Grupeer review 2020
Check out our Grupeer review, and see if the platform is for you.
Review of Grupeer
We find the return compared to the safety favorable.
The Grupeer P2P platform is very beginner friendly.
Grupeer has made a lot of safety measures.
Investors get an average return of 13.13%.
We Don’t Like
Summary: Serious concerns have been raised by investors at Grupeer, and it has come to our knowledge that Grupeer potentially is a scam. Stay away from the platform for now!
We will update this review, when we know more.
It’s completely free to use their platform
Last updated: April 8, 2020
Grupeer review 2020 – Is it safe?
Grupeer has recently gained great popularity among investors across the world. But how secure is an investment on their platform really? We decided to investigate.
So if you are considering investing through the platform, we recommend that you read this Grupeer review first. Because here we take a look at how secure the platform really is. We promise you will get a better feel for the platform through our review.
Our Grupeer P2P review ended up being a bit long. You can, therefore, choose to use the navigation below to find exactly what you are looking for. Of course, you should also be welcome to read the entire review. However, we will make you aware that the review only expresses our own opinion. Therefore, do not consider the content of this Grupeer review as financial advice.
Learn about the following in our Grupeer review:
What is Grupeer?
Grupeer is a European P2P lending platform that specializes in business loans and real estate development projects. However, they also have some other loan types on their platform including mortgage loans, car loans, and personal loans.
The platform connects investors with loans that are already issued. So in fact, you actually take over shares in existing loans from professionals in the credit market. But even though you take over shares in the loans, the company that issued the loan is still responsible for administering it. This means that you are simply tied to the loan with your capital, but have no responsibility in connection with the loan agreements.
Grupeer’s marketplace works by giving investors the opportunity to obtain shares in loans issued by professionals in the loan industry.
Grupeer was registered as a company in October 2016, and in February 2017 their platform was launched. Since the launch, the platform has successfully helped to issue investable loans for millions of euros. The loans issued on the Grupeer platform are invested in by over 27,500 investors from more than 90 countries around the world.
The company is based in Riga, Latvia. Overall, Grupeer employs 35+ employees who handle IT, marketing, support, etc.
What rate of return can you expect?
The average return among investors on the platform is at the time of writing 13.13%. As it is average, you can reasonably expect a similar return.
Of course, it is entirely up to you which return you want to go for. You can just choose the loans, which suit your risk appetite on the platform. Of course, you can also make use of the platform’s auto-invest and put your investments on autopilot.
Do you seek an even higher return? Then drop by our Crowdestor review. Through that platform, it is possible to invest at an even higher return than on Grupeer. The loans are within the same segment with its real estate projects, but the platform works slightly differently. However, you should be aware that the risk also increases, if you seek a higher return.
Who can invest via Grupeer?
It is possible for both private individuals and companies to invest on Grupeer’s platform.
To create a user as an individual, you must generally meet the following requirements:
- Be a least 18 years old
- Being a resident of the European Economic Area or Switzerland
- Having a bank account in the EEA or Switzerland
However, it is possible to sign up even if you have a bank account or is a resident in another country. But here, additional confirmation from Grupeer is required.
If you meet the above requirements, it is easy to get started at Grupeer. Just follow the steps below, and then you should quickly be up and running:
- Create an account
- Add funds to your account
- Invest in loans from the loan list
It is also possible for companies to invest via Grupeer. When you sign up on their website, select that you want to register a legal entity. From here, the user creation process is straight forward.
As a legal entity, you must comply with the other rules that also apply to individual investors. However, if you register yourself as a company, you must be prepared for Grupeer to, in some cases, ask for documentation of your affiliation with the company. Because when you sign up as a company at Grupeer, you do it as a representative.
Do you meet the requirements to create yourself as a user at Grupeer? Then press the button below to get to their website. From here you can quickly create yourself as a free user and get started investing:
How safe is Grupeer?
One of the most important things when investing your money online through P2P lending sites is that security is in order. Therefore, in this Grupeer review, we have taken a thorough look at the security on their platform. We have looked at the following 3 areas; how safe the investments are, how secure the platform is, and how solid the company is.
How safe are the investments?
The first thing we looked into when creating this Grupeer P2P review, is how secure the investments are.
Loan originator risk
All loans on Grupeer come from different loan originators. This means that it is actually not Grupeer who makes the loans. Instead, Grupeer finds credit organisations, which they connect to their platform.
To reduce the loan originator risk, all credit organisations on their platform have undergone an independent financial evaluation. This evaluation is performed by companies that specialise in risk management, financial analysis, etc.
However, there is not only made one analysis of the credit companies. On an ongoing basis, Grupeer evaluates whether continued cooperation with the individual company is desired.
So, even though the loans on the platform are issued by professionals in the loan industry, all necessary precautions are taken by Grupeer in order to reduce the loan originator risk.
BuyBack guarantee and collateral
Many of the loans at Grupeer are protected by a BuyBack guarantee and collateral.
A BuyBack guarantee comes into play if a borrower cannot repay the loan. The guarantee applies if the borrower deviates from his payments by more than 60 days. Here, the credit company must buy back the loan of the amount you initially invested, but also pay you the interest you would otherwise have received from the borrower. Currently, Grupeer has BuyBack guarantees on all loans on its platform.
Collateral is used for a lot of loans on the platform. Amongst other things, collateral can consist of corporate assets or shares, real estate objects, cars, and personal guarantees. It works as an additional guarantee to the BuyBack guarantee.
How secure is the platform?
The next thing we looked into in making this Grupeer review is the security of the platform. Here we also found some great security measures made by the company.
Among other things, it is only possible to send money to and from bank accounts in your own name. This means that people who can potentially access your account cannot simply transfer the money to their own account. This is one of the ways in which Grupeer avoids fraud on its platform.
How solid is the company?
Since the company has only existed since October 2016, there is no particularly large track record for Grupeer. Therefore, it is also difficult to come up with a complete assessment of how solid the company really is.
What you can do to invest safely
Grupeer has done a lot to give their investors a safe investment experience on their platform. But if you want to invest as safely as possible on their platform, we have some extra advice:
- Invest in loans with a buyback guarantee
- Ensure that you diversify between enough loans
- Invest in loans from multiple loan originators
- Invest in loans with collateral
It is always a good idea to invest in loans with a buyback guarantee. It is unrealistic that all borrowers can repay their debts. With a buyback guarantee, the credit company behind the loan is forced to give you payment in case the borrower cannot.
Although you can invest in loans with a buyback guarantee, then it is always important to diversify your loan portfolio. Because if the credit company behind the loan goes bankrupt, your buyback guarantee is close to useless. Therefore, you should always make sure to diversify between multiple loan originators.
Last but not least it is also a good idea to invest in loans with collateral. It is a great way to add more security to your loan portfolio.
Set up a Grupeer auto-invest strategy
One of the many good things about Grupeer is their auto-invest. This feature allows you to put your investments on autopilot. This way, you avoid having to select new loans to invest in every time one of your existing loan investments expires.
Our advice: Do make use of the Grupeer auto-invest. Putting your investments on autopilot helps to free up some time to focus on other aspects of your life.
Create an auto-invest strategy:
When logged in to your account, go to Auto-invest under the Invest tab. Here you can create yourself an auto-invest strategy:
Via Grupeer’s auto-invest tool it is possible to choose which interest rate you want, as well as for how long a term you want on the loans.
In addition, it is possible to specify how much you want to invest in a loan. Make sure you put it so low that you are not only invested in a few loans. In this way, you will get the best possible diversification of your portfolio.
You also need to set an auto-invest limit. This way you can define how much you want your auto investor to invest for. In addition, you must also specify how long your auto-invest must be active.
Do you want to know more about Grupeer auto-invest? Then check out their website for more information.
Conclusion of our Grupeer review
New information has made it unclear whether or not Grupeer has been a scam. Until we have more information, this review remains inconclusive.