One of the methods by which the originators control the risk, is using a credit rate score system. This is a procedure of classifying every credit in different categories, based on the default probability (the probability the borrower to stop paying off their loan). All loans in iuvo have a score rate. This is needed so the credits from different originators can be compared
- A0 – 4% default probability
The total amount of the loans granted by the loan originator to borrowers since its establishment
The total amount of the loans issued on the marketplace by the loan originator
In business and financing, the term “skin in the game” is used to refer to owners or principals having a significant stake in an investment vehicle, in which outside investors are solicited to invest. This is to ensure the interests of the originator and the investor in the asset are aligned, as both have a stake in the asset/ investment. On iuvo this means that every loan originator is required to keep certain percentage of each loan listed on the marketplace, which is their “skin in the game”. For example, if a loan originator issues 100 EUR loan to the marketplace and have skin in the game 30%, only 70 EUR of the loan will be available for investors to invest in. The loan originator keeps a stake of 30 EUR.
The year in which the company became profitable
Ibancar is a pioneer in the non-bank consumer lending sector in Spain since 2014 and offers personal loans secured against second hand cars. The company’s goal is to offer suitable and well understood products to a client base that does not have access to conventional forms of credit. The most impressive is that up to date Ibancar has 0 credit loss in its portfolio, due to its proprietary risk management platform with binary scoring and behavioral credit management. This track record demonstrates that Ibancar loans are amongst the safest loans for investors and with the most easily recoverable collateral (cars). The senior management of Ibancar is with extensive banking, finance and risk management experience.
The reason for joining IUVO is that as a fast growing innovative FinTech company we believe strongly that we should operate as much as possible within the FinTech ecosystem and also help key partners in this space to grow with us. The partnership with IUVO is a perfect example of Ibancar implementing that vision and enables us to offer our collateralised loans with extremely attractive returns directly to IUVO investors who understand the exceptional capital protection and risk/reward profile of an investment in Ibancar loans.
Become part of one of the fastest growing p2p investing marketplaces in Europe