I can categorize myself as a next generation investor who is no more interested in old age financial products like fixed or recurring deposits, who does not have time visiting branches or meeting sales agents of financial companies.
I always tend to find innovative avenues of investing money along with convenience to invest factor. No don’t take me wrong, this is not about opening a demat account and start trading shares. This is really one of the interesting options which I came across and is worth exploring.The concept of online peer to peer lending is still at a very starting stage in India of course if you speak about lending offline we are the masters.
Out of many new startups there is one I Lend (i-lend.in) which has started operations recently. Concept is simple, this site acts as a market place for borrowers and lenders online both of them look for each other and can enter into a transaction (loan) on a set terms and conditions.
While browsing their website I found out some points which are worth mentioning:-
- They do conduct checks on borrowers but not credit checks (Negative).
- I dint find reasons for taking loans as promising (Negative).
- There are few borrowers who are willing to pay as high as 24% (Negative).
- The look and feel of the website seems to be dull and boring (Negative).
- No Management Team listing present on website (Negative).
- Apart from generic email ID, no other Email ID is available on website (Negative).
- Cheques are only the form of payments for investment no other online or offline mode allowed till now (Negative).
- Even though this is an online platform but the process investing and borrowing is bit complex (Negative).
- Unable to reach their customer service chat tool most of the times it remains offline (Negative).
- No reviews for this website (Neutral).
- Site charges a fee for investing, however it is nominal (neutral).
- Presently it is accepting the loan proposals from Hyderabad whereas investment proposals from all over India (Neutral).
- Business name is different than legal entity name I-lend to be referred as M/s Dipamkara web ventures private limited (Neutral).
- Pre-payment option (neutral)
- Rate of interest for investors is high as compared to others (positive).
- This site is acting as an online market place (positive).
- I-lend will help you in collecting cheques (positive).
- Potential to grow in India, only handful of these types are active at present (positive).
- Can speak or meet with borrower (Positive).
- Investor can withdraw offer for loan before disbursement date (positive).
Now If you ask me will I invest my money thru this website, the answer will be Yes and No.
- I am situated in Delhi and at present the borrowers are allowed only from Hyderabad region.
- The site dint gave me the confidence that my money will be safe, of course when you speak about peer to peer lending the risk always lies with the investor but still a small amount of push is what I require.
- As mentioned earlier the reasons for loans are not promising for example a loan of INR 1,00,000 is listed with a reason to buy auto to only ferry parents to hospital, no offence but who will drive that auto.
- I think that the team of i-lend only want it to act as a classified site for loans not more than that.
In a nutshell I can easily give it a miss for now and can hop back in whenever I want in future and till i feel that investments made thru this website are safe.
- Some interesting points about website:-
- Rate of Interest: 15% to 24%
- Tenure: 12 to 36 months
- Minimum Loan: INR 25,000.
- Minimum Investment: INR 5,000
- Average Rate of Return: 16.61% (latest figure)
- Loan amount requested: INR 3.69 Crore.
- Amount as investment offered: INR 66.85 Lakhs
- Offer / Borrower rate 5.51 (Requests are 5.51 times higher offers)
- Total registrations: 1242