Security and Liquidity | Bondster

Bondster puts high priority on the security and liquidity of investors' funds.

Security

What makes Bondster unique is that the investments there are secured by the loans’ collateral, which can be either real estate or other movable property. In case the borrower defaults on a loan, the loan’s collateral is sold. From the proceeds of the sale, investors' claims are settled.

Buyback guarantee is another form of security. The loan originator guarantees investors to return the outstanding principal and unpaid interest payments in the event of the debtor's default. These forms of security, together with portfolio diversification, greatly reduce the risks of investing.

These forms of security, together with portfolio diversification, greatly reduce the risks of investing.

Liquidity

When investing on Bondster marketplace you are provided with a variety of tools to determine when your invested funds are set to become available.

With the choice of the specific loan you invest in, you also choose the length of maturity. Bondster offers loans with a maturity of one year or longer.

For selected loans, loan providers allow premature termination of the investment.

Guarantee of liquidity gives investors the possibility to withdraw the invested amount immediately at any time.

Periodic withdrawal from investments gives investors the option to terminate their investment at regular intervals, usually monthly, quarterly, or annually. Early termination may incur a charge.

Early termination may incur a charge.