We are pleased to announce that starting today Creditstar Group has joined the Mintos marketplace. Creditstar offers unsecured consumer loans in eight European countries and is kicking off its cooperation with Mintos by adding loans granted in Poland to the marketplace.
The average loan amount that Creditstar will place on the Mintos platform will range from EUR 20 to EUR 700, with a repayment period from 5 days to 3 months. The average net annual return to investors is expected to be up to 14%. Creditstar will offer a buyback guarantee to loans that are delinquent for more than 60 days. In order to retain its “skin in the game”, Creditstar will keep at least 15% of each loan put on the Mintos marketplace on its balance sheet.
Creditstar is a non-bank lender with a wide representation throughout Europe. It currently operates in eight countries: Estonia, Lithuania, Poland, the Czech Republic, Finland, Sweden, Spain and the United Kingdom, where it has a Financial Conduct Authority (FCA) license. Creditstar is headquartered in Tallinn, Estonia from where it organizes support functions for the group’s subsidiaries.
Creditstar has more than 100 000 active customers. The typical Creditstar client is an active, young male, aged between 18-32 years old, and living in a small town. Nearly half — 45% — of the granted loans are up to EUR 500. The aggregate loan portfolio of the group as of March 31, 2016 was EUR 34 million. Creditstar has been profitable each year since its inception in 2006. Last year, it generated EUR 1.3 million in net profits.
Approximately 70% of applications are denied due to not meeting Creditstar’s credit policy. Historically, the share of overdue loans has been below 10%. Debt collection companies are involved for the recovery of non-performing loans. Creditstar data shows that, to date, the share of charged off loans has been below one percent.
Creditstar is continuously expanding its operations by adding new and innovative products like credit cards through VISA Virtual Cards and prepaid VISA physical Cards to its product portfolio.
We are truly pleased that Creditstar has joined the Mintos marketplace, giving our investors an even bigger opportunity to diversify their investments on the Mintos marketplace. Currently the Mintos marketplace offers investors loans granted in the Czech Republic, Georgia, Estonia, Latvia, Lithuania and Poland.
Learn more and invest in Creditstar loans.