It is our aim to ensure that debtors repay their loans and on time. If a debtor is in arrears with a repayment instalment, we notify them immediately. In most cases where debtors fail to make an instalment on time, it is due to an oversight on their part.
However, in general, if after issuing a reminder, a debtor does not make payment, the loan is defaulted and passed to a collection agency who specialises in such matters.
Depending on the loan type, the debtor may have the option to repay the loan before its maturity date, in which case the debtor only pays the interest which accrued until the loan was repaid, and not the interest for the full loan term.
The debtor may also spread the loan over a longer term, or increase the amount borrowed.
If the debtor is 60 days in default, Ferratum will automatically refund the investor 100% of the unrepaid principal in the form of a special instalment called Buyback, and close the investment.
Instalments are distributed among investors in proportion to the investors´ shares. This amount is then credited to the investors´ investment account.
You can view a list of the instalments paid under My Investments.
Although through Basic Mode investors are able to invest in multiple loans simultaneously, investments are always made into individual loans.
Under My Investments, you see a full list of investments in individual loans, as well as view statistics for each loan.