HeavyFinance sees increase in repayments
European agricultural lender HeavyFinance has seen a “significant” increase in the number of repayments made to the platform, year-on-year.
The peer-to-peer lending platform said that its investors are seeing direct benefits of this in the form of interest with additional earnings from delayed interest.
During the month of April, HeavyFinance investors allocated €963,000 (£828,131) across 35 agricultural projects. By the end of the month, €54.62m had been issued in loans via the platform.
Read more: HeavyFinance recovers over €260k from defaulted loans in March
Almost €24m has been repaid to investors since the company’s inception, which includes €5.54m in interest and €974,000 in delayed interest.
During April, investors received €974,000 in repayments, which included €736,000 in principal, €182,000 in interest, and €56,000 in delayed interest. Approximately €93,000 of repayments are scheduled to be made during the month of May.
“As of now, based on the repayment schedule, 74.9 per cent of loans are being paid on time or have already been repaid,” said a HeavyFinance spokesperson.
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“Meanwhile, loans with a principal overdue by more than 90 days amount to €9.22m, representing 16.9 per cent of the total issued amount.
“The increase in delinquencies is seasonal and is expected to decrease in this and upcoming months when farmers will get part of their yearly subsidies.”
During April, an additional €53,500 was recovered from defaulted loans and distributed to investors.
Furthermore, one terminated loan was fully repaid during the past month, after enforcement proceedings were begun.
“Right now, the agriculture sector is fully back in the swing of things, with all farmers back in the fields in preparation for harvest this summer, making this a perfect time to start investing,” added HeavyFinance.
“Recently we have updated our platform to include an estimation of the CO2 emissions being addressed in our projects to inform our investors of the impact they’re making on the environment.”
Read more: Agri-lender HeavyFinance reaches €50m milestone
