Strong, attractive investment returns

Helping you achieve more with your money through peer-to-peer lending

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$600M+

Total loans funded

20,000+

Registered investors

$40M+

Interest earned

100%

Principal and interest
returned

INVESTMENT PERFORMANCE

Access a stable asset class with generous returns

Historically, only banks and institutions have enjoyed the strong returns that investing in consumer credit can deliver. With RateSetter, investors can now access this established asset class and start earning attractive returns.

** Annualised asset class returns as reported by Morningstar for the 5 year period to 31 December 2019. RateSetter data not provided by Morningstar. Please see below for a full explanation of how the asset class and RateSetter returns are calculated. Warning: Past performance is not a reliable indicator of future performance. Different investments reflect substantially different risk profiles.

MARKET RATE HISTORY

Our investors have been enjoying attractive, stable returns for years

Data as at 30 April 2020. Login to view current rates.

RISK PERFORMANCE

Protecting your investment with the unique Provision Fund

A combination of our stringent credit criteria and consistent growth of the Provision Fund has ensured that investors have received every cent of principal and interest due from investing in our portfolio of personal loans.

Provision Fund buffer

Data as at 31 December 2019

INVESTMENT RISKS

What are the risks associated with peer to peer investing?

As with every investment, investing in the RateSetter Lending Platform is not without risk.

Borrower late payment or default

A borrower or series of borrowers to whom your funds are lent may delay or stop payment on a loan or default on a loan. You may be protected by RateSetter making a claim to the Provision Fund, however, there is no guarantee nor warranty as to any protection from the Provision Fund, and as such you may suffer financial loss as a consequence of borrower late payment or default.

No Provision Fund protection

We may make a claim to the Provision Fund to compensate you in the event of a borrower late payment or default. However, the Provision Fund is not an insurance product and we cannot guarantee or warrant that you will be compensated. RateSetter has discretion as to whether to make a claim and may determine to only make a partial claim or not to make any claim if, amongst other reasons, there are insufficient funds in the Provision Fund to cover all expected claims in relation to existing loans.

Where the Provision Fund buffer is greater than the value of expected losses, it is our expectation that the Provision Fund Claims committee will make a claim to the Provision Fund to compensate lenders for the full amount of any borrower late payment or default. If the Provision Fund Claims Committee determines that there may not be sufficient funds in the Provision Fund to cover all expected future losses (based on loans currently outstanding), then it may reduce the amount it seeks to claim from the Provision Fund to compensate for borrower late payment or default. For example, the Provision Fund Claims Committee may make a claim on the Provision Fund to compensate an investor for amounts of unpaid principal, but not interest, or may decide to delay any claim for interest until a later date.

If you are not compensated by the Provision Fund in the event of borrower late payment or default, you may benefit from debt collection or recovery processes that RateSetter may undertake, which may or may not recover any funds. In such circumstances, RateSetter may also assign your loan to a collections agency or the Provision Fund for consideration.

No deposit guarantee

Your investment is not a deposit and does not have the benefit of depositor protection laws as it would have if it were an amount deposited with an Australian ADI.

Investment longer than indicative term

In the 1 Month Rolling lending market, your funds may need to remain on loan to a borrower or series of borrowers in a lending market, beyond the indicative term. This may occur if, at the end of the indicative term, there are insufficient lender funds available to replace your funds in a loan. This period could be as long as an additional thirty-five months.

If your funds in the 1 Month Rolling lending market are committed to a loan beyond the indicative term, your funds may be returned to your holding account if your investment in the relevant loan is able to be replaced with the funds of a different investor, subject to the funds replacement buffer. If your funds are committed for a longer period, you will continue to receive payments (where paid by the borrower or you are compensated by the Provision Fund in the event that a borrower is late making payment or defaults) and your interest rate will remain the same.

Your investment may also be longer than the indicative term in the event that a borrower or series of borrowers to whom your funds are matched are late in making payment and you are not compensated by the Provision Fund or other collection or recovery efforts.

Warning: Past performance is not a reliable indicator of future performance.

Provision Fund is not a guarantee, capital at risk. Read more about our Provision Fund.

** RateSetter 5 year performance represents average matched rate in the 5 Year Income market from 1 January 2015 to 31 December 2019. Other asset class returns based on the average performance of funds in each category as reported by Morningstar for the 5 year period to 31 December 2019. Data gathered from the following Morningstar categories: Australian Cash: AUS, Bond – Australia: AUS, Diversified Credit: AUS, Australian Equities Large Blend Different investments reflect different risk profiles. All figures stated represent the RateSetter Lending Platform only unless stated otherwise.