MONEYTHING has insisted that new loans are coming to the business peer-to-peer lending platform amid investor concern about a lack of deal flow.
The platform hasn’t launched any new loans since shifting its strategy to less risky businesses in June.
Investors have raised concerns on forums about non-performing loans and a lack of new deals.
But speaking to Peer2Peer Finance News, MoneyThing’s managing director Sophie Pearce said the platform has funded 10 loans this year worth around £3m.
“We’ve looked at 188 deals this year, but the vast majority don’t make it through credit. Very few make it to the platform,” she said.
“We’re still pursuing the new plan of targeting mainly lower risk loans.
“It takes a little while to communicate the new messaging through to our network of introducers and brokers.
“We have some good prospects that we are putting through our credit process now and hope to be able to launch some new opportunities to our lenders in the coming weeks.
“We are concurrently winding down our older loan book and this is well underway.”
MoneyThing announced in June that it was not sustainable to focus purely on the higher risk/return side of the market and thus it will start lending to lower-risk businesses at lower rates.
It will offer investors returns ranging between seven and 10 per cent, instead of 12 per cent. MoneyThing also said that it may launch an auto-invest option.