RateSetter focuses commercial finance proposition on secured lending
Following a review of its commercial finance proposition, peer-to-peer lending platform RateSetter is to simplify its commercial finance product suite to focus solely on property-backed and asset-backed lending.
RateSetter will continue to maintain a diversified approach to lending into consumer, business and motor finance markets, however, the commercial finance offer will no longer include unsecured business finance.
RateSetter’s commercial finance offering is now as follows:
• Property-backed:
o Development loans
o Investment loans
• Asset-backed:
o Business hire purchase
From today, RateSetter will stop accepting new unsecured business loan applications. RateSetter will process all existing unsecured business loan applications and loan approvals. RateSetter’s unsecured business finance lending is performing in line with expectations and existing active unsecured business loans will continue to repay in line with their schedule.
RateSetter CEO, Rhydian Lewis said:
“By simplifying our commercial finance product offering and focusing our resources on lending secured on property and other tangible assets, we have a clear framework around which to grow our commercial finance volumes and continue to deliver access to healthy returns to investors.”
RateSetter believes that there is no material impact from this decision on RateSetter investors, who will continue to enjoy access to a growing and diversified pool of borrowers, all with Provision Fund protection.
