Many investors with Blend Network will know that we have an AutoLend feature that allows lenders to make automatic investments according to the criteria that they select, such as interest rate and loan maturity. In this user guide, we aim to answer your question around this feature and how to use it. So, here are some popular questions you may find interesting about our AutoLend:
What is AutoLend?
AutoLend is a feature that allows lenders to select a fixed amount to lend, letting them spread their available funds across multiple loans. For example, if you have a total of £10,000 available to invest, you can choose to diversify your portfolio by deciding to lend £1,000 across 10 different loans (you can lend any amount greater than or equal to £1,000). In order to do so, AutoLend will ask you to select your own lending criteria such as interest rate and loan maturity. Once AutoLend has been activated, AutoLenders are placed in a queue and will be able to lend on a first come first served basis on all loans that meet their lending criteria.
Can anyone use AutoLend?
Yes, anyone who has had their Blend Network lending account activated can use AutoLend to lend on loans. However, please note that activating AutoLend does not always guarantee you lending on a loan, even if that loan meets your selected criteria. The reason is that some loans may be oversubscribed (i.e. when the amount on AutoLend is larger than the loan amount). In such instances, lenders will be able to lend based on their position in the AutoLend queue.
Can I activate AutoLend at anytime?
Yes, AutoLend can be activated at any given time. However, if you activate AutoLend during the 24 hours after a loan has been listed and before the loan opens for funding, you will not be lending on that loan – your activation will come into effect starting from the following loan.
Can I disable AutoLend at any time?
Yes, AutoLend can be disabled at any given time. However, if you disable AutoLend during the 24 hours after a loan has been listed and before the loan opens for funding, you will still be lending on that loan. Please note that every time you disable and then reactivate AutoLend, you will lose your place in the AutoLend queue and will return to the end of the queue.
Is there any minimum or maximum loan amount that can be invested through AutoLend?
The minimum amount investors can invest through AutoLend is £1,000, the same amount as the minimum investment by lending manually. The maximum amount lenders can lend through AutoLend varies on a case-by-case basis. Blend Network can cap the maximum all lenders can lend through AutoLend on some loans – especially when a loan is oversubscribed.
How much does it cost to use AutoLend?
This feature is free and there are no fees to use AutoLend.
How can I activate AutoLend?
- Logging in to your account using your login credentials.
- You will be taken to your Dashboard. Click on Autolend and enter the amount you wish to lend per loan, in multiples of £1,000. Select your lending criteria.
- Click on ‘Turn ON’ where you will then be prompted to re-enter your password.
- Autolend will automatically lend on the next available loan.
What information will lenders receive when they have activated AutoLend?
Lenders who have activated AutoLend will have access to the same documents made available to investors who lend manually on the loans. All lenders will all receive an Information Pack (IP) once a loan has been listed. However, as mentioned above, lenders who have activated AutoLend and decide to disable it after a loan has been listed will still be lending on that loan – their de-activation will come into effect starting from the following loan.
If there are any other questions not covered in this basic guide, please refer to the FAQ section in our website by visiting www.blendnetwork.com/FAQ or contact a member of our team.
Your capital is at risk if you lend to businesses. P2P lending is not covered by the Financial Services Compensation Scheme. Investments are illiquid (the inability to sell assets quickly or without substantial loss in value). Past performance is not a reliable indicator of future results.
BLEND Loan Network Limited is authorised and regulated by the Financial Conduct Authority (Reg No: 913456)