Grupeer ‘ready to repay a fifth of loans’
A fifth of Grupeer’s loan portfolio is ready to be repaid but the rest is made up of borrowers who are struggling, refusing to cooperate or not responding to requests at all, the European peer-to-peer lender claims.
The Latvia-based peer-to-peer lender suspended activity in March and has been auditing its portfolio in efforts to stabilise its platform and resume activity.
It has split its €46.9m (£42.3m) loan portfolio into five groups.
The first group, accounting for three loan originators worth 0.32 per cent of the portfolio or €165,399, is made up of borrowers that aren’t cooperating, but Grupeer said it will repay these itself at the earliest opportunity.
The second group, made up of 19 per cent of the portfolio or €9.05m, is ready to be repaid as scheduled, Grupeer claims.
The third group, representing 22 per cent or €10.53m, have financial difficulties and are working on a repayment schedule, while the fourth cohort – worth 14 per cent of €6.38m – are said to be “exploiting the situation” and legal action is being considered.
Grupeer is still working with a fifth group, worth 44 per cent or €20.84m, on their status due to borrowers facing financial difficulties.
Not all investors are convinced by Grupeer’s stabilisation strategy and there are plans to launch legal action so they can recoup their funds.
An action group has been established, named GRP-5612 after Grupeer’s last loan, and is instructing lawyers following concerns over the platform’s decision to suspend operations and block withdrawals.
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