Folk2Folk
Folk2Folk is a peer to peer lending platform specialising in loans secured against UK land and property with a focus on farming and rural businesses.
With the launch of “The Local Lending Movement,” Folk2folk is on a mission to help build and sustain socially and financially successful rural communities, by creating ecosystems on a local level that facilitate rural business growth on the ground. They have built relationships with other interested parties such as local authorities, MPs, Chambers of Commerce, Local Enterprise Partnerships, leisure and tourism platforms, charities and banks – with whom they have an increasingly symbiotic relationship.
Lenders can earn up to 9% p.a. interest on the capital they lend with a tax-free IFISA option available. Lending terms are for 6 – 60 months with a minimum investment of £20,000.
There are three ways the lender can exit from an investment with this platform; wait for the investment to mature to full term; when the borrower chooses to repay their loan; or you may offer your loan for sale on their secondary market “Market Place”
There are no fees to enter into a peer to peer loan. Fees do apply when exiting an investment early, for example, there is a listing fee of £250 to place a loan for sale on “Market Place” and a Success Fee of 0.5% of the value of the loan being sold payable minus the Listing Fee.
Folk2Folk manages risk by securing loans against UK based land or property, with a loan to value (LTV) maximum of 60%. They are currently using Market Values for the valuations on new loans. As part of their process, they use external solicitors and valuers to assess the proposed security property and checks are made to confirm these professionals have Professional Indemnity Insurance.
All loans are subject to an internal annual review to ensure the original transaction is on track. They also check for external influences that could undermine the lender's investments such as falling GDP, lowering interest rates, sector stability, and current political environment.
Your investment is not covered by the Financial Services Compensation Scheme. Although if for any reason Folk2Folk should cease trading it has arrangements in place with a Standby Servicer who would take on Folk2Folk’s administrative and servicing obligations. The Standby Servicer would manage the collection and payments of all monies while the wind-down takes place.
Folk2Folk Products and Investment
Investor Overview
- Rates from 4.5% - 9% p.a.*
- Interest paid monthly
- Secured against land or property
- Personal service
- Minimum investment of £20,000
- Lend from 6 - 60 months
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Number One Business Centre, Western Road, Launceston
PL15 7FJ
08178576
company number
14/08/2012
incorporated 12 years
Officers
Justin David Abbott Chalew
Appointed: 03-10-2019
Alexander James Daly
Appointed: 27-09-2019
Graham Merlin Dingle
Appointed: 30-07-2019
Louis Aidan Mathers
Appointed: 14-08-2012
Megan Aileen Mccracken
Appointed: 21-10-2019
Timothy Charles Sawyer
Appointed: 18-10-2012
Roy Francis Warren
Appointed: 28-08-2019