Look round 14 new family homes | Weekly Lending Review

Week 1: 3 – 6 January

Last month, we met property specialist Richard Southgate who borrowed £1.2 million to build 14 new family homes in the West Midlands. Meet Richard, take a tour of the site and find out why  investors Pat and Dave lend to businesses through Funding Circle in this short video.

New loans available to you

There are currently 9 loan requests on the marketplace, and thousands of loan parts available for you to buy which will help you become diversified.

The total value of new loans listed on the Funding Circle marketplace was £17,690,668, averaging at £79,885 per loan. The largest loan value was £525,046 and the smallest loan value was £5,225.

Business loans available to bid on:

Gross interest rates are before fees and bad debts. Your actual return may be higher or lower as by lending to businesses, your capital is at risk.

Weekly marketplace trends

These graphs show the most recent activity on the marketplace.

The average gross yield graph is reported weekly and shows a rolling two week average of gross yields. This calculation assumes you reinvest your interest each month and therefore includes the compound interest you earn (The calculation is AGY = (1 + (two week rolling weighted average rate/12))^12 – 1). You can view the latest gross interest rates accepted on the marketplace on our statistics page.

Weekly average gross yield (2 weeks rolling)

WLR 17-1 yield

Number of loans, value of loans and amount lent are reported weekly.

Number of listed loans per week

 WLR 17-1 loans listed

Listed loan value per week

 WLR 17-1 loan value

Total amount lent

 WLR 17-1 amount lent

Loan parts available to buy from other investors

 WLR 17-1 loan parts

News you should know

To be in with a chance of winning £1,000 cash prize, enter the Moneywise Customer Service Awards 2017 today. The awards gives you the opportunity to showcase financial providers you rate most highly, based on customer service experience, and we’d really appreciate your vote.

Loans defaulted last week

Retail display specialist. Loan 1617. Risk band C

This Surrey business was established in 2007 and has organised a meeting of creditors.

Medical consultants. Loan 3786. Risk band C

This Warwickshire business has been running since 2005 and is 3 months in arrears.

Shop. Loan 17383. Risk band D

This Oxfordshire business was established in 2010 and has become unresponsive after missing a repayment.

Plumber. Loan 23263. Risk band C

This Monmouthshire business has been running since 2003 and is being placed into liquidation.

Developers. Loan 11152. Risk band A+

This West Lothian business was established in 2008 and has become unresponsive after missing repayments.

Logistics business. Loan 5892. Risk band A+

This Essex business has been running since 2010 and is being placed into liquidation.

Builder. Loan 11656. Risk band C

This Lancashire business was established in 1997 and is being placed into liquidation.

Manufacturer. Loan 20283. Risk band B

This Manchester business has been running since 2009 and has become unresponsive after missing repayments.

Cleaners. Loan 5857. Risk band A

This West Midlands business was established in 2005 and is being placed into liquidation.

Consultancy. Loan 19846. Risk band A+

This Cumbria business has been running since 2011 and is 3 months in arrears.

Lighting specialist. Loan 14977. Risk band D

This East Sussex business was established in 2009 and has ceased trading.

Medical consultants. Loan 3786. Risk band C

This Warwickshire business has been running since 2005 and is 3 months in arrears.

Metal manufacturer. Loan 9376. Risk band D

This West Midland business was established in 1962 and is being placed into administration.

Window cleaners. Loan 11245. Risk band B

This Sheffield business has been running since 2005 and is over 90 days late.

Benefits of diversification

Lending to businesses can deliver attractive returns, while helping businesses access the finance they need to grow. However, from time-to-time some businesses will be unable to repay their loan, which is why lending a small amount to lots of different businesses is so important. Watch our 90 second diversification video below to find out more.

Our collections and recoveries team are working to recover the outstanding amounts for all of the loans described above and they will provide you with updates in the loan comments section on your summary page. Read how our collections and recoveries process works (part one and part two) on our blog.

Enjoy lending, the Funding Circle team

Rob McCorquodale