As reported earlier Dutch site Boober.nl failed. Richard van den Toorn, speaking for the association of lenders PIVN, estimates that about 1,200 lenders are affected. While part of the total loan volume of 1.65 million Euro had been repayed over the loan term before the failure, overall borrower’s willingness to pay dwindled after the failure. Still PIVN hopes to recover 50-80% of the outstanding amounts on behalf of the lenders.
A year ago Boober.nl launched as first peer to peer lending service in the Netherlands. While Boober faced some hardship (especially on regulation issues) the first year of Boober can be called a success for the company. So far Boober has funded over 2 million Euro in loans in the Netherlands. Compare this to the 1 million Euro Smava.de has loaned in the much larger German market in the last 10 months.
But not all lenders are satisfied with the results. The PIVN an association of lenders, on Jan. 14th called for an investment stop. The main cause are fee changes. Richard van den Toorn, Secretary of PIVN, told P2P-Banking.com:
It's not going very well with Boober, although they claim otherwise. The PIVN (association of investors) has indeed given an advice not to invest in new loans until some of her demands have been met. Reason for giving such an advice is that Boober changed their payment-policy for the investors radically, without consulting the PIVN first. It's so much the height of their fee …, but that they are making sure the benefits are going to Boober first, leaving the investors [lenders] with the risk of remaining payments from the borrower. Continue reading →