Hive5 pays tribute to Polish lenders as it exits market
Hive5 has praised the profitability and low default rates of its Polish lenders, as it prepares to stop listing Polish consumer loans due to incoming regulations.
From 1 January 2024, a new law will come into force which prohibits Polish lenders from borrowing funds from investors through online platforms. Last week, PeerBerry announced that it would not be listing any new Polish loans as a result of the new regulations.
Croatia-based peer-to-peer lending platform Hive5 has also confirmed that it will cease offering Polish loans, but chief executive Ričardas Vandzinskas paid tribute to the strong track record of its Poland-based loan provider Ekspres Pozyczka.
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“Our Polish operations have been consistently profitable for almost a year, and the company is committed to maintaining a strong track record,” said Vandzinskas.
“Additionally, Ekspres Pozyczka will continue to grow their lending portfolio using their resources and maintain an exceptionally low default rate, even lower than market players.
“It is important to note that Hive5 has been working closely with experienced Polish legal advisors who have thoroughly consulted with the local regulator.
“This careful preparation ensures that the company will fully meet the requirements, safeguarding the interests of investors.”
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Vandzinskas added that all Polish consumer loans will be fully paid according to the schedule, and investors can still invest in personal loans from Poland until the end of the year. Hive5 will continue to offer business loans from the region, which remain unaffected by the new regulation.
The company added that the regulatory update has “encouraged the acceleration of long-planned expansion into new markets.”
From December, Hive5 users will be able to invest in Spanish loans, and Romanian loans will be introduced by the end of the first quarter of next year.
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