > at bottom) and several videos which illustrate the process. I made my first bid and am now waiting on the loan request to fill for the next step. Continue reading