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Will the Corona lockdown help you to live more frugal?

By now its clear that 100s of Millions of people are in lockdown. In Europe alone we are talking about Italy, Spain, France, Belgium, and now also UK and the Netherlands are going in lockdown. In America US states are starting lockdown procedures and India has already put 1.2 Billjard people in lockdown. In total we will be approaching 2 Billjard people in lockdown worldwide! What effect will this lockdown have on your wallet?

Your income side

Needless to say that being lockdown has a very bad effect on our income. I am not talking about dividends, passive income, rental income or any kind of income on investments, but I am talking about wages.

Anyone working in profession that cannot be done by working remotely is by default at the very least technically unemployed. In most developed countries we can fall back on some kind of government supported replacement income. People might lose their job or fall in some kind of temporary unemployment system.

Additionally people who have to travel a lot for work will also get a burst in their income. Personally travel is a part of my job, and not being able to travel costs me probably 25% of my income. Lucky I am fortunate enough that I am able to work from home for most parts of my job.

Your expense side

What do Europeans spend money on?

Pre-Corona according to eurostat, the European household spends mostly money on Housing 24%, Transport (13,2%), and Food (12,1%), but of course there is quite a few smaller expenses that also take a bite of the budget.

For sure some expenses will go up. You will spend more on electricity, heating, water, coffee, … all these are normal effects from having to spend more time at home. But at the same time some will go down. So the what will have the higher effect (not taking the income side into account). Will living in lockdown automatically make you more frugal?

What will you spend more on?

In a first stage I can imagine people will be spending more money on things they require when they spend more time at home. People in lockdown land in a situation that most will not have planned for.

At best they will see the lockdown coming a few weeks ahead. At this point I can imagine (and we actually see this happening) people will shop more for groceries they require during lockdown. We have seen an increase in almost all countries for grocery shopping. Especially less prepared countries have seen a rush on supermarkts causing empty shelves.

In Belgium I figured empty shelves were a thing you only saw on TV happening in less developed countries, but even here there was a traffic outside to get into the store. While in the 2,5 weeks we have been in lockdown I never came to a situation where there was no fresh items to buy, for sure there was some items that could not be purchased occasionally. The biggest rush here is over by now, but I can imagine in some countries this can lead to severe shortages. I am convinced almost everyone who could has at least grabbed a few items extra, be it knowingly or unknowingly and some of us have stacked up quite huge, preparing for a long isolation or a period where items might be more difficult to find in the supermarkets.

Another expense will be healthcare. In a first place I can see people stocking up on items to prevent them from getting ill. This includes items like mouth masks, matterials to make mouth masks, gloves, but also medicine they can use in case they fall in such as Paracetamol or Dafalgan. In the worst case scenario people will get infected and will have to go to the hospital. In Belgium the financial effect of this would be limited, but in some countries this can leave you with huge hospital bills.

Then there is hobby’s. You might not be foreseen on doing things at home and most of us will not be prepared for the sudden large amounts of spare time they have. You might get bored and want to purchase some things for you to do at home. This can include fitness items for at home or for digital entertainment.

You could spend a lot more if you would have spend it on the most expensive thing

What will you save on?

Travel! You will probably not be able to travel for a few months. At least in Belgium the government is recommending not to book any holidays for this summer. At best people will be able to enjoy a holiday in their own country. For people usually travelling in summer (unlike me), this will be a large cut back.

Another big expense you will save on is restaurants and bars. I believe most people don’t realize how much they spend on this. I personally did not notice it until I started keeping track of my expenses. I found out I spend more then any other hobby on this. Its quite a huge saving that I can no longer go. It will actually be a very good exercise for me to spend less on restaurants!

Clothing is another item you will probably save on. Who cares about what they look when they can’t go out and barely see anyone apart from family. There is no need for a new outfit for a fancy party you will attend. If you have to dress up for work then this is clothing you won’t need to purchase anything for a while either.

There is little need to worry about bills for public transport or cars. Roads look abandoned and trains drive around with no passengers.

Since the cultural sector is pretty much closed for business any fans of theater, movies, museums, dancing, will not have to worry about their wallets as there is no way to spend any money on these items.

Transport, culture, recreation, travel, restaurants, bars , clothing account for about 35% of Europeans budget and all of these will have a very large drop when going into lockdown. So yes I absolutely believe that the lockdown will help us to live more frugal. Extra expenses to adapt to our new situation will be temporary while items on the expense side have a rather permanent character. At least permanent as long as the Corona virus is raging in our cities.

This is a similar effect I expect on my expenses. Probably break even the first month, due to extra purchases to help me with my new situation, and after that I really do expect a positive effect on my expense side.

That being said as many people will have lower income, being in lockdown will not automatically give a higher savings rate!

This is your chance to embrace Frugality!

If you are not frugal yet, or had trouble to get certain expenses under control, this is your chance to do so!

If you had large expenses that you had trouble to get under control pre – lockdown, now is your chance to start with a new habit.

Did you used to go for beers every evening after work coming home with a big bar bill?

Did you go to expensive cocktail party’s every saturday?

Did you had a big restaurant bill every month?

Did go on a citytrip every month?

Did you hire people to do chores in the house?

Did you took anything that broke in for repairs instead of trying it yourself?

The lockdown will teach you that you can actually do these yourself! Perhaps you will finally become the cook or cocktologist you always wanted to be. Perhaps you will finally learn how to replace a flat tire on a bicycle. Perhaps you will learn that spending some relaxing time as home has its charms as well.

So instead of seeing this as a time of despair see this is as an opportunity to pick up some new frugal habits!

Those who have been reading my blog know I spend to much on restaurants! Since the lockdown I have been cooking fresh food myself every day, and I have even been trying some new recipes. I look forward to changing this habit permanently as it will be such a money saver!

Did I miss any effects of the virus on your wallet on the expense or the income side? Are there any habits that you are happy to chance while in lockdown? Let me know in the comments bellow!

Interested to find out more and see what affect Corona will have on my saving rate? Then join me on my roadtrip to Financial Independence!

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Savings rate February 2020: back at 60%!

After two difficult months with dropping savings rate it seems that I finally managed to turn it around! I decided to visualize my expenses so its easier to see where my money is going. Check out my new pie chart for the very first time!

Let’s go over the highlights of this month:

  • Living costs were not so bad and staid at 718 EUR this month, even though they are my biggest expense, 700 EUR is really fine as it includes a 550 EUR / month payment of my loan
  • Restaurants costs went up again to 500 EUR. I had to go on a business trip to Tel Aviv, I didn’t knew anyone there so I went out eating a lot more then usually. Although I do get paid a bit extra for going there, so it does evens out
  • I probably spend to much on shopping this month, Ill have to watch that next month!
  • Otherwise no abnormal spendings, just a regular month. I decided to visualize

Again the 1270 EUR seems like an impossible goal unless I plan to live inside a cave and never come out! But maybe there will be one month where I manage to pull this off. Maybe March or April…? 🙂

In total I’m really happy about my savings rate, it ended at 59,55%, although I think I can do even better!

The chart

The moment you have all been waiting for 😉 The graph with my savings rate. Compared to last year Im doing much better in February, although its clear that last year my holiday costs came in February and

Average saving rate so far…

As a final note I want to close with my average saving rate of the last 12 months. So far I am able to get a 40% savings rate in the last twelve months, an increase with about 5% compared to last month. I have not reached 50% yet but I keep reaching!

I have a competition with myself that I need to do 5% better then last year. All I can say is, its not over until the fat lady sings 🙂

Whats next

I have a week holiday in march, while it will lower my income slightly I have not planned anything big. I do need to purchase some extra clothing as some things just really need to be replaced.

I am starting to do more and more sports and hobby’s, something I am happy to spend money on as its the best investment I can make! This will make me happy and not have a big effect on my savings rate so a perfect combination! Having fun should not be expensive, it should just be fun.

Interested to follow me? Then subscribe and join me on my Roadtrip to Financial independence!

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How compound interest is fueling the road to Financial independence

Compound interest explained

If I asked you for 10000 EUR and there was a 100% guarantee that I would give it back in one year, would you give it to me? Probably not. Even if you got it back what would be your benefit of giving me 10000 EUR?

What if I asked you for 10000 EUR. However, I would not give it back but instead I would keep it for you, for as long as you like and give you 7% in cash every year I have it for the rest of your life. Would you do it? Actually this time you might be persuaded to do it. You might think you would live another 30 years and so you would not only get your original 10000 EUR back, but also your additional investment.

And if I told you you could give me as much money if you liked? On whatever I give you I will give you back 7% every year. You are free to add money whenever you like.

It does get complex. It gets easier when we put it in visual. In this case you give me 10000 EUR and the 7% I give you every year you actually give back to me so I can give you more each year.

Source: https://moneysmart.gov.au/budgeting/compound-interest-calculator

What we see is that after 25 years with just one contribution the money would have grown to 57.000 EUR that you can take back at any time. You would also be getting 3390 EUR of interest each year, almost your initial investment. Even more if you would wait another 25 years you would end up with a grant total of 327.000 EUR and 22.890 EUR a year.

You can see near the end how fast it starts to grow every year. The key is the faster you start with it the more profit you will gain.

You can accelerate this even more. Apart from your initial 10000 EUR, what if you would add 1000 EUR every month.

What we see now is that with just adding 1000 EUR every month after 25 years I now have 867.000 EUR and would be getting 60.690 EUR yearly interest. For a lot of people this is more then enough to live off every year. If you can continue to save for another 10 years you will be a multimillionaire reaching 1.9M EUR! The key? Start early! Get a student job from the age you are able to and invest whatever you can.

Even if you just deposit just 200 EUR every month, you will have 1M EUR, starting at age 16 by the time you reach official European Retirement age. Keep in mind most of that 1M EUR is pure compound interest. You didn’t had to do anything for this apart from investing! Key is the earlier you start the easier it will be, but remember its never to late to start. The best time to start was yesterday, but the second best is today!

7% will probably seem high for people that are used to keeping their money in their bank account and get an interest of 1% per year on the really good ones, however it is not. There is lots of investment methods where you can get this income: real estate (rentals + value increase of the property), peer to peer and also the stock market (by average the stock market grew 6,73% in the last 30 years). The only thing you can be sure of, if you leave your money on your bank account it will lose value. Additionally with all the discoveries waiting just around the corner, AI, self driving cars, green energy, job automation, huge medical discoveries, … can you really afford not to be in the stock market?

I know I have said this before, but its just crucial to know and believe this information.

I wish I knew what I know now 5 years ago, I was a really good and conservative saver, but not a good investor. If I had invested monthly without emotion right now I would be earning a massive amount of passive income every month.

How I plan to leverage compound interest

Lets examine my current situation, and find out when I could retire. As you know I am aiming for a 15% peer to peer and 85% ETF portfolio. Peer to peer is just to new to figure out how much it will make me in the long run, so for now I will base the income on 100% ETF situation with a return of 6.4% yearly, a bit lower then the market return but keeping in mind some minimal costs.

Lowering my retirement age using compound interest!

The official retirement age in Belgium is 67 years. From then on you will get a government pension. But of course nothing stops you to stop working earlier. Let’s find out when I could quit!

My pension at 67 years would also be slightly higher because I am buying off the years I studied as years worked! Something I highly recommend to do if you live in Belgium and are aiming for FIRE!

To calculate what is realistic I decided to calculate it for 3 windows: 10, 15 and 20 years.

Whats my current situation?

I currently have about 54.000 EUR in liquid investings (peer to peer and ETFs). I invest 2500 EUR every month (I don’t know if I will be able to keep up this amount, as I am looking for a house, but for the sake of the exercise I will assume I will).

Lucky ETFs are almost tax free in Belgium so a 6.4% is really safe to assume!

I also have one real estate property that I will talk about a bit later but that I will not include in this calculation.

After 10 years of compound interest investing..

If I manage to keep this up to 10 years I would have 520.000 EUR. This might be enough for a “lean FIRE”. To be honest I MIGHT be able to retire on this, but it would be very risky, because if there is a stock market crash right after I might not even be able to last until the official Belgian retirement age.

After 15 years of compound investing

After 15 years of compound investing I will have reached 893.000 EUR. I will be 50 years old by then. This would be a more safer path to retire and I really consider this a possibility. It should be enough to not only keep my lifestyle but should even continue to grow my investments

After 20 years of compound investing

After 20 years I will be 55 years old. This would be the absolute last date that I would want to be financially free! I would have 1.4M invested by then which would give me a really comfortable FIRE in Belgium, perhaps even what they would call a FAT FIRE. Additionally I would expect to live in a house that’s paid off by then. Currently the loan I pay off is lowering my savings rate.

Real estate

I do own my own apartment. My plan is to buy a house and leverage the rent of my current apartment to contribute to my loan. This way I would be paying almost the same amount as I was before.

After 20 years I would actually have paid off the loan on the house, and all the rental income would go towards FI

If I would rent out my apartment today I would (after taxes and costs) earn about 470 EUR / month. With a 4% average rent increase yearly. Of course I would not actually have access to this rent until after 20 years.

10 years15 years20 years
Rent per year83401015212348
Rent per month6958461029

It’s hard to include that for the time being, since I have not actually yet bought my house, but it could add to my retirement age being set at 50.

What are the advantages of FIRE in Belgium?

At the age of 67 you will get a government pension. Assuming I retire at 50 and I keep my current job and income I would get 1470 EUR income per month. Additionally the pension I have been saving for personally and the pension of my work would come free that I could re-invest in the stock market giving me more extra income.

Lastly medical costs are largely covered by the government although I could get an additional insurance for a very low fee (probably under 50 EUR per month), so I’m covered everywhere in Europe and even have a somewhat decent coverage worldwide!

So what is my Financial Independence age?

Its just to early to say right now. I know I am working in the right direction, but I want to wait for a few more things before I can really say: I want to have at least one house where I could see myself grow old, and I want to have a better view on my savings rate. My data is just to limited and I feel there is still places I can budget more.

Nobody knows what the future holds

I can’t really predict what will happen. I will meet someone at some point and have children, this will no doubt have impact on my target age. At the same time I might have a wage increase, or who knows a decrease if I decide to work less or change to a less fast paced job at some point. At the same time I will probably have a partner with an income as well if there are children that would make it easier to have more rental properties.

Also moving to another country might influence the retirement age. Thirty percent taxes on interests in Belgium is quite a high number. In Portugal you actually pay 0% the first 10 years.

Lastly taxes tend to change with the wind and are very unpredictable in Belgium. The tax climate could change overnight make it most likely more difficult to reach FIRE.

In any case doing this calculation gives me the strength to hold the course and transfer 2500 EUR to investments every month.

Writing this down will help me to track my progress, to see if I am doing better or worse then I predicted. Just remember until the time is there is important that you keep enjoying life. Its fine to be frugal but don’t be stingy! Still show your friends you care, go out and do activities, care about family and donate to charities. Do not stay hidden inside to save every penny, as then you will just watch your life go by and have no stories to tell when you finally do retire. Invest what you can and go on your roadtrip to Fire but don’t forget to enjoy every minute of the trip.

Now start to plan YOUR path to financial freedom!

I hope my roadtrip is also offering some perspective for yours. Let me know what your plans are for FIRE and check out the compound interest calculator here to calculate your roadtrip to financial freedom!

If you are interested to know more about how I end up then follow me and learn from my successes and mistakes on my Roadtrip to Financial Freedom!

Uncategorized

High housing costs and Holidays killed my saving rate!

After having a horrible month for my investments it will now be the second month in a row I need to report a bad saving rate. And this time even much worse then last month. although if I compare with last year its very similar to February when my holiday expenses came in later due to using a different credit card.

Let’s go over the highlights of this month:

  • Restaurants costs have dropped to 211 EUR in December! Another small gain to improve my expenses on restaurants!
  • Living costs rose to 1565 EUR this month. This included the loan – 550 EUR, quarterly cleaning costs – 270 EUR – sometime I do think to cancel cleaning and extra syndic costs for the apartment block – 700 EUR. Last year I paid the quarterly costs in March, so it was unexpected that it came a month early
  • I spend about 1000 EUR on a citytrip, January is often a month I do trips. I do 2-3 trips a year, but I expect this will be one of the more expensive
  • I spend 70 EUR on hobbys, which is rather low this month. The winter months and cold limit my mountainbiking I guess
  • My food costs dropped a bit to 150 EUR
  • I upgraded my wordpress blog for 212 EUR, so I could use plug-ins and have access to more features. This has been one of the best decisions, I really love the ease that WordPress allows me to add plugins
  • Some other smaller expenses
  • I had no special bonuses this month to save my saving rate

Again the 1270 EUR seems like an impossible goal unless I plan to live inside a cave and never come out! But maybe there will be one month where I manage to pull this off. Maybe February?

So I got a negative saving rate of -1%. Hopefully this will be the only month this year!

The chart

The moment you have all been waiting for 😉 The graph with my savings rate. This month I am doing much worse then last year (eeek!!). But that’s also because my holiday expenses for last year didn’t came in until February and my housing costs came in 2 months earlier then last year!

Average saving rate so far…

As a final note I want to close with my average saving rate. So far I am able to get a 40% savings rate in the last 12M, a decrease with about 5%. Next month I plan to do better when I compete with a much easier month (February).

I have a competition with myself that I need to do 5% better then last year. So far I can say I am doing a horrible job doing actually 70% worse then last year. But we still have a whole year to go so I will not give up and do better next month!

Its in Red as I feel like anything under 50% should be in red 🙂

Whats next

I don’t expect big expenses next month and I will be working the full month so my income should be a little higher.

I do plan to go out a little bit more after work. I noticed that while its cheap to sit home alone, its better to be around people, so I will try to be around people about twice a week. Of course

Interested to follow me? Then subscribe and join me on my Roadtrip to Financial independence!

Passive income · Uncategorized

PeerBerry Review: a steady 12.03% return


PeerBerry has been a steady rock in my portfolio for a while now. I kept the investment rather stable and have even been slowly increasing it. It is giving me a steady 12.03% income without to much hassle so it will continue to be a part of my portfolio and thats why I decided to Review Peerberry.

If you are a more advanced reader and are already familiar with PeerBerry then scroll further down to find out what auto-invest settings I am using in this PeerBerry Review.

What is PeerBerry exactly?

PeerBerry is a Fintech company where you can invest in loans. This system is called peer to peer lending. Basically PeerBerry is a mediator between Loan Originators who provide loans to individuals. As an investor you invest in those loans and get a certain return.

The Loan Originator provides you with a lower interest rate then they are providing to the individuals. In exchange they provide insurance under the name of buy back guarantee. That means if a loan defaults they will buy back the loan. Be aware that not all Loan originators offer buy back, so its important to check this before investing.

Because you can invest already from a small amount (10 EUR), that means that if you invest 500 EUR it is spread over 50 loans and different loan originators.

Its important to note one thing that gives additional confidence in PeerBerry: PeerBerry has send me their financial statements and they are making a profit!

Registration

On the site just click the “Start Investing” button to go trough the wizard for Registration. Have your passport ready before you start and you need to use a device with a camera such as a smartphone or laptop, you will need them at the ID verification screen.

PeerBerry will take you trough a very simple wizard to get you registered.

I recommend that you fill in your phone number as it will allow you to enable two factor authentication.

In the next screen you will need to fill in more details including your passport or ID number

Once you signed up you can start investing.

Overview

Once you finished the registration process take your time to get familiar with PeerBerry. PeerBerry has a nice simple overview screen where you can view your balance, profit and investments.

You can also view your investment statuses, unlike other platforms its quite rare that loans are in delayed payments. The Loan Originators must do a really good due diligence here. Buybacks are rarely needed.

You can also see your Net Annual Return, it seems to show slightly more then the return I calculated.

Depositing money

Before you can invest you will need to deposit money. I usually use bank transfer. It took just a few hours to reach my account when I deposited on a workday. You can use the time to get to know PeerBerry better and read up on its Loan Originators.

When you click “Deposit / Withdraw” you will come to the deposit screen where you will find the bank details. Remember to deposit using the right Payment Details as these will contain your investor number.

Withdrawing money

I could only withdraw money to my own bank account, which is positive of course as it makes my money more secure.

I withdrew 100 EUR when I was re-balancing investments with ease.

Investing

Loan Originators

Before you start to invest its important you do your homework and decide on what loan originators you want to invest in. I personally went for a medium – low risk range of Loan Originators.

On explore p2p (you can view the full list here ) you can see a great rating of all the loan originators on PeerBerry. I personally went for Medium – low Risk. Aventus group is a really big secure Loan Originator that can be trusted. In the bottom there is some smaller Loan Originators but they did get a group guarantee from Aventus, so I decided to trust them.

In the end you will need to decide on this yourself. I did start the first months with all loan originators enabled and so far I have not experienced any problems and very few delayed payments.

Source: explore p2p

Primary market

When you click the invest button you go to a search screen containing all investments you can put money in.

This is the manual investment method. If you want to choose exactly what loan originator to invest in then this would be the screen you use. Just make sure to select buyback yes. There is no reason why you would take in additional risk. You will notice there is quite a few of loans available you can invest in.

Auto-invest

PeerBerry has also supplied the more passive investor, like myself, with a tool to make it easier to invest.

I mentioned before how important it is to check the loan originators you invest in. You can find more be

I chose the auto invest and to be honest so far the loan originators I have invested in have performed really well. The max portfolio I have set indicates me that I have a diversified portfolio although it is really difficult to see how diversified I am.

PeerBerry is still young and I see them making changes regularly (the two factor authentication was only recently added), so I am confident more improvements will come soon!

You can see my settings here:

What is important is to select the buyback guarantee and to make sure your portfolio is not that much higher then your actual portfolio. I also set the loan amount a bit higher because there are some periods that there is less loans available on PeerBerry. For the same reason I set the time at 20 months. This is quite long but I want to avoid cash drag.

I set the minimum interest rate at 10%, but most loans I invest in have a higher interest rate. The 10% is just good to allow for more diversification, but if you don’t mind a riskier strategy you could get away with a slightly higher percentage.

Other important settings are portfolio size (set this a little higher then the amount you will invest), and minimum/maximum in one loan. I set my maximum at 20 EUR.

If you put it to low you will not get a decent piece of good loans that hit the market, if you put it to high it will be hard to diversify. A lot depends of the size of your portfolio.

The secondary market

Right now PeerBerry has no secondary market. You will be exposing yourself to a liquidity risk if you decide to invest for long loan periods. From this perspective it might be more interesting to search for shorter term loans. I have confidence in PeerBerry and see it as an investment over many years that’s why I do not mind to put in 20 months.

I just would start with a lower amount of months at the beginning to see if you like the platform.

Reports on your investments

On PeerBerry its a bit harder to see how your diversification is doing. When you go to My investments you can get a report on what you are invested in, so you are able to do your own reporting.

But the information is not perfect. I was told by PeerBerry this will be one of the next features they will improve.

Security

When I joined PeerBerry in September 2019 PeerBerry did not had two factor authentication enabled. But as you can see in the beginning of my blog they now do! Its great that they have this added security in place.

Apart from that PeerBerry will only write back to your own bank account, giving again added security.

Loyalty Program

Something unique about PeerBerry is that they have a loyalty program. So if you are loyal to the platform you will get additional bonuses. They have three ranks, silver, gold and diamond. They are not so easy to reach but the bonus silver is giving is already a nice extra. So far I have not reached it yet, but as I continue to like PeerBerry I don’t exclude I will at some point.

Risks

Investing is not without Risk. Assuming you invest in your own currency then in the case of PeerBerry I see a few main risks:

  • A loan you invested in could default. If you have bought all the loans with buy back guarantee, which you should, the risk is moving to the LO’s defaulting,
  • You can invest using buy back guarantee but Loan Originators can go bankrupt. This has happened a few times with LO’s having low ratings. This is why I chose to invest only in LO’s with rating B and above. Additionally the auto invest will help you to diversify in case it does happen. Also you will still have your claim on the loan if it happens, this will not change. It will just become a lot harder to get your money back.
  • PeerBerry could go bankrupt: I consider this as a small Risk. PeerBerry has over 7 employees so is no longer a startup but not a very big company either. It also released its yearly P/L and there it was shown to be a profitable company. In the case PeerBerry does go bankrupt your claim is still there on the loans.
  • Liquidity Risk: the risk that you cannot get your money out in time when you need it. This is a very real risk since they have no secondary market. If you cannot part from your money for to long avoid long terms.

I decided that the risks are worth the return, but everyone needs to decide for themselves and act with due diligence.

Financial statements

I did not find the financial statements on the Website but PeerBerry gave them to me right away when I asked for them. To be honest being one of the younger players I was surprised that PeerBerry is already profitable!

Remember these are the 2018 figures. I will request new statements of 2019 in spring and expect them to be better!

With 17500 investors and 191M loan portfolio PeerBerry is really on the map and cannot be called a smaller player anymore.

I can supply the full statement on request but you can view the last part here:

I’m looking forward to the 2019 numbers!

Transparency and communication

PeerBerry has supplied me all the information I asked for and are usually quite fast to answer. They are open about their financial situation and their loan originators. This is how I would expect a peer to peer lending site to act. Perhaps as an improvement more information on their Loan Originators and Financial’s of PeerBerry could be shown directly on the Website.

Where to sign up

I would like to stress that I would not review PeerBerry if I didn’t use it myself, I have a lot of faith in PeerBerry. If you do decide to take the step then I would appreciate it if you use this link as you will be supporting my blog when you do so.

Conclussion

In conclusion I am very happy about PeerBerry and will continue to expand my investments there. I consider PeerBerry a great platform in terms of Risk / Return and am working to increase the amount it has in my portfolio.

FeaturePeerBerry
Sign up BonusYes
Allows company profileNo
AppNo
Auto-invest optionYes
Buyback guaranteeYes
Fees?No
General transparencyGood
Invest in individual LoansYes
Invest in other currenciesNo
Invest in projects (such as real estate)No
Loyalty BonusYes
ProfitableYes
Released P&LYes
Secondary MarketNo
Staff is knownYes
Transparrent about Loan OriginatorsYes
Two factor authenticationYes
Euromoney Rating4,2/5