We are excited to welcome our latest Loan Originator, Ibancar, a fintech company founded in 2017 based in Spain that recently expanded to Mexico. Ibancar provides instalment loans secured by cars through a 100% remote and digital process. It offers borrowers quick and easy same-day loans without any physical interaction with the borrower or the car, and the borrower can keep using their car while it is used as collateral for the loan.
Ibancar’s innovative, digital-first platform brings secured lending into the mainstream consumer credit market through its proprietary lending process. This approach gives borrowers a big incentive to keep up their payments and enhances every borrower’s credit profile with the security of an asset that ensures capital is recovered in case of default.
Ibancar has a multi-year track record of being a profitable and cash flow positive business, with a 100% payment performance over 5 years on p2p platforms. With operations in Spain and Mexico, Ibancar caters to a wide range of borrowers because the collateral significantly reduces risk, enabling lending on equal terms to both prime and non-prime borrowers. Using cars as collateral also means that Ibancar can offer larger loans for longer terms with lower and more manageable instalments, providing a better alternative to traditional short-term, high-interest loans.
Here are some key details about Ibancar’s loans:
- Loan Type: Instalment Loans
- Borrower APR Range: 16-58%
- Average loan-to-value : 50%
- Expected Maturities: Up to 37 months
- Junior Share: 11%
Ibancar’s business model is designed to be inclusive and sustainable. It offers loans tailored to meet its customers’ needs. Borrowers also benefit from additional services such as payment holidays, annual car maintenance, and payment reductions in case of illness or unemployment, which enhance retention, add value for borrowers, and ensure the performing loan book remains above 92%.
Ibancar has already originated over €40 million in loans and currently manages a €18 million loan portfolio. Their loans, available on Income, offer yields of up to 11.5% p.a., making them an attractive mid to long-term investment option. All loans come with a buyback obligation and are protected by risk-adjusted Junior Share. The Junior Share for Ibancar’s loans is 11%, offering higher investor protection than any other marketplace.
As Ibancar continues its expansion in 2024, supported by scalable debt funding, it is well-positioned to grow its operations further and expand into new territories and other products, such as long-term car rentals.
If you’re looking for a stable, asset-backed investment opportunity, consider adding Ibancar’s loans to your portfolio. Their attractive returns, backed by cars as collateral, make them a strong choice for diversification.
Don’t miss out—diversify your portfolio with Ibancar today!
