We have a dedicated and highly experienced loan servicing team that manages the loan administration and arrears issues. Their processes have been tested and developed since 2012, the results of which are reflected in our non-performing loan rate.
Loans that go into arrears are identified by the team quickly. The borrower’s dedicated Portfolio Officer will contact the borrower immediately and follow up with a written arrears notification letter. In most instances, delays in repayment are due to legitimate reasons and borrowers will pay the interest due promptly.
In the event that a borrower fails to respond to our notifications, we will instruct professionals with a view to repossessing the borrower’s property. Investment property repossessions are generally straightforward processes, after which the property will be put on the market to be sold immediately.
After the deduction of the costs of enforcement and any Lendy fees, proceeds of the sale are distributed to investors. The length of time it can take to achieve this repayment is dependent on the legal process to repossess the property.