Hello, my name is Mikhailo. Question: how to find and choose a private investor, who is ready to lend his own funds for development, business creation and other personal goals?
It has been gaining popularity recently, so called, private lending. Advertisements and offers of such services, more often, can be found on the Internet and on the streets. Everyone knows, that a large part of such ads, nothing else, like cheating.
However, among such borrowers there are also real ones, are ready to provide favorable conditions for cooperation, therefore, it is very important to learn how to identify them among scammers.
To understand the essence of private lending, you need to understand who is doing it and why they need it.
1. Who is a private investor and what are his activities??
private creditor is a natural person, is ready to give another individual a loan from his own funds, under certain conditions, which are stipulated in the loan agreement.
The terms of debt repayment are established in such an agreement, loan amount, interest and penalties. A receipt must be attached to the contract, which is written by the borrower at the time of receiving the amount of money. It is possible to sign the agreement at a notary, but not necessarily.
The undoubted advantage of such cooperation for the borrower is that, that a private investor does not have access to credit history, and accordingly, she cannot influence the decision.
Amount, which can be borrowed, in this way has no clear limitations and depends on many factors, including the financial capabilities of the creditor himself. Mainly, are microloans on a card in the range 1 000 — 30 000 rubles and for a short period of time, in the middle, 2 months.
Interest rate, usually, is calculated for each day of credit use, in size from 0,3% to 4% in a day. Debt, in this case, returned at the end of the term, the whole, together with interest. Usually, no deposit or security is required. Creditors also meet, ready to lend a large sum, up to several million, however, such will already require appropriate support.
It is necessary to own property, able to cover the loan amount, agreement with the indication, that in case of non-repayment of the debt, the borrower's property will be transferred to the lender. Usually, the market value of the collateral must be at 30-40% above, than the loan amount. Interest rate and terms for such contracts, Of course, others - 15-30% annual, in the middle, on 2-3 years.
The payment system for a private loan is set individually, by appointment, which side is reached.
There are also premium category lenders, are ready to issue an amount of more than 5 million rubles, taking the relevant property as a pledge: expensive real estate, profitable business and others.
2. How to choose a private investor?
Searching for an honest person, able to borrow own funds, the process is quite complicated and takes a lot of time. Most of them try to find such persons in local mass media or in street advertisements, what not to do.
Firstly, there is a great risk of meeting with so-called black investors, who can offer to purchase equipment on credit from the store, promising to buy her back. At best, they will do it for 60-70% from the cost, and at worst, will not pay money at all, leaving the grieving borrower with a new debt and no goods.
Secondly, fraudsters can take the advance payment and go into hiding, which is also not uncommon. Usually, ad resources from private individuals do not verify their integrity.
You can ask your friends, it is possible, among them are those, who is ready to issue a sum of money at interest. Among the resources with announcements, you can highlight hcpeople, which check lenders and is a real possibility, find a suitable one among them.
Learn more about where and how to find an investor, we wrote in our last publication.
Yet, the best source may be a peer-to-peer lending exchange.
There are quite a lot of them in our country, the most popular of them:
- Vdlolg.ru;
- Zaymigo;
- Fingoroo;
- Cradbury, etc.
This scheme functions on the basis of Internet resources, where anyone can register as a borrower or investor. The site itself is responsible for the documentation, the same, as well as for checking participants.
3. How to make sure of the creditor's integrity?
Though, that it is not difficult to check the data about the investor, a lot of people fall for scammers, as a result of that, that the latter know how to profit very competently in the difficult position of borrowers.
After all, people are looking for such loans, which, have reasons, because of which they cannot apply for a bank loan, without having, example, work or positive credit history, often, already frightened by the actions of collectors or bailiffs, so, are ready for anything to receive the required amount.
In the first place, in the creditor's inspection may help internet. You need to enter data about a potential investor in the search bar and read the search results. Perhaps, reviews or announcements of this person will be found, but with a different name, which will give a clear understanding of the dishonesty of this person.
If the creditor requests an advance payment in any form and under any excuse - he should not be trusted. But even without an upfront fee, the trick may be in the credit agreement itself, which must be studied especially carefully. Perhaps, it is worth resorting to the help of a lawyer.
4. Other ways to find funding
There are also other ways of financing, when money is needed.
You can try, example, find money through the crowdfunding system. What is crowdfunding and what platforms exist for collecting money, we wrote in a special article.
We have also prepared a separate material on loans from private investors, in which they told in detail where to look for private loans and how to issue them correctly.
We hope we were able to answer your question. Best regards, Richpro.ru team!