A brief review about the crowdlending platform Grupeer
The Latvian Grupeer is a rather young company. Registered in 2016 and the platform was launched in 2017. Since then they have funded loans for more than € 31.000.000 and they have more than 9.000 investors from 74 different countries.
What makes them special for me is, it was through this platform I placed my first crowdlending investments. The investment was the financing of a building project in Brest, Belarus with a 14% interest rate.
Until now all payments have been made in accordance with the refund schedule and I have no concerns regarding investing in similar projects.
Furthermore, they are only active in B2B loans and not personal consumer loans, which makes them very attractive to me. I prefer investing in business loans or development projects but I will not exclude personal loans in the future.
How to getting started?
Simply by signing up which is very easy. Just fill out the form, press “Register” and your account is created.
They will require photo ID like a passport or similar in order to avoid swindles and money laundering scandals but I only see this as a positive sign. Just make a scan of your ID and mail it to them.
How to add funds?
Transferring money to your Grupeer account is also very easy. Simply go to “Deposit/withdraw” in the top menu and you can see what opportunities you have. As of writing you can make a bank transfer or choose to transfer with TransferWise.
Please notice that your first transfer must be a bank transfer though, which is due to the Anti Money Laundry policy requirements.
I always use TransferWise as this is the fastest and cheapest way to add funds to my account. It is very important that you remember to include your personal Grupeer ID, which you will receive when creating an account.
Transferring money from a Danish to a foreign bank account can easily cost you € 6-7 in Denmark whereas a transfer through this site cost me less than € 1 – a considerable saving.
Navigating around the website
The Grupeer site is rather user-friendly and navigating around is very easy. As you can see from the screenshot they have a list of available loan deals. These range from the Philippines to Belarus and the interest rates from 11% to 13%.
You can easily filter the options enabling you to choose between specific business or project investment loans. You can also search for loan deals in specific countries.
In the below example I have searched for development projects in Belarus and Sweden and filtered out other options. All with a 13% interest rate and buyback guarantee. The refund terms range from four to 12 months.
In general, Grupeer gives you wide opportunities and you can design your own specific investment strategy by using the auto-invest function.
With this, you do not even have to monitor your investments or using time investing the added funds. After having finalized the auto-investor all funds and the interests you receive will be re-invested when available.
Currently, I am not using this function but I suppose it can come handy in the future when I have several more loans.
The company will soon come up with an opportunity for those with a long investment horizon: the Grupeer Stability Fund. This is an investment in a real estate project and you simply buy square meters in a property as an office building, shopping center or similar.
With this, you will have a lower but very stable income over many years. In this case lower is 4-8%, which I very high compared to the rates you receive in the banks. As of writing, these loans are not launched yet and no specific period has been published. But I expect them to open up for this opportunity later in 2019.
My views on Grupeer
In general, I have been very satisfied with investing in Grupeer. Their support answers any requests very fast and they have a professional setup. I have yet to experience any failed loans and so far I have received a monthly interest from all my loans.
Certainly I have not made my last investment here.