FAQ Lender

Q: How much money can I lend?

A: You can invest starting from Rs. 50,000.

Q: For how long can I lend?

A: You can invest from 6 months to 36 months.

Q: Can I choose the date to get my repayment?

A: No, repayment date for all loans is fixed at 10th of every month. FundingHub is working on making repayment dates flexible in future.

Q: What kind of returns can I expect?

A: Returns depend on the credentials of Borrowers and the ongoing demand of Lenders in the FundingHub marketplace. They can only be finalized once the concerned Borrower and Lender agree mutually on a particular rate. So, returns will be variable depending on the chosen Borrowers.

Q: How safe is my money?

A: To protect your money, we use all the safety measures a bank uses – and some more –

Q: Why does FundingHub need to verify my details?

A: FundingHub conducts a strict verification process of the data and documents provided by Lenders. In addition we appraise each request to ensure that concerned Lender can afford to give out loans within the boundaries of statutory laws of India. We also make sure that Lenders do not use our platform to fund any prohibited actions or purposes.

Q: How are repayments calculated?

A: Repayments are equated monthly installments (EMIs) calculated using the reducing balance method. Your installment per month will remain the same throughout the tenure of your loan. The first installment may be different depending on the date of disbursal.

Q: When does the money go out of my account?

A: Once a loan transaction is closed by the borrower, the money is collected from the Investor within 3-5 working days.

Q: What happens in case of delayed or non-payment by Borrowers?

A: In case the EMI is not paid by the due date, additional penal interest as per FundingHub will be charged to the Borrower on the amount due for time period lapsed after the due date. Borrowers will be liable to pay their Lender(s), this penal interest.
In the worst case scenario FundingHub will facilitate the collections through empaneled agencies. These are reputed collection agencies which are empaneled by banks and financial institutions. This also includes legal process for recovery of funds if required.

Q: Will I know my Borrowers?

A: Once a Borrower listing has been approved by FundingHub , their entire profile can be viewed by all registered Lenders including their financial information unless the Borrower has blocked it. You may contact Borrowers through the FundingHub messaging system. For further information please view FundingHub Privacy Policy .

Q: Can I lend more than once?

A: Yes, depending on the size of your wallet balance, you can lend to multiple borrowers and once you finish the tenure for the committed amount, you may register for another investment request.

Q: How do I change my bank details or select direct credit?

A: Please write to support@FundingHub.com. We charge a swapping fee of Rs. 500 per swap.

Q: Is my interest income through FundingHub taxable?

A: All repayments you receive from Borrowers on FundingHub will be without any tax deduction. We’ll provide an annual income statement to you to download from your dashboard. Earnings will be taxable as per the income tax rules that apply to you.

Q: How long does it take to find Borrowers?

A: This will generally depend on the number of Borrowers in the FundingHub marketplace who are willing to borrow from you based on the return you expect and the money you are willing to lend. FundingHub is a live marketplace we can’t be sure as to how long it will take to lend your money. However, you may also find your money matched to Borrowers within a day of you getting listed on FundingHub .

Q: Can I re-lend my repayments from Borrowers?

A: No, you cannot do this at the moment. However, we are working on operational feasibility to top up your lending using FundingHub .

Q: Can a non-individual lend through FundingHub ?

A: No, not at this moment.

Everyone who wants to borrow is checked, verified and analyzed for credit and risk. That means we lend it to sensible borrowers with proper agreements. There are agencies that FundingHub has tied up for verification and recovery to chase any missed payments or non-payments. These are reputed collection agencies which are empaneled by banks and financial institutions. To manage risk, your money is spread across to a number of borrowers. FundingHub team has many years’ experience in making sure borrowers don’t default. There may be a rare occasion where one of your borrowers can’t pay you back, perhaps due to redundancy or illness or death.