Neo Finance is a P2P investment platform for consumer loans with an average return on investment of 12% and has an auto-invest option. It is based on Lithuania and is available for citizens of the European Union with an ID, or passport. It is a peer-to-peer lending company and you can invest your money in it by lending it to borrowers.
When you sign up for an account, your account is linked to a personal IBAN account free of charge. You can have multiple IBAN accounts at NEO Finance that you can use for different investment strategies. VIP investors are not charged to send payments to other financial institutions. The average rate of return on investment on NEO Finance is 12 percent and has an auto-invest feature. NEO Finance is the first Lithuanian P2P platform to hold an unlimited EMI license that allows the startup to operate in the entire European Union. The following is NEO Finance review and how to invest in NEO Finance P2P platform.
Neo Finance was started in 2014 in Lithuania. It has managed to raise over €285.7K from venture capitalists. The startup is supervised by the Bank of Lithuania.
NEO Finance Review
- NEO Finance is a P2P lending and borrowing platform. Investors can lend money to borrowers and earn interest.
- The average rate of return on investment is 12%. In case a borrower defaults on loan repayment, NEO Finance guarantee to repay investors from the company’s assets.
- NEO Finance has over 13,000 investors who have invested over €99 million. The average loan for borrowers is €3,159 with an average loan term of 57 months.
- 1 What is NEO Finance?
- 2 How to Invest in NEO Finance
- 3 NEO Finance Auto Invest
- 4 What Happens if a Loan is Not Repaid?
- 5 NEO Finance IPO
- 6 How to Make Money in Neo Finance
- 7 Advantages of Investing in Neo Finance
- 8 Neo Finance Alternatives
- 9 Countries Accepted by Neo Finance
- 10 What are Neo Finance Contacts
- 11 NEO Finance Review Summary
- 12 Discover More
What is NEO Finance?
NEO Finance, also known as Paskolų klubas is a P2P platform established in Lithuania that allows investors to lend money to borrowers. It is a platform that links borrowers and lenders. Investors can invest as little as €20. Since the company was established, there has been a steady increase in the amount of granted loans.
NEO Finance categorizes loans into A, B, or C. The company then lists the loans on a platform where people can invest in them. You can invest from €20 to loans in CATEHPORY A, B, C or C- rating, while the minimum you can invest in A+ loan category is €50.
How to Invest in NEO Finance
If you want to invest in NEO Finance, it is easy. Before you can start investing in NEO P2P, it is advisable that you first do due diligence. Go through the company’s website, read their reviews online and get to know the risks and the upsides of investing on the platform. After that, you can decide whether it is worth investing in the platform.
To start investing in NEO Finance P2P, you need to sign up for an account on their website as an investor. You will need to go through the identity verification process on the platform. After that, you need to open NEO Finance electronic money account. After that, you can deposit the money you want to invest. You can invest as little as €20.
You can look through the borrowers’ applications and select the loan you want to invest in. You will find details about the loan recipient, income obligations, creditworthiness, and previous debts. You can then set the maximum investment amount into a single loan. The interesting thing is that NEO Finance will automatically provide you with the best investment options for you.
NEO Finance has an auto-invest feature you can use to invest. Some of the things you need to specify before investing in NEO Finance P2P include the amount of money you want to invest, the loan duration, and the type of loan you want to invest in. The whole process of investing in NEO Finance will take you less than one hour.
NEO Finance Auto Invest
NEO Finance has an auto-invest feature that allows investors to automatically invest without manual actions. When a new loan offer appears, all investments are directed into it depending on the investor’s automatic selection. For automatic investment, the investor needs to specify the criteria of loans targeted for investment.
For instance, he can specify the credit worthiness rating of the borrower, minimum interest, maximum amount to be invested in a recipient and loan maturity. NEO Finance will identify a loan that meets the criteria specified by the investor and then automatically concludes the loan agreement on behalf of the investor.
What Happens if a Loan is Not Repaid?
If there is a delay in loan repayment, the recipient is informed through a text to email. After 30 days of delay, the debt is registered with Creditinfo Lietuva. After 40 days of delay, the loan recovery process starts. Investors are advised to secure their investment with “Provision Fund” protection before they can invest. This helps them to reduce the risk of investment.
NEO Finance IPO
From May 15 to June 4, 2019, NEO Finance held a successful IPO where it sold 192,907 shares. Through the IPO, the company was able to raise €605,728. Its stock can be traded today on Nasdaq Vilnius. You can check NEO Finance share prices here.
How to Make Money in Neo Finance
In the previous sections, we have looked at what Neo Finance is and how you can invest in it. Here, we will look at how you can make money in Neo Finance.
- Diversify. Don’t put all your money into one loan. Diversify across several loans.
- Reinvest. Reinvest the interest money you receive. This will help you compound your returns.
- Invest the money you can afford to lose. There are risks of investing in Neo Finance. Therefore, invest money that you can afford to lose.
Advantages of Investing in Neo Finance
There are many benefits that you get from investing in Neo Finance. Here are some of the main pros of investing in Neo Finance:
- Superior returns. The average annual return in Neo Finance is 12%. This is better than what many investments yield.
- Easy to invest. The process of investing in Neo Finance is relatively easy. It takes less than an hour from start to finish.
- Buyback and provision fund. Neo Finance has a buyback guarantee and a provision fund that gives investors a peace of mind.
- Personal IBAN account. Neo Finance Customers get a free IBAN account.
- Diversify. You can diversify your returns by investing in Neo Finance.
Neo Finance Alternatives
Other P2P lending platforms you can consider investing in include the following.
Countries Accepted by Neo Finance
Neo Finance accepts customers from the European Union. Most of the loans on the platform are from Lithuania.
What are Neo Finance Contacts
NEO Finance Review Summary
Neo Finance is a leading fintech company in Lithuania. The company has made good progress and is in the process of going public. If you are interested in investing in Neo Finance, we recommend that you use the tips that we mentioned above. Understand the risks. Therefore, set aside more money to invest in other assets like stocks, bonds, Bitcoin and in index funds.