Ablrate is the world’s first peer lending platform to offer transactions in aircraft leasing and continue to innovate the platform. The company have just launched their instant returns facility on a 200,000 loan backed by an ATR 72-202 aircraft.
The Instant Returns feature allows investors in the loan to begin accruing interest on their loan from the day they make their bid. This interest is credited to the lender’s account upon the drawdown of the loan.
The feature was implemented after feedback from customers of the company who have been concerned that they commit their money to bids on other platforms and are not assured of a return until the loan in question draws down. There are instances on other platforms where loans do not draw down and this then creates a drag on the client’s returns on these platforms. Loans on some platforms can take up to two months to draw down. When added to the time it takes to fill a loan, early bidders could be losing out on three months of interest.
David Bradley-Ward of Ablrate said “We have received fabulous feedback from lenders and continue to implement some of their suggestions, the Instant Returns feature is one of those. The frustrations at having long void periods is being felt by many investors in the peer lending industry and we wanted to create something that tackled this”.
Not all loans will have the feature as it would be impractical for Dutch auction based loans to carry the feature and also where the loan needs to be filled before a transaction can take place, as the closing of the loan is unknown. However, where the loan will definitely be drawn down the feature will be enabled as it will if a borrower is looking to make the loan more attractive and wants it filling quickly.
This feature is just one of the upgrades being made to the Ablrate platform. Bradley-Ward adds “We have some great functionality on the Secondary Market but we wanted to make the output information much more comprehensive, so this will be in the next update in ten days time. We aim to constantly enhance the user experience, the Instant Returns feature is just the start”.
The Instant Returns feature will also be used with more products, Ablrate are working on savings products where an investor can deposit funds and have the loans automatically allocated to loans for a specific period of time 1 year, 2 years and 5 years for a fixed return that aims to be very attractive compared to regular savings accounts. Ablrate are in consultation with their advisors to create a suitable product that will be compliant with FCA rules, simple to understand and easy to invest in.
Ablrate continues to innovate in the peer lending space and has many updates for the user interface coming over the coming weeks and months.
Ablrate launched the worlds first asset backed peer to peer lending platform dealing primarily in aircraft deals. It allows investors for the first time to invest in aircraft transactions with high ROI\\’s.
Ablrate strives to be the global leader in asset backed lending against aircraft and other quality assets. Our purpose is to enable individuals and businesses to manage their own financial risk and returns. Helping our clients succeed and get a better, fairer deal in the world\\’s rapidly evolving financial markets. Our mission is to be the best in the eyes of our clients, employees and shareholders. For more information go to www.ablrate.com