The construction sector accounts for approximately 16% of invoices financed on the MarketInvoice platform and issues from construction company Elimco UK have uncovered some new potential risks for the sector; Elimco UK has stopped making payments to the platform; in most cases MarketInvoice as the lender would receive preferred rights to the company's payments however in the construction sector set off rights give the customer preference of payment which has caused the construction company to default with MarketInvoice; the total amount of losses reported for MarketInvoice has not been disclosed; the company says its overall loss rate is 2.4% after recoveries; the firm also says it does not have plans for data filtering by industry category since it would lead to cherry picking loans. Source
Online Lending
Understanding the products that work for you as a consumer is a key question all borrowers ask themselves; at LendIt USA 2017 the panel entitled Consumer Lending Leaders of Tomorrow discussed some of the up and coming platforms in the market today; LendingUSA focuses on point of sale financing to offer installment loans for expenses like a medical procedure, Uplift Financial uses 600 million pieces of data to tailor the best loan product to you from their network, MoneyLion provides financial wellness advice to help the consumer better understand the loan that fits their situation and BorrowersFirst uses their technology to offer a low cost product to their borrowers; these lenders have taken the time to understand consumers so they can provide the type of variety people are looking for in a market that continues to evolve. Source