Welcome to my P2P lending income update for the month of August 2019! As usual, I’ll give you a detailed look at my peer to peer investments and returns for last month.
While August has been a beautiful month for the most part, I want to be fully transparent with you also when things don’t go as planned…
An expensive lesson
In the beginning of the year I started experimenting with Automated Forex Trading. For the first time in my life, I let myself be influenced by a friend who’s opinion I generally trust and invested into something I didn’t fully understand and had pretty much no control over.
Well, long story short – things didn’t go as planned. Ultimately, in August I decided to pull the plug and exited the investment at a considerable loss (-56%!).
While that hurt quite a bit, I’m not going to lose too much sleep over it and am actually happy that it’s over. I already categorized my mistake as a learning experience and will do my best to grow from it personally and professionally. Also, it could have gone way worse.
On the upside, that meant that I was able to allocate more funds into P2P lending and ETFs last month!
P2P Lending Income – August 2019 Overview
*recently added, including bonus payments
Taking a closer look at my P2P returns
My monthly income from my investments in P2P lending is still on the rise and reached 250,68€ (+23,77€) for the first time! As a result, that means I reached 16,7% (+1,57%) of my first goal, which is 1.500€ monthly passive income from investments.
Thanks to the money I got back from my ‘mistake’, I was able to invest a total of 4.750€ into several P2P platforms over the course of August.
It seems like I caught last month’s low pretty well, as I’m already up 6% on the position. Either way, I consider ETFs to be another long-term investment, so I don’t care much about the ups and downs we will inevitably see.
I earned 66,03€ (+2,58€) in interest on Envestio last month. 3 projects were published in August and I was able to re-invest the interest and principal payments I received.
The AutoInvest, which Envestio published recently, is doing its job pretty well so far. Hopefully they’ll be able to increase the number of available projects in the future.
- You can get a 5 Euro Bonus on your first deposit + 0,5% Cashback on all your investments during the first 270 days if you sign up via my link.
- My Envestio review
Iuvo Group generated 33,24€ (-1,22€) in interest last month and reliably reinvested my interest and principal payments right away.
I like how little time I need to spend on the platform, everything runs smoothly and so far, I never needed to adjust my AutoInvest settings to be fully invested into buyback loans with 13-15% interest per year.
- Don’t forget to take advantage of the 30-90€ Refer-a-friend Bonus, if you’re interested in Iuvo Group.
- My Iuvo Group review
I added 2.000€ to my Mintos account on August 11th, increasing my total investment on the platform to 7.505€.
Because of the seasonal decrease in average interest rate over the past 1-2 months on Mintos, I’m currently re-investing my money into mostly 12% interest buyback loans by loan originators with a rating of A to B-. I’m sure interest rates will pick up again in the coming months.
Mintos Invest & Access
Last month I earned 10,52€ (+3,29€) in interest on Mintos Invest & Access.
- Read: Mintos Invest & Access vs. Bondora Go & Grow – My 1.000€ Experiment – updated regularly!
- Watch: Two-Month Update Video
My IRR on Invest & Access increased to 9,19% (+2,29%) in August, so hopefully we’ll be seeing double digits soon.
Still, let’s see how the coming months go, now that the average interest rate has dropped on the Mintos marketplace. My Portfolio’s interest rate also decreased by 0,63% since last month.
About the cashing out part of Invest & Access: You can only cash out the current part of your investments right away on Mintos Invest & Access, not the ones that are late or in grace period.
Bondora Go & Grow
I received 5,61€ (+0,03€) in interest from Bondora Go & Grow last month.
Compared to Invest & Access, the interest rate is slightly lower at around 6,75% per year. However, for me the trade-off is worth it especially for short-term investments, as I’m able to withdraw the full amount if I want to (-1€ flat withdrawal fee).
I added 500€ to my account on August 20th, as I’ve been very happy with my investment here. That should lead to a cashflow increase in the coming months.
Another thing worth mentioning: Grupeer recently introduced a few development loans that come with a Balloon repayment type. This means you receive all interest and principal payments in one payment in the end of the loan term.
If you prefer monthly interest payments (like me), then make sure you skip those. Luckily, I’ve only seen a few with a relatively low interest rate of 12% per year so far.
Hopefully we’ll also see some more loans with 1% Cashback on Grupeer soon!
My Crowdestor income was a bit lower at 17,13€ (-3,08€) last month. However, that’s exactly the reason why I started calculating accrued interest in addition to paid out interest.
Paid interest shows the interest payments I received on a monthly basis, while accrued interest also includes outstanding interest that I should receive at a later date.
Since some high-interest real estate loans start paying interest only after six months or more, I found this way of displaying my Crowdestor income more interesting. I hope you agree!
I added a total of 1.250€ to my Crowdestor account over the course of August.
I invested last month’s deposits as well as the interest I received into these business loans:
- Hostel Renovation Round 2
- Construction Company Working Capital
- Elvi Grocery Stores
- Ledurgas Apartments Renovation
- Rover Education USA Expansion
All in all, I’m very satisfied with Crowdestor. All interest payments arrived on time so far and they keep publishing interesting loan opportunities every week.
Monethera is a new addition to my P2P portfolio. You can read all about it in my recently published article:
I invested 500€ on Monethera on the 16th of August and spread my investment evenly over the 5 available projects at the time.
My 11,76€ earnings so far are made up of the first couple of interest payments, which arrived on time, as well as the 5€ Signup Bonus and the 0,5% Cashback, which I received right after I invested the money.
- You can get the same 5€ Bonus and 0,5% Cashback on all your investments during the first 180 days by using my link here.
- Update: Monethera sent me a Promo Code via e-mail, which can only be used a limited number of times. When you sign up via my link, enter p2pinvesting in the “Promo code” field to get the Cashback for 360 days instead of 180 days.
Wisefund is another business loan platform I recently added. You can find out more about it in my latest article as well or watch my video:
Just like Monethera, Wisefund offers interesting short-term business loans with high interest rates and a buyback guarantee. However, the platform only has a short track record so far, so proceed with caution.
I started my investment journey on Wisefund on the 21st of August and spread my initial 500€ investment evenly over the 3 available projects at the time.
- You can get the same 0,5% Cashback on all your investments on Wisefund during the first 270 days by using my link here.
That’s it for my latest monthly update! I hope you enjoyed reading it and had a great month as well.
Before you take off, I would love to know in the comments:
- What do you think about my financial mistake? Have you made any similar mistakes in the past?
- What do you think of my latest additions, Monethera and Wisefund? Which one do you like better?
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Video of the article