They're pretty decent buggers. We inspect their credit history with a fine tooth comb and make sure they're up to a standard our investors are happy with. After all, since we're a peer to peer lender it's people's hard earned money they're borrowing.
Here’s an overview of our current approved borrower characteristics.
Our approved borrowers are allocated a risk grade based on their strength across each of our credit criteria. The risk grade corresponds to the level of risk levy that applies to the loan and therefore determines the borrower’s overall interest rate.
A Grade borrowers have the highest credit scores and a strong record of borrowing and repaying debt without missing repayments. They exhibit strong debt servicing capacity and are typically homeowners or have evidence of other assets.
B Grade borrowers have high credit scores, solid credit histories and a record or repaying debt without missing repayments. They typically have a strong debt servicing capacity and are often homeowners or have evidence of other assets.
C Grade borrowers have solid credit scores, sound credit histories and a record of meeting existing repayment obligations. They have solid debt servicing capacity and bank account conduct.
D Grade borrowers have sound credit scores and debt servicing capacity but may have more limited credit information available or an isolated missed repayment obligation in the past.
E grade borrowers have satisfactory credit scores and debt servicing capacity but may have more limited credit information available or have missed repayment obligations in the past.