Lendermarket AI Overview on 09/2025

Lendermarket overview

Lendermarket is a European peer-to-peer (P2P) lending platform (based in Ireland, with Estonian roots) that connects retail investors to consumer and small business loans originated by various non-bank lenders. It offers attractive high yields – investors earned an average 15.9% annual return in 2024 (with loans offering up to ~18% interest) – by funding short-term personal loans across multiple countries.

All loans on Lendermarket come with a buyback guarantee: if a borrower is 60+ days late, the loan originator buys back the loan and repays the investor’s principal plus interest. This feature, along with the originators’ “skin in the game” co-investment, provides an extra layer of protection.

Key advantages of the platform include its zero-fee structure for investors, high yields, and new EU regulatory oversight. However, investors should also note the risks: Lendermarket has been highly dependent on a few lending companies (notably the Creditstar Group which launched the platform), and it experienced liquidity issues in 2022–23 when those companies delayed payments (funds were temporarily locked). There is no secondary market to sell loans, so liquidity is limited until loans are repaid or bought back.

Overall, Lendermarket offers an accessible way to earn passive income from loans (with an average return ~15–16% historically), but it comes with the typical higher risks of P2P lending, requiring careful consideration of the platform’s loan originators’ stability and past performance. Importantly, Lendermarket is now regulated by the Central Bank of Ireland under the EU Crowdfunding Regulation, which adds credibility and investor protections going forward.

Lendermarket Product Offering 💰

Lendermarket’s investment product is fractional loans – primarily unsecured consumer loans issued by its partner lending companies (loan originators) around the world. Investors can invest as little as €10 into a given loan and either manually select loans or use Auto-Invest to build a portfolio. The loans available range from short-term microloans (e.g. 1–3 month payday loans in Spain) to longer-term personal installments (up to 3 years, for example in Mexico).

Borrowers first receive loans from the originators, then those loans (or portions of them) are listed on the Lendermarket platform for investors to fund. Investors who fund a loan receive monthly repayments of principal and interest according to the loan’s schedule, and ultimately profit from the interest spread.

Every loan on Lendermarket carries a contractually binding Buyback Guarantee: if a loan is 60 days overdue, the originating company must repurchase the loan and pay the investor all due principal and interest. In addition, for loans from the Creditstar Group, there is a group guarantee – Creditstar’s parent company guarantees to cover any buyback obligations that a Creditstar subsidiary cannot fulfill (an extra safety net in case an individual lending subsidiary becomes insolvent).

Most loans on the platform are unsecured personal loans (high-interest credit given to individual borrowers without collateral), which means they carry higher default risk – but the platform’s buyback structure shifts the default risk from the investor to the loan originator (investors do not directly lose money on a default unless the originator itself fails). To diversify risk, Lendermarket works with originators in multiple geographies – as of 2025, loans originate from countries in Europe (e.g. Spain, Estonia, Finland, etc.), Latin America (Mexico, Colombia), and elsewhere.

The typical interest rates offered to investors range roughly from 10% up to 18% depending on the loan and originator, with many loans in the mid-teens (far higher returns than traditional bank deposits). Loan maturities vary: for example, Dineo (Spain) offers short-term loans up to 90 days, while Credifiel (Mexico) offers installment loans up to ~37 months.

Lendermarket initially even introduced some real estate–backed business loans – in 2022 it partnered with an Estonian lender (Credory) to fund property-backed SME loans (typically 6–24 month bridge loans secured by real estate, yielding ~7–9%). These collateralized loans were meant to provide lower-risk options on the platform.

As of 2025 the vast majority of listings are consumer loans, but Lendermarket has expressed plans to expand into more loan types (and new regions) as it grows. In summary, the product Lendermarket offers investors is a streamlined P2P lending experience: you invest in portions of many loans to individuals (and small businesses), earn high interest monthly, and rely on the platform’s safeguards (buyback commitments, group guarantees, etc.) to mitigate defaults.

The key risk point is that investors are ultimately exposed to the creditworthiness of the loan originators – if an originator goes bankrupt or cannot honor the buybacks, investors could face losses. Thus, understanding how each loan originator operates (their country, loan portfolio, and financial health) is an important part of assessing Lendermarket’s product.

Lendermarket’s structure – multiple originators, cross-border loans, high yields with buyback – can be very rewarding, but it should be considered an alternative investment with corresponding risks (it is not covered by deposit insurance or a guarantee fund, and your capital is at risk in case of extreme scenarios).

Lendermarket: Company & Platform Background 🏢

Lendermarket was founded in 2019 as a fintech initiative by the Creditstar Group, one of Eastern Europe’s largest consumer finance companies. It was essentially created as a funding marketplace for Creditstar’s loans, and later expanded to host loans from other lenders.

The operating company, Lendermarket Limited, is headquartered in Dublin, Ireland – a strategic choice to benefit from a robust regulatory environment and English-speaking jurisdiction. In December 2024, Lendermarket achieved a major milestone by securing authorization from the Central Bank of Ireland to operate as a regulated Crowdfunding Service Provider under the EU’s Regulation (EU) 2020/1503.

This authorization (a Crowdfunding license) means Lendermarket meets the rigorous standards of the new EU-wide regime for P2P lending platforms, including investor protection rules, reporting requirements, and operational safeguards. It allows Lendermarket to passport services across European Economic Area countries, legitimizing its cross-border business.

The platform’s core team and operations are run from Tallinn, Estonia (Creditstar’s home base), and it has support offices in other countries (e.g. Germany, Spain, France). Lendermarket’s management includes seasoned professionals in fintech and tech: the CEO since 2023, Carles Federico, brings 15+ years of experience scaling digital companies (he played a role in Skype’s global expansion).

He leads a team of experts in finance, growth, and engineering – for example, the Head of Growth (Gerad Kostak) and CTO (Helari Laurent) have backgrounds in high-growth tech companies and focus on improving the platform’s user experience and security.

Ownership-wise, Lendermarket remains closely linked to Creditstar Group, which is effectively the parent/anchor loan provider (and shareholder) of the platform. Creditstar’s influence is evident in the platform’s early strategy and the group guarantee it provides for its loans (more on that below).

In terms of performance and scale, Lendermarket has grown rapidly since launch: by the end of 2024 it had over 17,000 investors from across Europe and beyond, and had facilitated more than €456 million total loan volume since inception. In 2024 alone, investors on Lendermarket invested €68.5M into loans through the platform. The platform’s growth is also reflected in interest payouts – as of Dec 2024, it had paid investors a cumulative €24.7 million in interest earnings (over €30 million as of mid-2025).

Lendermarket’s user base is primarily EU-based retail investors; individual investors must be at least 18 years old and have a bank account in the European Economic Area or Switzerland to participate (both EU individuals and companies can invest, after passing KYC/AML checks).

The platform is privately held and has been funded by its parent group and revenues; it does not publicly report separate fundraising rounds. Financially, Lendermarket is still in a scaling phase – it was marginally profitable in 2023 (around €87k profit) but recorded a net loss of ~€300k in 2024 as it invested in platform upgrades and expanding operations.

This recent loss isn’t unusual for a growing fintech and was relatively small; it indicates that revenues (from originator fees) nearly covered costs, and management chose to reinvest in the business (compliance, new features, marketing) to support long-term growth.

With its newly obtained license and an enhanced platform (launched as “Lendermarket 2.0” in late 2024), the company is positioning itself for stable, compliant growth in the European alternative investment industry.

Overall, Lendermarket is owned and backed by a well-established lending group (Creditstar) and now operates under European regulatory supervision, giving it a stronger foundation than many unlicensed P2P startups of the past. Investors considering Lendermarket should take comfort in the regulatory status and the transparency of a licensed platform, but also remain aware of the platform’s short operating history and its close ties to the fortunes of its lending partners.

Lendermarket: Risk Management & Investor Protection ⚠️

Risk mitigation is a central focus for Lendermarket due to the inherent risks of P2P loans. The platform manages risk on two levels: (1) careful selection and monitoring of loan originators, and (2) structuring each loan with protections (buyback guarantees, skin-in-the-game, etc.) to shield investors from borrower defaults.

Before onboarding a loan originator, Lendermarket conducts extensive due diligence – as the CEO notes, their priority is to do “vast and precise” checks to ensure a lender is financially sound, compliant, and a good fit for the platform. They only partner with lenders who can demonstrate a successful track record, transparency in operations, and the capability to uphold the buyback commitment.

Lendermarket explicitly requires that any new originator must offer the 60-day buyback guarantee and maintain sufficient reserves or group backing to honor it. By design, this may involve reviewing the lender’s audited financials, credit scoring process, default rates, and even their regulatory status or supervision in their home country.

Once on the platform, each loan originator is continuously monitored. Lendermarket performs quarterly reviews of every partner lender and assigns an internal Risk Score based on multiple factors. Specifically, it evaluates four categories: Transparency, Legal compliance, Financial strength, and Transactional performance, plus a “Public Trust index” that captures external signals.

The scoring system is calibrated such that 1 indicates lower risk and 10 indicates highest risk. (Counter-intuitively, a low numerical score is good – meaning the originator passed most risk checks – and a higher score flags more risk). As of the latest update (March 1, 2025), Lendermarket’s published risk scores for its major originators were in the 2.6–3.5 range (out of 10), indicating a moderate-low risk assessment.

For example, Creditstar Group scored 2.60, Credifiel 2.76, Dineo 3.02, and Rapicredit 3.47 on this scale. These scores reflect factors like the availability of audited financials, regulatory oversight, loan portfolio quality, and payment history. Lendermarket provides investors with these risk ratings to enable informed choices, and it updates the scores periodically (quarterly) as conditions evolve.

On the structural side, Lendermarket has implemented several risk-reduction mechanisms across all investments. A crucial one is the Buyback Guarantee: every loan comes with a promise from the originator to buy back the loan if it becomes 60 days overdue, repaying the investor’s principal and accrued interest.

This effectively protects investors from borrower credit risk in most cases – the idea is that even if a borrower defaults or is late beyond 60 days, the investor shouldn’t suffer a loss because the lender compensates them. This guarantee has been successful so far: Lendermarket reports zero capital losses for investors to date.

It’s important to emphasize, however, that the buyback is only as good as the loan originator’s solvency – if an originator were to go bankrupt or lack liquidity, they might fail to honor the buyback. To bolster this protection, Creditstar-backed loans carry an additional Group Guarantee (Creditstar’s parent entity guarantees all buybacks of its subsidiaries), and another originator (Dineo) is also backed by a parent group guarantee.

This group-level support reduces the risk of a single subsidiary’s failure impacting investors. Next, all originators on Lendermarket maintain a “Skin in the Game” – they co-invest 5% to 10% of each loan on their balance sheet. This means the lender retains a portion of the loan (e.g. 5–10% of the principal) and only offers the rest to investors, ensuring the lender shares in any loss and has incentive to issue and service loans prudently.

This alignment of interest is a common P2P best practice and is strictly enforced on Lendermarket. Additionally, Lendermarket diversifies risk across geographies and loan types by working with multiple originators: as of 2025, loans span various countries and sectors, which helps mitigate the impact of any one economy or lender. “Diversification inside the platform” is explicitly a strategy – Lendermarket believes expanding its network of originators “helps mitigate risks through diversification” for investors.

In practical terms, an investor can use the platform to spread their funds across different lenders (Spain, Mexico, Colombia, etc., each with independent operations), reducing concentration risk.

Lastly, Lendermarket provides extensive risk disclosures and education to investors. Its website highlights that P2P loans involve risk, and it urges investors to evaluate risks carefully and perhaps seek professional advice. They publish a Risk Statement document and detail the risk scoring methodology for transparency.

In summary, Lendermarket’s risk management approach combines strict originator vetting, ongoing surveillance (risk scoring), and built-in loan safeguards (buyback guarantees with group backing, co-investment requirements) to create a more secure environment for investors. These measures have so far prevented investor losses on the platform.

Nevertheless, investors should remain mindful that the platform’s core risk is counterparty risk – i.e. the risk that a loan originator fails. Lendermarket’s multi-layered strategy (choosing reputable lenders, monitoring them, and enforcing guarantees) is designed to minimize this risk, but it cannot eliminate it entirely. The events of 2022–23, when a major originator was stretched thin (leading to delayed payments), highlight why these precautions are so important and why Lendermarket continues to refine its risk frameworks.

Lendermarket: Platform Features & Functionality ⚙️

Lendermarket provides a simple and convenient online platform for investing, equipped with tools to automate the process and information to help investors make decisions. Investors access Lendermarket via the web interface (there’s no separate mobile app, but the website is mobile-friendly). Key features include:

Auto-Invest: Lendermarket offers an Auto Invest tool that allows truly passive investing. You can define a set of criteria – for example, desired interest rate range, loan term, countries or specific originators, etc. – and the platform will automatically allocate your available funds into new loans that match those filters. Auto-Invest continuously reinvests your repayments, which means your interest earnings get redeployed into new loans, maximizing compounding. Many investors use this “set-and-forget” feature to maintain a fully invested portfolio without daily micromanagement. You can create multiple auto-invest portfolios or invest manually if you prefer.

Manual Investing: For those who want to hand-pick loans, Lendermarket’s Loan Listings page (accessible after login) lets you browse all available loans. You can see details like country, loan type, interest rate, remaining term, and the lending company. The interface is straightforward, and you can sort or filter loans to find ones that suit your strategy (e.g. highest interest, shorter term, specific originator, etc.). Placing an investment is as easy as entering the amount (minimum €10 per loan) and confirming. The platform updates your portfolio dashboard in real time, showing your invested loans, earned interest, and any pending payments.

No Secondary Market: One notable limitation is that Lendermarket does not currently have a secondary market for selling loans. This means once you invest in a loan, you are generally locked in until that loan is repaid (or bought back). You cannot trade or liquidate your loan investments early by selling them to other users. This impacts liquidity – if you needed cash, you’d have to wait for borrower payments or the 60-day buyback in case of default. Some competing platforms (like Mintos) offer secondary marketplaces, but Lendermarket has not implemented this (as of 2025). To compensate, Lendermarket’s loans often have relatively short durations (many under 1 year) and the platform relies on the buyback policy to provide an “exit” on defaulted loans after ~2 months of non-payment. Still, investors should plan for the possibility that funds could be tied up for the full loan term. Tip: To maintain liquidity, some investors stick to short-term loans so that their cash turns over faster – Lendermarket’s auto-invest can be configured to target short remaining terms if liquidity is a priority.

Currencies and Payments: All investments on Lendermarket are in Euro (€). You must deposit euros into your Lendermarket account (via bank transfer or card; the platform provides an IBAN details for wire transfers and also supports instant deposits by Visa/Mastercard). There are no currency conversion fees if you’re already using euros. (If your bank account is in a different currency, you’d need to convert to EUR before investing, as Lendermarket does not handle multi-currency accounts). Interest and principal repayments are credited in EUR to your Lendermarket account balance. You can withdraw funds back to your bank at any time (subject to standard transfer times) – withdrawals are free of charge and usually processed quickly (users report fast withdrawals).

Languages and Localization: The platform caters to an international audience and is available in 7+ languages. The website can be viewed in English, German, Spanish, French, Italian, Polish, and Finnish (with local domain versions like lendermarket.de, lendermarket.es, etc.). In early 2025, Lendermarket even launched a fully localized Polish version of the site with Polish-language customer support to better serve the growing investor community in Poland. This shows Lendermarket’s commitment to expanding its user base by offering native-language experiences. Customer support is provided during business hours (CET timezone) via email, and they are reasonably responsive to inquiries in supported languages.

Portfolio Tools: Lendermarket provides basic portfolio analytics on your dashboard – you can see your Net Annualized Return (NAR), which is your actual ROI accounting for cash drag and delays, and you can download account statements for tax or record-keeping purposes. They also have an “Investor Hub” blog section with articles (including guides on P2P investing, risk education, and platform updates).

Referral and Promotions: The platform runs a referral program where you can invite friends and get a bonus (often 1% of the friend’s investment amount as cashback). They also periodically offer cashback campaigns or loyalty bonuses (for example, seasonal promotions where investing a certain amount during a time window grants a bonus). These incentives are aimed at attracting new investors and rewarding active users, and are a common practice among P2P platforms.

In terms of user experience, Lendermarket’s interface is generally praised for being clean and easy to use. The process of creating an account, verifying identity (KYC), depositing funds, and starting investing is straightforward (often can be done in the same day). Security-wise, the site uses standard encryption and requires identity verification to comply with AML laws.

Investors’ funds are held in segregated accounts and are only used to fund loans or pay back to the same investor. There is no direct “app”, but accessing the website from a mobile browser is user-friendly enough to check your portfolio on the go. One thing to keep in mind is that without a secondary market or instant liquidity feature, account management on Lendermarket is relatively hands-off – you invest and then mostly wait for payments. The Auto-Invest ensures your cash is continually working, and you can always pause or adjust it if you want to change strategy.

Overall, Lendermarket provides the essential features needed for P2P lending, with an emphasis on simplicity: it deliberately avoids more complex features (like loan trading, or fancy risk slicing) in favor of a straightforward invest-and-earn model. This makes it particularly suitable for retail investors seeking passive income who are comfortable with the lock-in period of the loans.

Lendermarket: Fees & Costs 💵

One investor-friendly aspect of Lendermarket is its transparent and low-cost fee structure – in fact, there are no fees charged to investors.

Using Lendermarket is completely free for the investor: there are no account opening fees, no deposit or withdrawal fees, no service fees, and the platform does not take a cut of your interest. If you invest €100 and the loan pays 15% interest, you will get that full interest; Lendermarket will not charge any commission or platform fee on your earnings.

This is a huge advantage compared to some traditional investment platforms or funds that charge management fees. It also simplifies your returns – your gross yield equals your net yield (before any taxes you personally might owe).

Lendermarket covers its operational costs by charging the loan originators instead. While the exact fee arrangements with originators are not publicly disclosed, typically the platform might earn a small commission or spread from the originators (for example, a lender might fund loans via Lendermarket at a higher rate than it would through other means, with the platform effectively being compensated by that margin).

According to industry data, many P2P platforms charge originators a fee in the range of 2–5% of loan volume or share an interest margin. For instance, if a borrower is paying 30% interest on a short-term loan, the originator might offer it on Lendermarket at 15% to investors and use the remaining difference to cover credit losses and platform fees.

The bottom line is that as an investor you do not pay to use the platform – Lendermarket’s interests are aligned with yours in that it earns money when successful loans are funded and repaid. There are also no hidden fees for things like currency conversion or account maintenance.

Since all investments are in EUR and you must withdraw to your own bank, typically no extra charges apply (beyond perhaps a minor bank fee if you’re outside SEPA – but EEA/Swiss investors usually get free SEPA transfers).

Lendermarket does not withhold any taxes on your behalf either; all interest is paid gross, and it’s the investor’s responsibility to report and pay any due taxes in their home country.

This no-fee structure makes calculating your returns straightforward and ensures you’re earning the full yield advertised. Investors should just be aware that early exit is not possible (since there’s no secondary market), so the concept of early redemption fees doesn’t apply – you simply hold until loan completion.

Also, late payment interest: if a borrower is late but eventually pays (or the buyback kicks in), you continue to accrue interest on the delayed amount (though not all originators pay penalty interest beyond the original rate). Lendermarket’s terms indicate that during the 60-day buyback grace period, no additional interest is paid on pending payments, but once buyback or repayment occurs, you get the interest for the time you held the loan.

There are no penalties or fees for inactivity either – you can leave your cash in your account (though it won’t earn interest unless invested).

Overall, Lendermarket’s fee policy is very investor-friendly: the platform makes money from the loan originators, and investors can focus solely on the risk/return of the loans without worrying about platform fees eating into their profits.

It’s still wise to read the platform’s terms (the “Rules of the Platform” and fee section) to be aware of any edge-case fees (for example, if you were to request a withdrawal to a non-EEA bank, etc.), but for the typical investor everything from deposit to investing to withdrawing is free of charge.

This contrasts positively with some other alternative investments (e.g. certain crowdfunding projects charge entry or exit fees) – on Lendermarket, what you earn is what you keep, minus only any taxes you owe externally.

Lendermarket: Negative Publicity & Risks 🚩

Like many P2P platforms, Lendermarket has faced some challenges and criticisms, particularly during the 2022–2023 period, which prospective investors should note.

The most significant issue was around “Pending Payments” – essentially, situations where borrowers had repaid loans to the originator, but the funds were delayed in reaching investors, causing a backlog of money that investors couldn’t access. This was largely due to liquidity strains on Creditstar Group, the primary originator, during that time.

According to one analyst, “between 2022 and 2024, LenderMarket was essentially broken” with investors having their funds locked in pending status for months, and sometimes over a year. Investors on forums and social media reported that their loan repayments weren’t being paid out on schedule – the amounts showed as “pending” on their accounts, meaning the originator hadn’t settled them. This understandably led to frustration and negative reviews.

Throughout 2022, Lendermarket’s Trustpilot rating suffered, and many reviews cautioned others about the withdrawal delays. Some even questioned if it was a scam when they couldn’t withdraw funds for an extended period (though it was not – it was a liquidity delay, not an exit scam). It’s important to clarify that no investor actually lost money permanently in this episode – they were paid interest for the delay eventually – but the loss of access to funds for many months was a serious concern.

Lendermarket and Creditstar took measures to resolve the issue over time. By mid to late 2024, the Creditstar Group made consistent progress in settling pending payments, gradually reducing the backlog.

Lendermarket’s team kept investors updated via blog posts on the pending payment recovery and implemented a series of improvements. A major turning point was the launch of “Lendermarket 2.0” in 2024, which was a relaunch/rebranding of the platform aimed at streamlining the investment process and improving transparency after those issues.

Additionally, obtaining the EU crowdfunding license in Dec 2024 brought regulatory oversight – the Central Bank of Ireland would not allow a regulated platform to accumulate unpaid funds without action, so this added pressure to fix the problem.

By early 2025, the situation had normalized: an experienced Lendermarket investor reported that after about 10 months of delay, all his pending loans were finally paid back with interest by September 2024, and that new loans since late 2024 have been paying on time. Indeed, by March 2025, complaints on Trustpilot about late payments had “almost stopped” according to that user’s observation.

This suggests that the pending payment crisis was effectively resolved – investors were made whole and the platform returned to normal operation.

Lendermarket’s management openly acknowledged the issues and claims to have learned from them, tightening their monitoring of originators’ payment flows. They also introduced features like allowing Auto-Invest to reinvest pending funds (so money isn’t idle if waiting), and more transparent reporting of any delays.

Despite the recovery, the legacy of this episode is still visible in Lendermarket’s reputation. As of mid-2025, its Trustpilot score is around 3.2 out of 5 – an average rating reflecting mixed feedback. Many recent reviews are positive (highlighting the high returns and that withdrawals are working again), but older negative reviews citing the delays remain a cautionary tale.

It’s worth noting that Creditstar Group’s financial health was a root cause of the issue: essentially, Creditstar had a temporary cashflow crunch in 2022 (it expanded lending aggressively and had some bond refinancing delays), which led to it slowing payments to retail investors on Lendermarket and other platforms.

However, Creditstar did not default – it managed to raise additional funding (issuing new bonds and securing institutional investments) and remained profitable (it reported a €7.3 million profit for 2024, down from prior years due to transitioning to IFRS accounting). This recovery by Creditstar allowed it to catch up on pending investor payments.

The incident highlighted the concentration risk on Lendermarket: because Creditstar and its affiliates made up a large portion of loans, any trouble at Creditstar directly impacted investors platform-wide. Some experts have pointed out this risk; one reviewer noted that “the loan originator Creditstar… seems to have a liquidity problem” and cautioned to monitor that closely.

Lendermarket has since diversified originators more (adding new non-Creditstar lenders) to reduce this reliance, but Creditstar is still significant.

Aside from the pending payment saga, no other major negative events have been reported with Lendermarket.

There have been no frauds or platform hacking incidents publicized, and no originator defaults on the platform to date. Negative publicity has largely been limited to operational and liquidity issues rather than misconduct. The platform’s owners and management have not been involved in scandals – in fact, the successful licensure by the Irish regulator in 2024 provides some confidence in the platform’s governance and compliance processes now.

Investor sentiment has been gradually improving in 2025 as trust is rebuilt; many who were very critical during the delays have acknowledged that the platform ultimately paid out what was owed (often with penalty interest).

Still, the event underscored that P2P investing carries not just credit risk but also platform risk: you are relying on the platform and originators to handle funds promptly.

For a prospective investor, the key takeaways from Lendermarket’s challenges are:

• do not invest money you can’t afford to leave for an extended period

• diversify – not only within Lendermarket (across originators) but perhaps across multiple P2P platforms – to avoid being over-exposed to one company’s liquidity issue

• stay informed via Lendermarket’s updates; during the pending payments period, the company did communicate progress (though some felt communication could have been more proactive)

Now that Lendermarket is regulated, it is obligated to segregate investor funds and follow strict payment timelines, which should help.

In summary, Lendermarket had a rocky period that earned it some negative publicity, but it took corrective action and has largely restored normal operations.

Investors should remain aware of the risks of delayed payouts in extreme scenarios, and the importance of the loan originators’ financial stability, but can also take some comfort in the fact that investors ultimately did not lose capital and the platform is under official supervision going forward.

Lendermarket: Lendermarket: Success Stories & Recent Developments 🎉

Despite the challenges, Lendermarket has achieved several notable successes and milestones, especially in the past two years, signaling its growth and improving stability.

2024 was a landmark year for the platform. In a note to investors, Lendermarket described 2024 as “a standout year” marked by robust growth and improvements.

Some highlights:

High Investor Returns: Investors on Lendermarket earned an average 15.9% annual return in 2024, which is an exceptionally high yield in any market. In total, over €8 million of interest was paid out to investors in 2024 alone. Such performance demonstrates the earning potential of the platform’s loans. Lendermarket often touts that with ~15%+ returns, an investor can double their money in under 5 years with reinvestment, significantly outperforming traditional savings – a fact echoed in their marketing. Achieving these returns during a tumultuous period was a success story for those who stayed invested.

Scaling Up and Cumulative Volume: By the end of 2024, the platform reached €456 million+ in total loans funded since inception, up from around €300M the year before. This cumulative volume indicates that Lendermarket has facilitated nearly half a billion euros in alternative financing. As of mid-2025, total volume has exceeded €500 million and counting. This growth in volume is a strong validation of the platform’s ability to attract capital and deploy it effectively. Alongside volume, the investor base expanded to over 20,000 registered users (crossing the 20k mark in 2025) – up from 17k at end of 2024. This indicates that trust in the platform has been (re)gained and new investors are coming on board.

Platform “2.0” Relaunch: In mid-2024, Lendermarket launched a revamped platform (often referred to as Lendermarket 2.0). This wasn’t just a cosmetic update; it introduced a smoother user interface, new Auto-Invest features, and better transparency tools. It was effectively a reboot to incorporate lessons learned and to modernize the investor experience. The company has indicated that Lendermarket 2.0 streamlined the investment process and improved reporting to investors (for example, clearer visibility of pending payments and risk ratings). The successful rollout of the new platform version was a positive development celebrated by the community, as it showed Lendermarket’s commitment to evolving and responding to investor needs.

EU License Achievement: Gaining the EU Crowdfunding License in 2024 is a major success for Lendermarket. This made it one of the relatively few P2P platforms to be fully authorized under the new European Crowdfunding Regulation by the (initial) deadline. It signals that Lendermarket’s processes, compliance, and financial robustness met the stringent criteria of the Central Bank of Ireland. For investors, this license is a stamp of credibility – it can be seen as analogous to an exchange or broker license in terms of rigor. Post-licensing, Lendermarket proudly states it is regulated and this has been used in marketing to distinguish it from unlicensed platforms. This achievement also opens doors for expansion: as a regulated entity, Lendermarket can legally market to and accept investors from all across the EU (and beyond, under certain conditions). Indeed, after licensing, the platform expanded into new markets, such as launching tailored services for Poland in early 2025. The fully localized Polish website and support were launched because the number of Polish investors was growing rapidly, and Lendermarket wanted to provide a seamless experience for them. This localized approach can be replicated in other countries too.

New Originators & Diversification: Lendermarket successfully onboarded new lending partners outside the Creditstar group, a key strategic goal. For example, in 2024 it added Credifiel, a large Mexican lender, to the platform – allowing investors to fund loans in Mexico and earn up to ~12% on those. Similarly, Rapicredit from Colombia and Dineo from Spain had been added earlier, turning Lendermarket into a true multi-lender platform. Each new originator brought in fresh loan supply and geographic diversification. The addition of Credifiel in late 2024 meant Lendermarket had four active external originators (Mexico, Spain, Colombia, plus Creditstar’s group). This was celebrated as it reduced reliance on any single lender and gave investors more choice. Lendermarket’s team has signaled intentions to continue onboarding more lenders in 2025 and beyond, including potentially new types of loans. In fact, as of mid-2025, an Estonian SME lender “ESKA” was listed as “coming soon” on the site, hinting at further expansion (possibly in secured business loans). This momentum in partnerships is a success because it means Lendermarket is an attractive funding channel for lenders – likely due to its growing investor base and efficient platform.

Zero Default Track Record: Lendermarket can claim that, to date, no investor has lost principal on the platform – a notable point in the P2P industry. Thanks to the buyback guarantees, even when borrowers default, investors have been made whole (assuming the originator stays solvent). The platform emphasizes its “zero capital loss” record as a badge of success. Many P2P platforms eventually faced an originator default or had to impose losses; Lendermarket so far hasn’t, which is encouraging (though not a guarantee for the future).

Investor Community and Engagement: By 2025, Lendermarket has fostered a dedicated community of investors, including bloggers and influencers who report their experiences. For instance, some independent P2P bloggers have updated that after initial skepticism, they are satisfied with Lendermarket’s turnaround and are earning strong returns again. Re-engaging the community post-crisis is itself a success. Lendermarket also reached out with educational content (via its blog and webinars) to help investors understand P2P risks, which improved its image as a responsible platform.

Volume and Profitability Milestones: While still small, Lendermarket’s business itself showed positive signs – it was profitable in 2021 and 2022, and though it made a modest loss in 2024 due to reinvestment, the expectation is that with scaling volumes it can be sustainably profitable. The loan volumes in 2024 (over €100M loans originated that year) were roughly 50% higher than 2023, indicating strong growth. Creditstar, its main partner, also stabilized and continued to raise funding (it raised €33M in bonds in 2022 and more in 2023, and has never defaulted on its bonds as of 2025, which indirectly boosts confidence in Lendermarket).

In summary, the past year or two have seen Lendermarket turn a corner: it fixed prior issues, earned a license, grew its user base, and continues to offer very competitive returns.

Hitting the half-billion euro mark in funded loans and 20k investors are major milestones that place Lendermarket among the notable P2P platforms in Europe (albeit smaller than giants like Mintos).

Its ability to adapt – such as enhancing the platform and diversifying originators – is a promising sign for its future. Investors considering Lendermarket now can see a platform that has matured through adversity and is positioned for further growth, with the backing of a solid lending group and a committed management team.

The success stories of investors earning high passive income, and the platform reaching new highs in performance, illustrate why Lendermarket is increasingly viewed as a serious player in the alternative investment space. 🎉

Loan Originators (Lending Partners) 🤝

A critical aspect of Lendermarket is the roster of Loan Originators – the lending companies that supply loans to the platform. These are the entities borrowers actually deal with, and they are responsible for underwriting the loans, servicing borrowers, and honoring the buyback guarantees. Below is a list of Lendermarket’s major loan originators, along with key information about each. Understanding these companies is vital, since your risk and returns on Lendermarket are directly tied to their performance.

Creditstar Group (Europe) – Consumer finance leader with group guarantee. Creditstar is an international consumer finance group founded in 2006 in Estonia, and it is the original creator of Lendermarket. Creditstar operates in 8 European countries (including Estonia, Finland, Sweden, Denmark, Czech Republic, Poland, Spain, and the UK), offering unsecured personal loans and lines of credit to consumers. On Lendermarket, Creditstar’s subsidiaries (like Creditstar Spain, Finland, etc., and its Estonian branch Monefit) list personal loans that typically carry around 14–15% interest and have terms ranging from a few months up to a couple of years. Creditstar is unique in that it provides a Group Buyback Guarantee: the parent company guarantees all buyback obligations of its subsidiaries on Lendermarket. This adds an extra layer of security for investors – if, say, Creditstar Spain could not fulfill its buybacks, Creditstar Group would step in to cover them. Creditstar Group has a track record of profitability (it’s been profitable almost every year); in 2024 it reported €7.3 million net profit (under new IFRS accounting). The group funds its lending through a mix of equity, bonds, and P2P capital. Notably, Creditstar has raised tens of millions via bond issues (e.g. €33M in 2022) and has no bond defaults to date, indicating solid creditworthiness. As of 2025, Creditstar employs over 100 people and is regulated in each country it operates (complying with local consumer lending laws). Management & Ownership: Creditstar was founded by Aaro Sosaar, who remains CEO. It’s privately held by its founders and investors. Risk & Publicity: Creditstar had some liquidity tightness in 2022 (causing the Lendermarket delays), but it recovered by raising new funding and is closely monitored by Lendermarket’s team. Lendermarket’s internal risk rating for Creditstar is one of the better scores (2.60 out of 10, indicating relatively low risk). Investors should be aware that Creditstar-originated loans make up a large portion of Lendermarket’s portfolio (historically the majority), so the group’s financial health is critical. The group guarantee and strong track record provide comfort, but concentration risk exists. Overall, Creditstar is a high-volume, high-interest lender that drives Lendermarket’s high yields, and it has so far upheld all commitments (though sometimes with delays). Its ability to continue doing so is a cornerstone of Lendermarket’s success.

Rapicredit (Colombia) – Leading Colombian microlender focusing on financial inclusion. Rapicredit is the largest digital micro-loan fintech in Colombia, operating since 2014. It provides short-term consumer loans to individuals who often lack access to traditional bank credit. Typical Rapicredit loans are small (from about COP $200,000 to $1,000,000, roughly €40–€200) and have terms up to 180 days (6 months). On Lendermarket, Rapicredit offers loans with interest rates up to around 18% annual and maintains a 10% “skin in the game” stake in each loan. Rapicredit’s mission is financial inclusion – by 2023 it had provided credit to 550,000+ unbanked Colombians, and notably about 36% of its customers were able to transition to the formal financial system after borrowing from Rapicredit. This indicates Rapicredit is helping many first-time borrowers build credit history. Scale & Performance: Since inception, Rapicredit has issued over 2.8 million loans (many are very short-term repeat loans). It has reported that its Non-Performing Loan (NPL) ratio (loans 360+ days overdue) is ~6.5%, which is quite stable for the microloan sector. For investors, this default risk is mitigated by Rapicredit’s buyback guarantee (after 60 days overdue) – the company’s relatively low NPL suggests it manages collections well. In terms of financial backing, Rapicredit has been successful in attracting investment: in late 2022 it secured a total of USD $15 million in funding, and in November 2023 it raised an additional $7 million in debt from a U.S. fund (Alma Sustainable Finance/Almavest). It also raised $3M from local Colombian banks, totaling $10M fresh capital in early 2023. This capital infusion strengthens its ability to lend and cover buybacks. Ownership/Management: Rapicredit’s CEO is Daniel Materón, who has often spoken about their social impact. The company is privately held, with investors like Almavest now involved. Risk & Notes: Rapicredit operates in the emerging market of Colombia, which introduces currency risk (COP vs EUR) – though on Lendermarket, investors transact in EUR, Rapicredit bears FX risk as it must convert funds. The country’s economic swings could affect borrowers’ ability to repay, but Rapicredit’s relatively short loans and high interest help price that risk. Lendermarket’s risk rating for Rapicredit is currently the highest among its originators (score 3.47/10, still in the low-to-moderate range), reflecting perhaps the emerging market risk and shorter track record. There hasn’t been negative publicity about Rapicredit’s integrity; in fact it’s often highlighted as a fintech success in LatAm. Investors should simply be aware it’s a smaller company than some European lenders. So far, Rapicredit has fulfilled all its obligations on Lendermarket, and its growth (plans to expand to other Latin countries in the coming years) could further diversify its risk. It provides a nice geographic diversification for Lendermarket investors with its high-yield Colombian loans.

Credifiel (Mexico) – Established Mexican lender specializing in payroll loans. Credifiel is a lending company from Mexico, founded in 2006, that specializes in consumer loans and home improvement loans, particularly targeting public sector employees and other underserved demographics. It’s essentially a payroll lender – many of its loans are repaid via payroll deduction, which historically results in lower default rates. Credifiel joined Lendermarket in 2024 as a new originator as part of the platform’s diversification. The loans Credifiel lists on Lendermarket are mid-term installment loans with durations up to 37 months (just over 3 years) and offer around 12% annual interest to investors. These are longer and lower-rate compared to the short-term loans from others, but still offer solid returns and diversification in term length. Credifiel keeps a 10% skin in the game on its loans and provides a standard 60-day buyback guarantee for Lendermarket investors. Scale & Financials: Credifiel is one of Mexico’s sizable non-bank lenders. Since 2006 it has served 330,000+ clients and issued over 580,000 loans (many repeat loans), with a total net loan portfolio of ~€71.7 million as of 2023. These figures indicate an average loan size of a few hundred euros, consistent with personal loan products. In 2022, Credifiel’s annual report showed it was growing and profitable (exact profit not public via Lendermarket, but no losses were indicated). The Mexican lending sector did see some turmoil in 2020–2022 (several large lenders like Crédito Real and AlphaCredit defaulted on bonds), but Credifiel navigated that period without such issues. In fact, Credifiel also raises funds internationally – it has previously listed loans on the Mintos platform, and its presence there and on Lendermarket suggests it has a diversified funding strategy. Ownership: Credifiel’s legal entity is Publiseg S.A.P.I. de C.V. SOFOM E.N.R. – essentially a Mexican finance company. It is privately owned; details on shareholders aren’t public, but it’s presumably owned by its founders and private investors. Risk Perspective: Lendermarket’s March 2025 risk score for Credifiel is 2.76/10, one of the lower (better) risk scores among peers. This likely reflects that Credifiel is a well-established, transparent company (it has audited financials and a long track record). The loans themselves are a bit lower-yielding and longer-term, which might attract slightly more conservative P2P investors. Key risks could include economic changes in Mexico (inflation, etc.) that affect borrowers, and currency risk – although Credifiel’s loans are in Mexican pesos, the platform deals in EUR, Credifiel would need to manage exchange rate exposure. So far, Credifiel has had no negative publicity; its inclusion on Lendermarket was seen positively and no incidents have been reported. Investors should monitor Credifiel’s performance (e.g. any news in Mexican financial press), but given its solid history and Lendermarket’s oversight, it’s considered a stable addition.

Dineo (Spain) – Spanish microloan provider with offline presence. Dineo Crédito SL, launched in 2014, is a Spanish lender offering small, short-term loans to individuals. Dineo is interesting because it operates a hybrid model: it serves customers online nationwide, but also through 75 physical storefronts across Spain (these are located within Cash Converters pawn shops) to reach customers who prefer cash loans offline. This gives Dineo a broad reach, including non-digital customers. On Lendermarket, Dineo offers short-term consumer loans typically ranging from €50 to €600 with terms up to 30 days (extendable to 90 days). The interest rates are around 10%–15% for those short durations (annualized, they appear lower, but since terms are just 1–3 months, the actual interest per loan is a small fixed fee). Dineo usually charges higher APRs to its end borrowers (short-term microloan rates in Spain can be quite high), but on Lendermarket the investor yield is in the teens. Dineo retains 5% to 10% of each loan (skin in the game) and has a 60-day buyback guarantee on Lendermarket. Additionally, Dineo’s obligations are backed by its parent group (thought to be Cash Converters Spain or a related holding), providing a form of group guarantee – Lendermarket noted that Dineo’s buybacks are also covered by a group guarantee, giving extra assurance to investors. Scale & Performance: Dineo has a significant track record in Spain. Since 2014, it has issued over 1.4 million loans totaling €335 million in volume. It has served more than 195,000 clients, many of whom are repeat borrowers. In 2022, Dineo reported €15.9 million in revenue and importantly disclosed some portfolio quality metrics: a default ratio under 11% and an NPL ratio of 12.1% at end of 2022, which was an improvement of 3.6 percentage points from 2021. These figures suggest that while a portion of borrowers do default or pay late, Dineo’s losses are within manageable levels (and remember, investors are insulated by buyback). The company allows up to two extensions of 30 days each on loans, which helps some borrowers avoid default by giving more time. Ownership: Dineo is part of the Cash Converters Spain ecosystem – Cash Converters (a major pawn/second-hand franchise) actually set up Dineo to offer small loans in their stores, so it has a strong corporate backing. This likely explains the group guarantee aspect. Risk & Outlook: Lendermarket’s internal score for Dineo is around 3.02/10, similar to Credifiel, indicating a moderate-low risk. Spain’s regulated lending environment means Dineo must comply with interest rate caps and consumer protection, which it does as a licensed entity. Dineo has not had negative press; it’s a relatively smaller operation in the context of big banks, but within P2P it’s regarded as a reliable originator. The main risk for Dineo would be any economic downturn in Spain affecting its mostly subprime customer base, but given its offline/online mix and careful lending (the average loan is very small), it spreads risk well. During COVID-19, for instance, Dineo’s default rates rose but stayed around ~10–12%, which is actually reasonable for short unsecured loans. Investors on Lendermarket benefit from Dineo’s very short loan terms – meaning quicker turnover of investments and faster buyback execution if needed. Dineo adds valuable diversification in a Euro-zone market with slightly lower yields but potentially lower currency risk and stable regulation. It has been a success story on Lendermarket in that it broadened the platform beyond Creditstar and operates smoothly (even during the 2022 troubles, Dineo’s portion didn’t cause issues).

(Other originators: In 2023, Lendermarket also listed QuickCheck (Nigeria) – a fintech lending in Nigeria – and an upcoming ESKA originator (details TBD). QuickCheck was a short-term loan provider in Nigeria that was briefly available, offering very high yields ~18%+ in an African market. It underscored Lendermarket’s ambition to be geographically diverse. However, as of 2025, QuickCheck loans are not on the platform, possibly due to regulatory constraints with non-EU originators under the new license or strategic refocus. If Lendermarket adds ESKA or others, investors should review the specifics of each new originator as they come.)

Bottom line: Lendermarket’s loan originators are the backbone of the platform – each brings a different mix of geography, loan type, interest rate, and risk profile. The biggest originator is Creditstar (multiple country subsidiaries), which offers high-yield consumer loans with the extra security of a group guarantee. The Latin American originators (Rapicredit and Credifiel) add emerging market exposure and double-digit returns, while Dineo provides Euro-area loans with very short durations. Together, they give Lendermarket users a chance to diversify across at least 8–9 countries and a range of loan terms. Investors should keep an eye on each originator’s health – Lendermarket publishes updates and risk scores, and one can also consult originators’ financial reports (some, like Creditstar and Credifiel, publish annual reports). Thus far, all active originators have been fulfilling their buyback guarantees and none have defaulted on their obligations to investors. The loan originator list is expected to grow, which will further enhance diversification (and likely bring down the concentration in Creditstar over time). When evaluating Lendermarket, one should essentially evaluate these underlying companies – their credibility, default rates, and financial strength – as much as the platform itself. Lendermarket makes this easier by providing risk ratings and data on each (as we’ve summarized above), but continued due diligence is advised, especially as new originators are added.

Is Lendermarket safe and legit?

Lendermarket is a legitimate P2P investment platform, now regulated by the Central Bank of Ireland as an EU Crowdfunding Service Provider. This regulation mandates strict investor protections and oversight. The platform has been operating since 2019 and is backed by the Creditstar Group (a reputable European lender). In terms of safety, Lendermarket uses protective measures like buyback guarantees on all loans and originator risk scoring to reduce risk. No investor has lost money to default so far (thanks to the buybacks). However, “safe” is relative – these are high-risk loans you’re investing in, and the safety ultimately depends on the loan originators staying solvent. The main safety concern in the past was liquidity: in 2022–23, some investors experienced long delays getting repaid (due to originator issues), which has since been resolved. As of 2025, with regulatory supervision and a track record of honoring obligations, Lendermarket can be considered reasonably trustworthy within the P2P sector, but not risk-free. You should only invest money you can afford to tie up for the loan durations and be aware of the risks. Overall, Lendermarket is “legit” – it’s a real company (not a scam) with thousands of users and millions paid out, but like any investment, it carries risk and is not guaranteed.

What happens if a borrower doesn’t pay back a loan?

If a borrower defaults or is late beyond 60 days, you don’t have to take legal action yourself – instead, the Loan Originator activates the Buyback Guarantee.

Once a payment is 60 days overdue, the originator will buy back the loan from you. You will receive the remaining principal you invested in that loan plus any interest that was accrued up to the buyback date.

Essentially, the originator compensates you as if the loan had been repaid (interest typically stops at the 60-day mark, though some originators may also pay a late interest or penalty interest). This means that as an investor, you are not directly impacted by individual borrower defaults, as long as the originator is financially able to honor the buyback.

After buying back, the originator will continue trying to collect from the borrower (but that no longer involves you).

Important: During the period the payment is overdue (the 60 days), that amount may show as “Pending” on your account and you won’t be able to withdraw it – no additional interest is usually paid for the pending period (it’s as if time stops at day 60).

But once the buyback occurs, your money is freed up and you can reinvest or withdraw it.

All loans on Lendermarket have this buyback feature (either by the originator or a group guarantee), so individual borrower non-payment is not a direct loss to investors.

The larger risk to watch is if the originator itself fails (since then they might not fulfill buybacks – see next question). But to date, all delayed loans have been covered by the originators on Lendermarket.

What is the biggest risk with Lendermarket for an investor?

The single biggest risk is Loan Originator insolvency or default – meaning one of the lending companies goes bankrupt or cannot meet its obligations. If that were to happen, investors could face losses on the loans from that originator, because the buyback guarantees and pending payments might not be honored. For example, if (hypothetically) Creditstar Group went bankrupt, it’s likely that its loans on Lendermarket would stop paying and investors might not get the remaining principal back in full. This is the scenario P2P investors worry about, akin to a bank failure in the traditional sense. Lendermarket does evaluate originators’ financial health and currently rates them in a relatively low risk range, and Creditstar provides a group guarantee to back its subsidiaries, which adds confidence. But this risk can never be fully eliminated – it’s inherent in the model (you’re investing in loans underpinned by these companies). Other risks include liquidity risk (you can’t withdraw or sell easily before loans mature, especially if there are delays – as seen in 2022) and regulatory/currency risk (some loans are in emerging markets like Colombia – political, economic or currency turmoil could affect those originators). There’s also general platform risk – though regulated, if Lendermarket the company had financial trouble or was hacked, that could disrupt operations (note: investors’ claims to the underlying loans would still exist even if the platform had issues; regulations require contingency plans for that). In summary: the key risk is that something stops the originators from paying you (be it bankruptcy or liquidity crunch). The best mitigation is diversification – spread investments across all originators and even across multiple platforms – and keep an eye on Lendermarket’s updates about each originator’s status.