Mintos (P2P Lending Platform)

at9qu5vp0wcix7 · 28-04-2016 8:48pm #1

Due to popular demand, a Mintos discussion thread.

dingdong1234567 · 28-04-2016 8:52pm

Regarding the auto invest function on Mintos. How long after one sets up their investment profile does it take to start 'auto investing'.?

ShoulderChip · 28-04-2016 8:55pm

dingdong1234567 wrote: »

Regarding the auto invest function on Mintos. How long after one sets up their investment profile does it take to start 'auto investing'.?

I did it before I got on the tube on the way to Heathrow, twenty minutes into the journey I had autoinvested 1k with a max of 30 euro per loan, minimum rate of 12% and the loan buy back guarantee only

at9qu5vp0wcix7 · 28-04-2016 9:08pm

The current trend is a decrease in business loan and mortgage interest rates, with everything else increasing. Personal Loans for 1-4 months @ 12.5-13.5% interest is great, especially with buy-back. I've been allocating about 60% of my portfolio to the short term loans , as I am very active in managing my account. If I instantly re-invest, my annual return should be around 13.5-15%.

scheister · 28-04-2016 9:19pm

dingdong1234567 wrote: »

Regarding the auto invest function on Mintos. How long after one sets up their investment profile does it take to start 'auto investing'.?

I set up the auto invest while waiting on funds to transfer into the account time I got email to say funds where in account. Auto invest had already used them

TheSheriff · 28-04-2016 9:21pm

Leon Melted Tap-dancer wrote: »

The current trend is a decrease in business loan and mortgage interest rates, with everything else increasing. Personal Loans for 1-4 months @ 12.5-13.5% interest is great, especially with buy-back. I've been allocating about 60% of my portfolio to the short term loans , as I am very active in managing my account. If I instantly re-invest, my annual return should be around 13.5-15%.

What kind of value do you leave for the LTV value for your autoinvest portfolio? Im not 100% sure on this aspect.

Wheety · 28-04-2016 9:31pm

I've been going with 70% LTV. I've only started though. I had autoinvest set up but I've started looking after my own now.

at9qu5vp0wcix7 · 28-04-2016 9:34pm

TheSheriff wrote: »

What kind of value do you leave for the LTV value for your autoinvest portfolio? Im not 100% sure on this aspect.

It depends on the risk you want to take. For me, merely having property/assets as a guarantee for the loan is a good. I would stay away from an LTV of ~70% or above. In my mind, if assets are liquidated, you will not achieve much more than this % of their market value.

I'm very new to this, there will be far more experienced lenders on here who will have a much better answer.

TheSheriff · 28-04-2016 9:42pm

OK thank you, its a starting point. Also very new to it, at least tough it allows for relatively instant investment compared to linked!

newacc2015 · 28-04-2016 11:06pm

Leon Melted Tap-dancer wrote: »

The current trend is a decrease in business loan and mortgage interest rates, with everything else increasing. Personal Loans for 1-4 months @ 12.5-13.5% interest is great, especially with buy-back. I've been allocating about 60% of my portfolio to the short term loans , as I am very active in managing my account. If I instantly re-invest, my annual return should be around 13.5-15%.

It varies from month to month. There is a fair amount of new mortgages listed this week in excess of 13.5%. Non-bank money lenders I believe are benefiting from the dysfunctional nature of banking in these countries. Mintos stats show there is an increase in mortgage interest rates this month

One thing to consider with Mintos is that loans can be 'late'. They are not in default, the lender just hasnt passed on money to Mintos to pay for the end of the loan. I have one €10 personal loan sitting there as 'late' for the last 3 days. Mintos said it can take up to 4 days for a loan to be settled.

dingdong1234567 · 29-04-2016 6:45pm

Tried setting up auto invest profile and set an LTV value @70% and nothing was happening IE no investments where being made. So I queried this with Mintos, they state that I cannot set an LTV value as the primary market does not have any loans with this therefore I had to remove the 70% LTV altogether and it worked.

What's the point of setting an LTV value if it cannot be used? Am I missing something completely abvious here?!?!. I checked the list of loans with the above and there where loads..........

Anyone else experience this?

Wheety · 29-04-2016 10:58pm

dingdong1234567 wrote: »

Tried setting up auto invest profile and set an LTV value @70% and nothing was happening IE no investments where being made. So I queried this with Mintos, they state that I cannot set an LTV value as the primary market does not have any loans with this therefore I had to remove the 70% LTV altogether and it worked.

What's the point of setting an LTV value if it cannot be used? Am I missing something completely abvious here?!?!. I checked the list of loans with the above and there where loads..........

Anyone else experience this?

I had auto invest set up with LTV of 70% and I had a couple of investments. It wasn't moving fast so I just did it myself in around 10 minutes.

JTMan · 30-04-2016 9:15am

I am going with 80% LTV rather than 70% LTV. Generally, defaults in lending occur in the 80-100% LTV bracket.

There are far more loans in the secondary market rather than the primary market. Does auto invest work with the secondary market?

at9qu5vp0wcix7 · 30-04-2016 9:31am

JTMan wrote: »

I am going with 80% LTV rather than 70% LTV. Generally, defaults in lending occur in the 80-100% LTV bracket.

There are far more loans in the secondary market rather than the primary market. Does auto invest work with the secondary market?

I think this is because the largest investors use auto-invest (which favours larger accounts from what I've seen on other forums), and then immediately put their investments up on the secondary market, gives them a quick turn-around. Some people are getting annual growth rates of ~20% with this technique.

Of course the other reason many loans are simply sitting on the secondary market for what seems like forever is the fact that many of those loans are late. I have noticed that any longer term loans which have a history of repayment tend to get snapped up very quickly.

Wheety · 30-04-2016 11:49am

Leon Melted Tap-dancer wrote: »

I think this is because the largest investors use auto-invest (which favours larger accounts from what I've seen on other forums), and then immediately put their investments up on the secondary market, gives them a quick turn-around. Some people are getting annual growth rates of ~20% with this technique.

Of course the other reason many loans are simply sitting on the secondary market for what seems like forever is the fact that many of those loans are late. I have noticed that any longer term loans which have a history of repayment tend to get snapped up very quickly.

How are people making money that way? Is it to do with selling loans with a premium?

at9qu5vp0wcix7 · 30-04-2016 12:40pm

Wheety wrote: »

How are people making money that way? Is it to do with selling loans with a premium?

Yeah. Mintos do charge a fee when you sell on the secondary market (1% afaik), but everything else on top of that is yours. Potentially months or even years worth of interest in the matter of a few hours/days, which you can then reinvest.

Wheety · 30-04-2016 2:16pm

I've put a few loans on the secondary market at a fairly hefty premium. Not expecting them to sell but we'll see. The loans are all current so I don't mind just taking the interest from them as normal.

Chiarrai92 · 02-05-2016 12:09am

Hey im completely new to p2p lending im just wondering how does mintos work out taxwise? I know with linked finance you pay income tax on it, but is it diferent when the company is based overseas?

Also has anyone had any issues withdrawing money from mintos?

Tar.Aldarion · 02-05-2016 1:08am

Signed up to mintos, finding there is not much of interest any more on linkedfinance /sub

topping up being slow is a bit annoying

scheister · 02-05-2016 2:01pm

Chiarrai92 wrote: »

Hey im completely new to p2p lending im just wondering how does mintos work out taxwise? I know with linked finance you pay income tax on it, but is it diferent when the company is based overseas?

Also has anyone had any issues withdrawing money from mintos?

would be to do with your status not the company. If your Irish resident,ordinary resident (resident in Ireland last 3 years at least) and born Irish. You taxable on worldwide income.

at9qu5vp0wcix7 · 03-05-2016 7:06pm

Every single late loan I have is from Latvia, be it Mortgage or Personal Loans. Anybody else noticing similar trends?

Katawalah · 04-05-2016 10:04pm

Hi all,

I'm new to this forum, but have been following some threads for a while now with some interest (especially the LF thread), and I'd like to share my experience as well.

I started using Mintos 2 months ago to diversify my investments and because LF slowly disappoints me more and more. Mintos seems a great alternative, and I am really happy with it so far. The website is very clear and user-friendly, I also like to receive the daily summary every morning, and the rates are really attractive.

So, I invested 1K 2 months ago. Auto Invest set up and works fine. At the beginning, the Auto Invest was investing in long term loans (68 months), then I modified it to invest in short to mid-term loans.

My Auto Invest is set up for : 10€ in loans between 10% and 15% with a maximum period of 16 month and a buy-back guarantee.

My loan portfolio has loans ranging from 10.5% to 13.5%. So far the Net Annual Return is 12.14%, and I've made 14.48€ in just over 2 months. So, not bad, but not outperforming either.

After this long introduction, I am also curious about the late repayments topic and have some questions about it.

Leon Melted Tap-dancer wrote: »

Every single late loan I have is from Latvia, be it Mortgage or Personal Loans. Anybody else noticing similar trends?

On my dashboard, I see 17 late loans :

1-15 days late 11
16-30 days late 3
31-60 days late 3

However, when I check the My investments tab and the next repayments dates, I find only 9 late loans : 8 are Personal loans from Georgia (Cream Finance) and 1 is an invoice financing from Latvia. So, not sure what the other 8 late loans are. Does anyone have an idea why the number of late loans is not the same on both pages?

Do you know how the interests are calculated on rebuy for late repayments? Most of the time, the buy-back guarantee rebuys the principal invested and gives some interest. But, I've seen a couple of times the principal being bought back without interest at all. Do you know why in some cases there is no interest given?

Wheety wrote: »

I've put a few loans on the secondary market at a fairly hefty premium. Not expecting them to sell but we'll see. The loans are all current so I don't mind just taking the interest from them as normal.

I get the idea of selling a loan with a premium, but I don't see the point of buying a loan at a higher price than the original loan. If the loan is at i.e. 12% and sold with a 2% premium, you would actually get only 10% interests on the remaining loan term. But, there are loads of loans with at least 10% on the primary market which can do the job.

Could someone explain the benefits of the Secondary market please?

Wheety · 04-05-2016 10:26pm

Katawalah wrote: »

I get the idea of selling a loan with a premium, but I don't see the point of buying a loan at a higher price than the original loan. If the loan is at i.e. 12% and sold with a 2% premium, you would actually get only 10% interests on the remaining loan term. But, there are loads of loans with at least 10% on the primary market which can do the job.

Could someone explain the benefits of the Secondary market please?

Yeah, my loans didn't sell

I don't know why anyone would buy them at a premium when there are so many in the Primary market.

Roonbox · 04-05-2016 10:47pm

I never heard of this site until now. Just had a quick look at their website.
Am I right in saying there is no protection if somebody decides to default on a loan you have invested in?

Wheety · 04-05-2016 10:50pm

You can invest in loans with a buy back guarantee where the loan originator will buy the loan back if it is 60+ days overdue.

It seems that in some cases you get a late payment fee but not in others.

tomwaits48 · 05-05-2016 9:21am

Wheety wrote: »

You can invest in loans with a buy back guarantee where the loan originator will buy the loan back if it is 60+ days overdue.

It seems that in some cases you get a late payment fee but not in others.

so is it fair to say there is effectively zero risk? seems too good to be true!

I've set up an account but still a little cautious. At least with Linked Finance I can call over to their office if ever I needed too...

Wheety · 05-05-2016 10:40am

tomwaits48 wrote: »

so is it fair to say there is effectively zero risk? seems too good to be true!

I've set up an account but still a little cautious. At least with Linked Finance I can call over to their office if ever I needed too...

I'm not going to tell you there's no risk. What happens if the loan originator or Mintos themselves go bust?

But it is a way of mitigating some of the risk.

I think you can get higher rates if you go for a loan without the guarantee.

at9qu5vp0wcix7 · 05-05-2016 12:21pm

Katawalah wrote: »

Hi all,

I'm new to this forum, but have been following some threads for a while now with some interest (especially the LF thread), and I'd like to share my experience as well.

I started using Mintos 2 months ago to diversify my investments and because LF slowly disappoints me more and more. Mintos seems a great alternative, and I am really happy with it so far. The website is very clear and user-friendly, I also like to receive the daily summary every morning, and the rates are really attractive.

So, I invested 1K 2 months ago. Auto Invest set up and works fine. At the beginning, the Auto Invest was investing in long term loans (68 months), then I modified it to invest in short to mid-term loans.

My Auto Invest is set up for : 10€ in loans between 10% and 15% with a maximum period of 16 month and a buy-back guarantee.

My loan portfolio has loans ranging from 10.5% to 13.5%. So far the Net Annual Return is 12.14%, and I've made 14.48€ in just over 2 months. So, not bad, but not outperforming either.

After this long introduction, I am also curious about the late repayments topic and have some questions about it.

On my dashboard, I see 17 late loans :

1-15 days late 11
16-30 days late 3
31-60 days late 3

However, when I check the My investments tab and the next repayments dates, I find only 9 late loans : 8 are Personal loans from Georgia (Cream Finance) and 1 is an invoice financing from Latvia. So, not sure what the other 8 late loans are. Does anyone have an idea why the number of late loans is not the same on both pages?

Do you know how the interests are calculated on rebuy for late repayments? Most of the time, the buy-back guarantee rebuys the principal invested and gives some interest. But, I've seen a couple of times the principal being bought back without interest at all. Do you know why in some cases there is no interest given?

I get the idea of selling a loan with a premium, but I don't see the point of buying a loan at a higher price than the original loan. If the loan is at i.e. 12% and sold with a 2% premium, you would actually get only 10% interests on the remaining loan term. But, there are loads of loans with at least 10% on the primary market which can do the job.

Could someone explain the benefits of the Secondary market please?

Loans which have more than 1 scheduled payment date will not show up on the my investments 'next payment' descending column. Instead, they consider the next expected payment to be bundled in with the next scheduled payment.

Example: A 1 month loan, the payment deadline is passed - this will show up with no scheduled payment date in the 'My Investments' tab.

Example: A 4 month loan, the payment deadline for the first payment is passed. The 'My Investments' tab automatically predicts the next payment to be the second scheduled payment (i.e. one month after the first).

I am not 100%, but I think late payment fees vary between originators. They are charged at the same rate as the loan afaik. So a 30 day loan that is 15 days late, ends up paying the equivalent of 15 days interest as a late payment fee.

As for buying on the secondary market - historically better interest rates were available. Even with a premium, it allows you to buy into loans which offer better returns. It also allows you to buy into loan types and countries which are more reliable. For me, the biggest advantage of buying into a loan which has already commenced (on the primary or secondary market) is that you have a history of punctual payments made already, an indicator that the loan is healthy and will be repaid in full and on time.

Wheety · 05-05-2016 10:40pm

4 of my loans are now 1-15 days late. They are all Latvian. Anyone else had this? Did they pay eventually?

at9qu5vp0wcix7 · 05-05-2016 11:51pm

Wheety wrote: »

4 of my loans are now 1-15 days late. They are all Latvian. Anyone else had this? Did they pay eventually?

Yup, I mentioned it earlier on the page. Every one of my late loans is Latvian. They usually pay, often with late payment fees. 60 days or more and the buyback guarantee will kick in (for loans which have this).

newacc2015 · 06-05-2016 12:16am

Wheety wrote: »

I'm not going to tell you there's no risk. What happens if the loan originator or Mintos themselves go bust?

But it is a way of mitigating some of the risk.

I think you can get higher rates if you go for a loan without the guarantee.

A lot of the lenders are back by massive investment funds eg cream finance. Mintos has received a decent injection from a fund as an investment. I think the contracts are between you and the lender. Minots is just the intermediater. Plus they state the funds are kept in a separate account

lcwill · 08-05-2016 8:49am

Leon Melted Tap-dancer wrote: »

Every single late loan I have is from Latvia, be it Mortgage or Personal Loans. Anybody else noticing similar trends?

Most of my late loans seem to be car loans from Lithuania. All guaranteed though so once they hit 60 days they are bought back.

letitroll · 08-05-2016 8:54am

Anybody care to share whats considered best return auto-invest filter settings for Mintos before I set it up

Plenty of best in class filters for American equivalents Lending Club etc.

newacc2015 · 08-05-2016 10:58pm

letitroll wrote: »

Anybody care to share whats considered best return auto-invest filter settings for Mintos before I set it up

Plenty of best in class filters for American equivalents Lending Club etc.

Pick loans that are 'current' ie not late. I choose ones with buy back, interest in excess of 12.5% ( which ends up being car loans, personal loans and mortgages). I choose the buy back option. I choose a max of €10-15 per investment and max 24 months as Ill probably pull my money out around then

Banknote loans are pretty good choice IMO, as they are secured against the borrowers property

at9qu5vp0wcix7 · 08-05-2016 11:47pm

newacc2015 wrote: »

Pick loans that are 'current' ie not late. I choose ones with buy back, interest in excess of 12.5% ( which ends up being car loans, personal loans and mortgages). I choose the buy back option. I choose a max of €10-15 per investment and max 24 months as Ill probably pull my money out around then

Banknote loans are pretty good choice IMO, as they are secured against the borrowers property

Very few loans fitting that criteria right now - loans with those parameters usually are a lot longer than 72 months. Still a sound strategy however.

at9qu5vp0wcix7 · 09-05-2016 1:16pm

A 250k Mortgage just popped up (LTV=50%). 15% interest rate, 6 month long, interest only and then a 253k balloon payment. Crazy loan, not sure if it would be really smart or idiotic to put a good chunk into it.
https://www.mintos.com/en/19224-02

Wheety · 09-05-2016 1:24pm

Why are the mortgage rates so high? Was it like that in Ireland in the 80s? I did hear of huge interest rates in the 80s.

scheister · 10-05-2016 1:25pm

Just looking at my account. Company due to pay €500 on May 1st. Only paid 35 cent of it so far

at9qu5vp0wcix7 · 10-05-2016 1:28pm

scheister wrote: »

Just looking at my account. Company due to pay €500 on May 1st. Only paid 35 cent of it so far

Sometimes with the Invoice Financing the interest comes well before everything else. That's a lot to have on a single loan :eek:

scheister · 10-05-2016 1:32pm

Leon Melted Tap-dancer wrote: »

Sometimes with the Invoice Financing the interest comes well before everything else. That's a lot to have on a single loan :eek:

500 is payment to all investors not just me. Atm my max investment is €20 per loan

at9qu5vp0wcix7 · 10-05-2016 1:46pm

scheister wrote: »

500 is payment to all investors not just me. Atm my max investment is €20 per loan

That makes more sense. Well if it's anything to you - I had a similar experience on an invoice loan recently. I got interest, 10 days later I got my principal, delayed interest and a delayed payment fee - all at 14%.

lawlolawl · 31-05-2016 6:04pm

So, i threw a few hundred into Mintos, Twino and Bondora as a tester earlier on today (will probably put in a good bit more if things work out) and i know i'll only be earning pennies but i'm just curious as to how taxation of any income i earn on loans will be handled?

I'm a PAYE worker so do i just submit it as another income through the revenues online thing when the time comes?

I'm new to this investment lark, as might be obvious

Chiarrai92 · 31-05-2016 7:45pm

They were discussing p2p taxation on the linked finance thread only 1-2 days ago.
i believe its the exact same taxwise for mintos.
I assume for me il print off the monthly statements and send em off to the account at the end of the year! Hel know what to do i hope

scheister · 01-06-2016 9:01am

Chiarrai92 wrote: »

They were discussing p2p taxation on the linked finance thread only 1-2 days ago.
i believe its the exact same taxwise for mintos.
I assume for me il print off the monthly statements and send em off to the account at the end of the year! Hel know what to do i hope

Would not even have to be monthly annual will do. Filing a form 11 or 12 is whats needed depending if its a small amount or your not

traprunner · 01-06-2016 9:54am

scheister wrote: »

Would not even have to be monthly annual will do. Filing a form 11 or 12 is whats needed depending if its a small amount or your not

If re-investing continuously and the money remained within Mintos, would this still be the case?

scheister · 01-06-2016 1:29pm

traprunner wrote: »

If re-investing continuously and the money remained within Mintos, would this still be the case?

the tax will be due based on when the interest is paid.
So if you decided to withdraw or reinvest the interest will not matter from a tax point of view

ChartAccount · 04-06-2016 12:53pm

scheister wrote: »

the tax will be due based on when the interest is paid.
So if you decided to withdraw or reinvest the interest will not matter from a tax point of view

Hey Scheister..I sent you a pm any chance we can talk about helping me out with notes thanks

lawlolawl · 09-06-2016 4:09pm

It would appear that the tax on any interest earned is charged at the marginal rate (41% for me).

So i'm going to be taxed 41% on money invested that was already taxed at 41%

The Irish government really doesn't like the idea of people saving money for their future, does it?

scheister · 09-06-2016 8:00pm

lawlolawl wrote: »

It would appear that the tax on any interest earned is charged at the marginal rate (41% for me).

So i'm going to be taxed 41% on money invested that was already taxed at 41%

The Irish government really doesn't like the idea of people saving money for their future, does it?

Money will be taxed twice its the increase that is taxed.
Start of year 1 you lodge €100
You make €10 interest in year 1 leaving you with an opening balance of €110 for year two.
you will owe income tax on €10 in year one or a max of €4.95
In year 2 you start with €110 and make €11 interest and have a closing balance of €121.
You will owe tax on €11 or €5.45 for year two.

The same rules would apply if you stuck the money in the bank or if you set up a company. You are only taxed on the increase not the principal. where the interest is profit dividents bank interest or in the case loan interest

Wheety · 27-06-2016 6:30pm

How are people getting on with Mintos? I've only got a few hundred in it at the moment but I'm liking it. Will start upping my 'investment' in it.

I pick my loans manually. Didn't like the auto bidding when I tried it. Thought the daily email would be annoying at first but it's handy for a quick glance on my phone to see how much is in my account. Sometimes loans are paid off early so it's handy to know each morning.

There are a few loans in the 31-60 days overdue bracket and I think some have been paid back without much/no interest but at least they're been bought back at all.

I'm finding it harder to make loans on LF so I think I'll start moving money from that to Mintos. Can withdraw from LF 4 times a year without penalty. Will continue trying to make loans on LF but not going to go too low or lend to business I don't feel good about. In August, I'll move whatever I have in my account to Mintos. I'll also continue adding my own money to Mintos.

scheister · 28-06-2016 8:26am

Wheety wrote: »

How are people getting on with Mintos? I've only got a few hundred in it at the moment but I'm liking it. Will start upping my 'investment' in it.

I pick my loans manually. Didn't like the auto bidding when I tried it. Thought the daily email would be annoying at first but it's handy for a quick glance on my phone to see how much is in my account. Sometimes loans are paid off early so it's handy to know each morning.

There are a few loans in the 31-60 days overdue bracket and I think some have been paid back without much/no interest but at least they're been bought back at all.

I'm finding it harder to make loans on LF so I think I'll start moving money from that to Mintos. Can withdraw from LF 4 times a year without penalty. Will continue trying to make loans on LF but not going to go too low or lend to business I don't feel good about. In August, I'll move whatever I have in my account to Mintos. I'll also continue adding my own money to Mintos.

Enjoying mintos atm. Im liking the auto bid function. Saves me having to look manually for loans if its a similar type you go for each time. LF is getting very hard to get higher rates on all right. Seems to be the more they push the fixed rate loans the more are bidding on the normal loans push the interest rate down. Have a loan finishing tonight have 13% atm but imagine that will fall the closer to nine we get.

Think I may have my 1st defaulter on mintos coming soon as well. Have company who have been late with every interest only payment so far (couple of hundred euro) and they have a final balloon payment due of 80k in August

Mintos (P2P Lending Platform)

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