Update to our Terms and Conditions

At Funding Circle, we want all investors to have a simpler, better and fairer lending experience. To help achieve this, on 18th September we will be making a number of important improvements to how lending through Funding Circle will work. You can read more about these improvements here.

We will also be updating both our Investor and Borrower Terms and Conditions (collectively “Terms”) on 18th September, along with our Privacy Policy. We will also be making some small, related changes to the Loan Conditions. In addition, we’ve created a new Website Terms of Use.

What you need to do

The changes will go into effect for all existing investors and borrowers on 18th September 2017, and will apply to all new lending from that date.

If you are an existing investor, the next time you login to your Funding Circle account you will be prompted to read more about the changes we are making, and we’ll ask you to agree to the new Terms. Also, if you are an investor that currently chooses the individual businesses that you lend to, you will be asked to choose your new preferred lending option.

If you’re an existing borrower, it’s important that you read the new Terms because they will apply to you; however you won’t need to do anything else.

What is changing?

We’re making the following changes to our Investor and Borrower Terms:

We’re making them simpler and easier to understand

  • We’re restructuring the order, layout and sections of the Terms to make them easier to read.
  • We’re simplifying the language used to describe:
    • The process of becoming an investor or borrower.
    • How lending will work through the platform.
    • How you engage with the platform and with us.
    • The services we provide to you.
    • The security provisions for secured loans and our collections and recoveries processes.
  • To make the Terms shorter and clearer:
    • We are moving the definitions to a separate glossary to make them easier to find.
    • We’re removing some of the descriptions of how the platform works, for example how to transfer money into your account. You’ll still be able to find these in the Investor Guide and FAQs from 18th September.

We’re reflecting the new investor lending experience

  • The description of how your funds will be matched to businesses is being updated.
  • The section on how to sell your loan parts will be changing to reflect the improvements we have made, and that it will be a fully automated process.
  • From today we have become the first major lending platform to charge no fees for selling your loans, so we have removed references to sale fees from the Terms.

Your rights and our obligations

  • We are clarifying the process you can follow to cancel your Funding Circle account.
  • We’re simplifying the termination rights that apply in relation to your Funding Circle account.
  • We’re clarifying why we may make future changes to the Terms, and the way in which we’ll communicate them to you.

Changes to our Loan Conditions

  • We’re updating the terminology in the Loan Conditions to reflect the new lending experience and mirror the language of the new Terms (for example, we are removing words like “bids” and “listing”).
  • We’ve simplified the language by adding new definitions (for example, “Event of Default”, “Loan Completion Date” and “Total Amount Payable”)
  • We’re amending the section that describes the legal mechanism through which a loan part is transferred from one investor to another when loan parts are sold and bought.
  • We’ve included new circumstances where a borrower may be defaulted, for example where they are abusive to Funding Circle employees.
  • We’re rewording the fees section so it’s easier to understand.

Changes to our Privacy Policy

  • We’re simplifying the policy to make it easier to read and navigate.
  • We’re making some minor changes to our Privacy Policy so that it aligns with our Cookies Policy.
  • We’re making it easier for you to contact us to discuss your privacy rights.

New Website Terms of Use

  • We’ve created Website Terms of Use, which apply to everyone who uses our website even if you are not an investor or borrower.
  • The Website Terms of Use are designed as a set of rules and guidelines that govern your use of the website.

If you have any questions, please don’t hesitate to contact us and we’ll be happy to help.

Enjoy lending,

The Funding Circle team

Jack Pritchett

Senior Communications Manager