Who are the most solid lenders on Mintos? Our Mintos lender ratings

Last updated - 18 July 2022

Mintos lenders can default or close down - choosing the best lenders is important

In 2017, Mintos lender Eurocent failed, and defaulted on its Mintos ‘buyback guarantee’ commitments. Since then there have been defaults and issues with several other lenders. Over the last 5 years we have been providing the scores and data on this page – our Mintos lender ratings. Our goal is to provide investors with key information on each lender, and a rating score to help highlight those that are lowest and highest risk. 

To begin with, below we discuss some recent events:

Mintos finally launches its Notes program. Forced to close secondary market

After several delays Mintos has announced that it has launched its notes program. The notes program is designed to replace the current arrangement where it sells participations in loans, and is linked to its move to become a licenced investment platform. Initially there will be 3 companies issuing notes – CashCredit, Eleving and Sun Finance Latvia. While Mintos is highlighting some benefits to investors from notes relating to protections and transparency, there seem to be several downsides. One topic that has understandably upset many investors is the imposition of withholding taxes on interest earnings for the first time. We plan to write a post that discusses this in more detail shortly. Another huge downside relates to the secondary market – Mintos is being forced to close the secondary market in claims by 30 June. While a secondary market in notes will be possible, cutting off the liquidity options for over €670 million of claims that are currently outstanding is a huge negative. We hope Mintos makes investors more aware of the situation as this detail appears to have been lost in their communications. 

Check out our new post that discusses the implications for investors of the new Mintos notes scheme – the key benefits, and 4 important downsides to be aware of.

No major recent updates from Mintos relating to the Ukraine / Russia war impacts

Check out our post that discusses the Russia/Ukraine situation in more detail, and the likely impact on investors across various P2P sites including Mintos. Click the button to view the post.

In March Mintos suspended all Russia and Ukraine originated loans from its primary market. The affected lending companies are Creditter, Dozarplati, EcoFinance, Kviku, Lime, Mikro Kapital, Mokka and SOS Credit. The loans remain active and available to buy or sell on the secondary market. Discounts of up to 42% are currently being offered on Russian originated loans on the secondary market.

On 7th March the Mintos CFO hosted a call to discuss the situation. Key information provided included:

  • It is now virtually impossible for Russian lending companies to make payments in Euros to Mintos. As a result the amount of ‘pending payments’ will grow significantly
  • Around 15% of outstanding loans are to Russian lenders (although some investors reported being allocated over 50% to Russian loans by the automated investment tool). 0.4% of loans are to Ukraine lenders
  • 60-70% of the currency risk was hedged by lenders, but it’s difficult to know how effective the hedges will be due to the sanctions
  • Collection rates so far in Russia are good, although this may change because new payment holiday rules have been introduced

There have been no material changes to the situation since the above update was given – it appears unlikely that there will be any ability for Russian lenders to send payments internationally for the foreseeable future due to sanctions. Of course the situation with Ukrainian lenders is even more problematic. Any future recoveries at all should be considered an unexpected bonus as things currently stand. 

Mintos in negotiations with Wowwo over a debt restructuring

Mintos has announced that it is in negotiations over the recovery of Mintos investor funds from Wowwo. Wowwo is a Turkish motor finance company. It appears to have been caught out by the recent 35% fall in the value of the Turkish Lira versus the Euro. The company seems not to have hedged this FX risk at all. There was always likely to be some volatility in this exchange rate and it seems surprising that Mintos allowed the company to run this risk, and indirectly give their investors this exposure. The company has offered to pass on the repayments of its borrowers in Lira. Effectively this means that they wanted to keep all the upside of running this unhedged FX risk, and pass on all the subsequent losses to Mintos investors. We can understand why Mintos declined this proposal.

So what happens next? Mintos is following fairly standard practice. They have declared an ‘event of default’ which is the first step in undertaking litigation against a borrower. At the same time it seems to be working on negotiating a solution outside of a court process. That makes sense, particularly as Wowwo seems to be a fairly good business that has been profitable in the past. Mintos has proposed a solution involving no ‘haircuts’ for investors – this would however likely result in payments being made over several years, and with no interest. Whatever solution is arrived at, the FX risk will also need to be addressed. If there is a further currency depreciation, the company will not be able to make the future payments it promises to make. A restructuring should also consider the possibility of a rebound in the currency, which could allow Wowwo to repay investors faster.

Key financial information of each Mintos lender

The table below captures the key financial information for each lender. This can be useful to quickly lookup the profile of each lender, and compare the strengths and weaknesses of each one.

All Figures in EUR million (profits annualised where appropriate):

Loan originatorReporting periodLoansEquityProfit - latestProfit - prior yearProfit - 2 years priorAudited?
Eleving (Mogo)Dec 202124531.47.11.66.5
IDF Eurasia KazakhstanDec 202113028.79.36.02.4
CreditstarDec 202118133.67.13.03.4
Capital Service (D)Dec 202024.1-1.5-3.90.0-0.5
CredissimoDec 202016.915.21.92.43.2
CredifielDec 202115.124.42.31.42.5
IuteCreditDec 202110525.66.15.28.1
ExpressCredit (D)Dec 202020.94.50.11.4-1.6
DelfinGroupDec 20214317.34.24.13.9
GoCreditDec 202110.38.81.51.20.32
LF TechJun 202122.38.38.5X
Jet FinanceJun 20212.11.51.1-1.9-1.2
Financiera Contigo / CEGEDec 202174.319.55.01.4-3.6
Conmigo Vales / CEGEDec 202174.319.55.01.4-3.6
ID Finance MexicoJun 202112.73.52.11.4-2.2
Watu Credit UgandaJun 202113.71.30.9-0.4
CapemJun 202128.212.31.40.60.4
AlivioJun 20218.71.20.10.10.1
Sun Finance VietnamNov 20191.4-2.2-2.4X
Finko Dinero (D)Dec 201911.31.01.2-1.5
Finko UkrPozyka (D)Dec 20195.01.0-1.7
SOS Credit (S)Sep 20201.01.10.00.20.2X
Planet42Dec 2021291.90.2-0.30.0X
DanaRupiahDec 20200.70.80.02.2
Monego (D)Dec 20184.10.4-0.60
Sun Finance KazakhstanDec 20184.1-0.4X
Cashwagon (D)Feb 202027.91.0-5.9-7.0
Placet GroupDec 202151.724.53.03.43.7
Fenchurch LegalMay 202110.40.50.5X
Wowwo (S)Dec 202031.110.21.72.81.6
EvergreenDec 202010.32.30.90.90.2X
CreamfinanceDec 202135.014.73.4-0.80.9
Extra FinanceDec 20184.62.00.12.02.0X
Mozipo GroupDec 20201350.00.00.3
AasaDec 201925.317.70.4-9.3X
Finitera KredoDec 201910.60.2-1.2-0.8-0.2
Creditter (S)Dec 20202.91.40.50.9
Revo Technology (S)Sep 2020236.61.20.8-1.2
Dozarplati (S)Sep 202022.56.95.82.00.8X
EcoFinance (S)Dec 20206.12.4-1.8-0.30.1
GFM (S)Sep 20206.25.30.40.0X
DineritoDec 202010.43.2-0.10.2-0.2
HipocreditDec 20207.90.80.40.30.1
Finko Kiva (W)Dec 20193.50.6-1.10.0
DebifoDec 20187.80.1-0.10.20.0X
KvikuDec 202183.313.910.11.70.8X
Rapido (D)Dec 20181.8-1.7-1.7-1.9-0.8
Peachy (D)Dec 20185.7-1.4-0.4-2
GetBucks (D)Jun 201992.1-41.8-51.2-9.5-12
FinclusionMar 202112.38.6-0.33.0X
CrediusDec 202010.010.31.71.10.4
RapicreditDec 20219.62.10.4-0.60.5
Watu CreditDec 201927.94.84.51.50.2
Podemos ProgresarDec 20209.06.51.61.1
Sun Finance LatviaDec 202114.4137.76.93.1X
Everest FinanseSep 2021101685.12.29.0
Sun Finance PolandMar 202019.52.542.4-6.9X
E-CashDec 20192.30.6-1.3-0.6X
EstoJun 2021253.53.41.50.4
ZenkaDec 20202.9-3.9-2.9-0.9
Mikro Kapital Russia (S)Dec 202017.77.70.30.4-0.3
Mikro Kapital RomaniaDec 202025.65.70.3-0.4
Mikro Kapital UzbekistanDec 20208.50.90.8-0.3
Mikro Kapital BelarusSep 202031.14.91.80.8
Mikro Kapital MoldovaDec 202016.34.00.40.20.4
FireofDec 20183.80.90.0X
ID Finance SpainDec 20215617.210.52.50.1
Lime Zaim (S)Jun 202113.95.11.20.01.5
Dineo CreditoDec 20217.43.01.83.32.2
Sun Finance MexicoMar 20202.2-0.4-1.9X
Dziesiątka Finanse (S)Dec 20199.53.40.50.20.0
NovaloansMay 20195.31.10.70.6X
SwellMay 20217.04.00.1-0.8X
Alex Credit (D)Mar 20193.11.30.6-0.3X
CashCreditSep 20205.73.20.30.80.1

Note: S = Suspended D= Defaulted W = Solvent windown

Our Mintos lender ratings

Our Mintos lender ratings are based on 5 characteristics – profitability, capitalisation, size, track record and the quality of their reporting. We have allocated marks out of 20 for each metric, giving a total score out of 100. Mintos have recently changed their ratings system, which is now a number from 0-10. A W/D indicates that Mintos has withdrawn their rating. 

Consider country risk too

Mintos offers loans from many different countries around the world, and some countries are more risky than others.  To help investors assess the risk level of each country, we have published a country risk ratings page. This takes into account factors such as currency risks, sovereign risk and the local business environment. We think it is worth considering these risks when building a portfolio allocation, in addition to the LO ratings above. 

Key updates: June & July 2022

Score retained: IDF Eurasia Kazakhstan

IDF Eurasia published its audited results for 2021. Profits were quite strong - up from €5.7m to €9.0m. While the company's finances are currently fine, there are of course significant political risks in the region Kakazkhstan sits. In particular there is a risk that Russia is able to block the country's oil exports, which account for 14% of GDP. Our score remains 63

ID Finance Spain

ID Finance Spain lends to the 'underbanked' population, which is another way of saying high risk borrowers. However their strategy is currently working, with profits in 2021 increasing significantly to €10.5m, from €2.5m the year before. While the company has reasonably high levels of non-performing loans, the interest it generates is sufficient to cover losses. The company's level of leverage is also reasonable. Our score is up 8 to 67

Score retained: Placet Group

Placet Group has now published its results for the second half of 2021 and first quarter of Q1 2022. The company has consistently generated profits of between €3-4m a year for many years now and that trend continued in 2021. The company continues to run with only modest leverage levels, and as a result has one of our highest scores for capitalisation levels. Our score remains 79

Score retained: Planet42

Planet42 is a South African company that leases cars. It launched on Mintos at the end of last year. The company's 2021 results were in line with expectations, based on the figures provided by management when they launched. While car financing is generally a lower risk lending activity, the company has quite a lot of leverage and is only at break-even profitability currently. Our score remains 52

Rapicredit

Rapicredit is a very small Columbian lending company, with a loan portfolio of below €10m. It's not particularly profitable, and doesn't score highly on any of our other metrics. To reflect the company becoming profitable in 2021, and some other improvements, our score increased by 10, to 45

Key updates: May 2022

New: Credifiel

New lender Credifiel specialises in payroll lending. It is based in Mexico and has been operating since 2005. Payroll lending has a lower risk than unsecured lending as the repayments are deducted from an employee's salary packet. This can be seen in the company's P&L, where they generate $3.50 in interest for every $1 of provision cost. Credefiel made a profit of €2.3m in 2021, and has had a consistent profit record since 2017. Overall though the business seems to be performing well and is solidly capitalised. Our initial score is 67

Creamfinance

Creamfinance has published its audited results for 2021 and unaudited results for Q1 22. The business is doing well, making a €3.4m profit in 2021 and doing even better in Q1 22. Prior to 2021 the business had had a fairly weak profit profile, which was the main reason its score was not as high as similar companies. Our score has increased 6 to 68, mainly due to the strengthening earnings of the company

Score retained: Delfin

Delfin has released its Q1 2022 results and they continue to be excellent, with a profit of €1.4m. The company ticks a lot of boxes - steady but growing profits, a sensible balance sheet structure, excellent investor reporting and a long track record. Our score remains 80

Sun Finance Latvia

Sun Finance Latvia has provided new financial information after a wait of almost 2 years. The results are very strong, with a profit of €7.7m for 2021, following a profit of €6.9m in 2020. The balance sheet shows that the loans are almost entirely funded with shareholders equity, and only a small balance from Mintos. Everything looks great - the only (and fairly large) concern is that the numbers are not audited and minimal other information has been provided. Our new score is up 9 to 65. It would be much higher if reporting improved

Note: Kviku

Kviku is a Russian lending group that was quickly suspended from the primary market by Mintos after the outbreak of the Ukraine war and related sanctions against Russia. Interestingly the results they have published for 2021 are extremely strong, with a profit of €10.8m and very strong asset growth. Kviku has been pretty quiet recently, with limited updates on the situation. Over 90% of listed loans now have a 'pending payment' status. This is caused by multiple restrictions preventing the wire of funds out of Russia. We have decided to remove our scores for Kviku until the situation changes

Eleving (Mogo)

Eleving is one of the largest and most important lenders on Mintos. It provides loans secured on second hand cars, mainly in Eastern Europe. It has now released its audited results for 2021. Profits were lower than shown in the previously provided management accounts - €7.1m vs €8.8m. Of this only €2.1m was attributable to the parent company, the rest was attributable to minority shareholders. Both of these factors have led us to reduce our profit score, as the underlying earnings of the parent company were lower than expected.The other continuing area of concern is the high level of leverage being run by Mintos. While the 'headline' shareholders equity figure of €31.3m may look OK, after deducting minority interests and intangible assets, the adjusted figure is only €10.2m. That is a low amount for a company with €322m of assets. Our adjusted score is down 6 to 62, to reflect the audited profit figure and the high balance sheet leverage.

Key updates: April 2022

New: Financiera Contigo

Mintos has announced that Mexican lender 'Financiera Contigo' has joined the platform. It's a brand name of a Mexican lending group called CEGE. CEGE has guaranteed the debts of another (small) lender that joined Mintos last year called Conmigo Vales. Conmigo Vales is not a subsidiary of CEGE but it has overlapping shareholders (known as a 'sister' company). Last year we gave Conmigo Vales a score of 50, noting that we had based our score on CEGE and discounted it because Conmigo Vales itself was very small and also

because a guarantee from a company is not as strong as a direct claim. Originally we understood that ‘Financiera Contigo’ was a sister company or subsidiary, but the Mintos team kindly reached out to us to explain that it is just a brand used by CEGE itself. Based on our review of the latest audited financials for CEGE, and their track record, we have assigned a score of 63 to Financiera Contigo / CEGE.

Score retained: GoCredit

GoCredit published its unaudited 2021 financials. They were in line with expectations, with a profit of €1.5m for the year, slightly up on 2020. The main strength of GoCredit is its strong balance sheet, with very low levels of leverage. It said that it had reduced its cost of funds during 2021 which will further make the business stronger. Our score remains 66

Key updates: March 2022

ID Finance Spain

ID Finance provided a webcast during March outlining its results for 2021. Things are going well, with a €10.5m made by its Spanish business during 2021. It recently raised equity on Crowdcube at a €220m valuation. They have not yet published full financials, but in the interim we have increased the score by 5 to 59, with potential for a further increase once we review the financial statements

Score retained: Iute Credit

Iute Credit announced a 2021 profit of €6.1m, in line with expectations. The company's loan portfolio is performing well, with lower provisioning cost %'s than in 2020. Our score remains 75

Farewell to...

Capitalia and Sun Finance Denmark . Capitalia had been active on Mintos for many years but like many other loan originators, it has now setup its own P2P site. We are not surprised to see Sun Finance Denmark leave, as new regulations have made it difficult to operate profitably in the country.

Farewell to...

Agrocredit and Pay PS . Both lenders seem to have left Mintos without any announcement. In the case of Pay PS that is a lucky thing, as it is a small Russian lender. Estonian lender Agrocredit had been on Mintos for many years but was also small.

Key updates: February 2022

New: Planet42

Planet42 calls itself a 'socially inclusive' car finance company. In practice that seems to mean lending to people in South Africa with thin or poor credit profiles at interest rates above 50%. Still, we think a business model like this could be successful. It has now reached break-even and is growing quickly. In December 2021, it raised $30m in funding. The figures provided do not include this funding, but we have considered it in our initial score, which is 52.

Delfin Group

Delfin Group successfully IPO'd on Nasdaq Riga during Q4 2021 which is a very positive achievement for the company. It raised over €8m and sensibly used the funds to buy back bonds with high coupons. The reporting quality of Delfin continues to be very good, and we expect this to continue now that it is a listed company. Delfin has announced (unaudited) profits of €4.2m for 2021. Our score is up 3 to 80.

Score retained: Eleving

Eleving (formerly Mogo) is one of the most important lending companies on Mintos. It has released its unaudited Q4 21 results. Eleving appears to have made a small loss in Q4 but the overall result for the year was still satisfactory - a profit of €8.8m. Our main concern continues to be that it is operating with high levels of leverage - it really needs more equity if it wants to continue to grow. Our score remains 68.

Creditstar

Creditstar has announced (unaudited) profits of €7.1m for 2021. In December it raised €3.9m of equity, and also issued €10.5m of bonds. These are all clearly positive milestones, and our score is up 3 to 64. Following our review of the 2020 annual report we remain concerned about some of Creditstar's accounting practices and our score reflects some adjustments we have made to reported equity values and profits.

Farewell to...

Alfakredyt is a small Polish lending company that has now left Mintos after 'moving to a different funding model'. It had not provided any financial information since 2018 so we had been expecting it to depart for some time. All investors have been fully repaid.

Key updates: January 2022

Zenka

Zenka is a small lender based in Kenya. Its audited accounts for 2020 show a significant loss, and a negative equity position. Its latest management presentation says that the business has become profitable in 2021, and that it received an equity injection from shareholders so that it could repay Mintos lenders. Our score is down 20 to 26

Creditter

Creditter is another small lender. It is based in Russia. It has now been profitable in the both years that we have financial information available. It has quite a conservative balance sheet structure. Our score is up 14 to 47

Score retained: Esto

Esto is a mid-sized lender based in Estonia. It has developed a good track record now, with consistently growing profits. While at first look it seems a little under-capitalised, there is also €3m of subordinated debt that provides additional protection to Mintos lenders. Our score remains 65

Evergreen

Evergreen is a payday lending company based in the UK. It has a fairly good track record, generating profits of €0.9m in 2020 and 2019. We expect profits to have increased in 2021. Our score is up 3 to 49

Farewell to...

Pinjam Yuk and TasCredit Both of these companies appear to have been quietly removed from the platform without any announcement from Mintos. Pinjam Yuk ran into problems at the beginning of the Covid crisis. TasCredit is based in Kazakhstan which is currently experiencing significant internal political issues. Mintos investors have been fully repaid by both companies

Key updates: December 2021

Wowwo

Mintos has suspended Turkish lending company Wowwo. The reason provided is that the Turkish Lira has recently depreciated significantly against the Euro (approximately 45% since October). The company plans to raise funds (if it can) in local currency outside of Mintos instead.

So what is the outlook for Wowwo and its lenders? Wowwo provided an FX exposure analysis in its 2020 annual report. It showed that a 50% currency depreciation against the Euro would generate losses of TKL 43m – or about 40% of its capital. A bad situation but likely survivable. The bigger question is what the new economic situation means for the company and its borrowers. Can people repay their loans?

That’s still a bit too early to say. Real GDP is forecast to still be positive in 2022 – around 3.5-4%. High inflation and currency deflation will however cause problems for some borrowers. The good news is that Wowwo’s loans are secured on hard assets (cars) which should reduce the risk of the company suffering high losses. The main risks are further depreciation of the Lira, and the inability of Wowwo to find alternative local sources of funding. 

Creamfinance

Cream were one of the earliest lending companies to list on Mintos so we have been following their journey for many years. They recently launched their own P2P site Esketit , which has attracted a lot of investor funds. Cream are on track to have record results this year, with a profit of €2.2m in the 9 months to September. Other metrics look OK, and our score is up 7 to 62.

Creditstar

Creditstar has finally published its audited financials for 2020. They were audited by KPMG. Previous audits had been performed by a very small firm. Investors have been rightly keen to receive numbers that had been reviewed by a Big 4 firm. Initially, the audited 2020 results looked very promising, as they were fairly consistent with the management accounting figures

provided to investors, with a profit of €6.6m prior to FX movements. However we then saw that KPMG had issued a qualified audit opinion. The reason for this is that the company had revalued upwards the value of intangible assets in both 2019 and 2020. KPMG notes that this is not permitted under the accounting standards. It seems very strange to us that the company preferred to issue numbers that KPMG would not sign off on, rather than publishing conforming results. 

The impact of these intangible asset revaluations is quite material. The revaluations resulted in Creditstar’s reported profits being 120% higher in 2020 and 71% in 2019. As these revaluations do not comply with accounting standards we have made some adjustments to the figures provided in the tables above. We have adjusted the profits shown for 2020 and 2019, and have also adjusted the reported shareholders equity balance. We have reassesed all the scores for Creditstar based on the new 

information available. In particular, we reduced the scores for profitability, capitalisation and track record. Our new score is down 4 to 61. The company seems to be performing well during 2021. The  strong profits seem to have been generated from business operations rather than ‘revaluations’. If it wants to further recover investor confidence, it should also think about upgrading its finance team too.

Key updates: November 2021

Iute Credit

Iute Credit has released its results for Q3 21.The business remains on track to generate €6m of profits this year. We did notice however that it increased leverage during the quarter, growing its loan portfolio by over €10m. We have slightly cut its capitalisation score as a result, and the overall Iute score is now down 2 to 75.

Score retained: Delfin

Delfin has also released its Q3 results. It had a good quarter, making €1m, and it remains on track to make a profit of between €3- 4m, as it seems to do every year. We really like this kind of consistency, and our score remains at 77.

Note: Creditstar

Creditstar recently published Q3 results that were in line with expectations. However we highlight that it has still not published 2020 audited financials, despite promising to do so 'in the summer'. On a recent call the CEO said that he expects new auditors KPMG to complete their work by the end of November. The continual delays are damaging confidence in Creditstar's management.

Score retained: Eleving

Eleving (formerly Mogo) continue their recovery after a difficult 2020. The company has earned €9.2m in the year to September. Non-performing loan levels have returned to normal levels. The main risk for P2P investors continues to be the high leverage of Eleving - it is more than double the average level of other companies listed on Mintos. Our score remains 68.

Key updates: September/October 2021

Lime Zaim

Lime is a lender based in Russia. We cut the scores of many Russian lenders last year as the country was badly hit by Covid, and the knock on impacts such as currency devaluations and oil price declines. Lime seems to have navigated this period fairly well. It broke even in 2020 and has returned to profitability in the half year to June. While still fairly small it's balance sheet structure looks fine. Our score is up 8 to 60.

Creditstar

We have cut the disclosure quality score of Creditstar from 17 to 10. Why? The company had promised to release 2020 financials audited by KPMG during August. Unfortunately the company has still not released these documents. We are not entirely convinced by the explanations provided for this delay so far, and hope they can be released very soon. Our score is down 7 to 65

Score retained: Delfin

Delfin is one of the most consistent lending companies offering loans on Mintos. It has made profits of between €3 - 4 million in the last 3 years and looks on track to do it again in 2021 too. It provides good quality financial disclosures, and has a sensible balance sheet structure. Our score remains at 77

Credissimo

Credissimo is based in Bulgaria but operates now across 5 countries. It has a good track record, being consistently profitable since 2017, including an audited profit of €1.9m in 2020. Credissimo has a very conservative balance sheet - a very high proportion of its assets are funded with shareholders equity. It has also been improving the quality of its financial reporting, leading us to upgrade its score by 3 to 71

Farewell to...

Julo and Kredit Pintar are no longer listed by Mintos. Both are Indonesian lenders. Neither were particularly large originators on the Mintos platform, and Mintos has not provided any meaningful commentary on why they are no longer active

Score retained: IuteCredit

IuteCredit is one of the largest loan originators operating on Mintos and has been active on the platform for many years. It is a very successful company operating in 5 eastern Europe countries. It remained profitable in 2020 and has announced a €3m profit for 1H2021. It remains one of our highest rated loan originators, with an unchanged score of 77

Score retained: IDF Eurasia

The IDF Eurasia subsidiary active on Mintos is based in Kazakhstan. It's a big operation with a net loan portfolio of €77 million. It has performed well over the last two years - achieving a strong profit of €5 million in 2020. While we are glad to see an audit report from a big 4 firm (EY) the quality of the company's presentations and disclosures is lower than we would expect of a company of this size. Our score remains 63

Rapicredit

Rapicredit is a fairly typical lower quality lender that you can find on Mintos. It is very small, is not profitable, and is located in a higher risk country (Colombia). We doubt that many sophisticated investors will be buying their loans. Following our review of their latest results we have cut their score from 38 to 35

Score retained: Hipocredit

Hipocredit is a small mortgage lending business based in the Baltic region. They have a track record of questionable behaviour as far as Mintos investors are concerned. They have exercised their rights to repurchase loans with good repayment records (at no premium) while leaving investors to hold loans that are in arrears. Investors have long memories and we do too. Our score remains 41.

Key updates: August 2021

New: Capem

Capem is one of a huge number of new Mexican companies to join Mintos this month. It's not clear why there are so many all of a sudden but we think some, such as Capem, are good additions to the platform. Capem provides loans to small and mid-sized businesses. Their lending performance since the Covid outbreak has been very good, with low levels of non-performing loans. The company says that it is due to their very detailed underwriting of loans and ongoing advice provided to clients. It seems to be working. Our initial score is 65

Returning: ID Finance Mexico

ID Finance Mexico has returned to Mintos under a new company structure. Which is good, because the old company it operated under had a big negative equity position after significant losses in 2018 and 2019. It was forced to leave Mintos during 2020. The new company operating the business now says it was profitable in 2020 and profits are on track to be higher this year. The balance sheet leverage is still higher than we would like to see. The high leverage, and chequered track record led to our new score of the relaunched ID Finance being 48

New: Pay PS

Pay PS is a very typical Mintos lender. It operates in Russia, specialises in high cost unsecured personal loans, and it is quite small, with a loan portfolio of €11 million. The company does seem to have fairly good technology in place, and they have been profitable over the last 18 months in a difficult operating environment. Their main weaknesses are their small size, high leverage and limited track record. Our initial score is 49

New: Watu Uganda

Watu Uganda is a sister company to Watu Kenya. Watu Kenya seems to have quietly left Mintos after experiencing some Covid related issues, but all Mintos investors seem to have been repaid. Watu has a good business model that benefits society. Loans are secured on motorbikes. The motorbikes provide borrowers with income acting as local taxi riders. The company reports an unaudited profit of €0.9m in the most recent year. Watu's small size, limited track record and location impacts its initial score which is 41

New: GoCredit

Many new Mexican lenders have joined Mintos this month and we think GoCredit is the best of them. GoCredit makes most of its revenues lending to borrowers who then receive repayments directly from employers as a deduction from salary payments. This is quite a low risk type of lending as shown in the GoCredit P&L where the ratio of interest earned to bad debts expense is very good - around 8 to 1. Mintos have also put into place some structural features that reduces the impact if GoCredit becomes insolvent. GoCredit also has a strong balance sheet structure, with a lot of equity funding its assets. Our initial score is 66

New: Conmigo Vales

Another Mexican lender to join is Conmigo Vales. It has a very old fashioned business model involving lots of human interaction. Loans are made via vouchers to be used at certain stores. It is hard to see that a company like Conmigo Vales will ever be particularly profitable or have a bright future. For the purposes of our score we have relied heavily on the guarantee provided by its much larger parent CEGE. CEGE would likely receive a score in the high 60's if it listed loans directly on Mintos. However our score for Conmigo Vales is 50, which reflects the ultra small size of Conmigo Vales, its poor business model, and the risk that the guarantee may not be effective

New: Alivio

Alivio is a small Mexican lender that focuses on providing finance to cover health care costs. There is little public provision of health care in Mexico and we could imagine that there could be a profitable opportunity in this space. Unfortunately Alivio has not really generated much profit so far, only breaking even since 2018. The other main negative is the balance sheet structure of Alivio - it is more leveraged than most Mintos loan originators, which makes it more risky for buyers of its loans. Our initial score is 48

Returning: LF Tech

LF Tech has returned to Mintos. It is a Kazakhstan lender that provides payday loans and also loans secured on cars. The quality of financial information provided by LF Tech has always been very poor. The presentation uploaded by management has a lot of content, almost all of which is not very useful. The unaudited results published for 1H 2021 are very good, with a profit of €4.2m. That's very high given that their loan porfolio is only €22m in size. Our new score is 48. We will reassess this once new audited numbers become available

New: Jet Finance

Jet Finance is actually the former Mogo Kazakhstan business that has been taken over by the local management team. The fact that Mogo decided to abandon Kazakhstan doesn't fill us with much confidence in the prospects of Jet Finance. Still, they managed to make a profit of €0.5m in 1H 2021 after heavy losses in 2019 and 2020. The quality of the management presentation is very good for such a small company. Our initial score is 42. This will go up when there is more evidence that the turnaround is successful and the company gets bigger

Eleving (Mogo)

Eleving had a very difficult 2020. It made a big loss in the first half of the year and started to run very tight on capital. It's loan book also started to deteriorate quickly due to Covid impacts. However it now seems to have turned the corner. It has announced a profit of €7.8m for 1H 2021, and falling levels of non-performing loans. It still remains over-leveraged in our view, but this is less of a concern if it can continue to make strong profits. Our score is up by 3 to 68

Kviku

Kviku is based in Russia but now has lending operations in six countries in Europe and Asia. It appears on many P2P sites and recently started its own P2P site. It has started to show really promising signs in the last 12 months, with strong growth and increasing profits. It announced a profit of €3m for 1H 2020, and is generating some of the highest returns on assets we have seen recently. The main negative for Kviku is that it is still fairly small, but this is offset by a good track record and sensible balance sheet structure. Our score is up 5 to 62

Score retained: Creditstar

Creditstar has announced an (unaudited) profit of €2m for Q2 2021, up from €1.7m profit in Q1. Everything published looks good - steady growth, strong profits, and the issuance of new bonds to investors. The key thing many investors are focused on is the publication of audited results. Creditstar have promised the release of 2020 figures audited by KPMG later this month. We are looking forward to seeing these, and will reassess our score when they arrive. For now, our score remains unchanged at 72

Note: Capital Service

The Capital Service sitaution has been frustrating for Mintos investors. It blamed Covid and new laws in Poland for defaulting in 2020. It tried to use this as an opportunity to force Mintos investors to accept a big 'haircut' to their claims. This was rightly rejected however there is still a lot of uncertainty about when and how the company will be able to repay most of the amounts due. The company disclosed a loss of €3.9m for 2020, leaving it with negative equity of €1.5m. That's not as bad as expected, and shows that the terms of their initial proposal to investors was not justifiable in any way

Next step: consider adding these sites to your portfolio

EstateGuru logo

EstateGuru is an excellent site that offers loans secured on real estate. Rates are high - around 11%. Currently mainly focused on the Baltic region of Europe but with plans to expand into other countries.

Robo.cash logo

Robocash is an international lending group that offers loans via its own P2P site. We like Robocash because the lending group is extremely profitable, and the site offers high returns (9-14.5%)

Bulkestate logo

Bulkestate is a small but growing site focused on loans secured on real estate. It offers loans secured by real estate. Their rates are the highest in Europe for secured loans currently (11-14%)

October P2P logo

October is focused on lending to small businesses in France, Spain and Italy. Rates are often a little lower than the other sites we list here, but some investors will like October due to the countries it operates in.

All information published on ExploreP2P is subject to important disclaimers contained on our legal page here. No liability is accepted for the accuracy or otherwise of any information, scores or views published, and any direct or indirect losses are expressly disclaimed.

Note: Creditstar

Creditstar recently published Q3 results that were in line with expectations. However we highlight that it has still not published 2020 audited financials, despite promising to do so 'in the summer'. On a recent call the CEO said that he expects new auditors KPMG to complete their work by the end of November. The continual delays are damaging confidence in Creditstar's management.

1,049 thoughts on “Who are the most solid lenders on Mintos? Our Mintos lender ratings

  1. Julien Reply

    Hi,
    € 30 millions equity for Mogo is based on the presentation result for the investor conference call and contain a subordinated debt of € 11.9 millions but when looking at the unaudited financial accounts it looks like this subordinated debt is rather short term: “Subordinated loans comprise a loan received by the Parent company from its shareholders. The subordinated loan was acquired as one of the conditions to obtain financing from Eurobonds described further below. The loans are denominated in EUR with an interest rate of 3-10% and maturing on July 2022.”
    It is not included in Equity in the financial accounts but in borrowings where imo it belongs indeed more than in equity. Subordinated debt qualifying as prudential equity in banking for instance must fulfil a certain numbers of criteria and the maturity itself here does not (Tier 2 which is the lowest quality of own funds is basically 10 years subordinated debt).

    • Oscar Harrington Post authorReply

      It’s a good point Julien, we will try and find out a little more about this and why the maturity is so short, and what the best presentation is.

  2. naigoreip Reply

    Hi, I was wondering about increasing my Creamfinance exposure but their B- Mintos rating worries me. Many B- are rubbish, yet Creamfinance does not look that bad. I have the presentation that can be downloaded from their website. It contains some selected financial data. Would anybody have the complete audited financials? Thank you.

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    • Oscar Harrington Post authorReply

      We removed them because they no longer seem to be active on Mintos any longer. There are no loans outstanding. They had also not provided any financial information since 2018 (most likely because they were no longer active).

  5. Petr Reply

    Hi,
    what do you think of this guy’s investigation?

    https://kristapsmors.substack.com/p/mintos-and-conflicts-of-interest

    I was not able to verify the facts he is presenting, but if he is right, the conflict of interests in Mintos/Mogo and Finko, ExpressCredit, and many more LOs is very obvious. It would then make sense (from Mintos/Finko/Mogo perspective) why Mintos did not invoke the Finko group guarantee in Varks case … and I am afraid Mintos users best interests were among the last things considered.

    • Centrino Reply

      Well… Just looking at how weakly Mintos tries to chase what they ironically call the ‘Pending Payments’ is (I think) a sign that gives to Kristaps blog post a strong credit…
      That’s just my personal feeling, of course 🙂

  6. Joliehuis Reply

    You have set the disclosure quality score to 0 for LOs that have stale reporting data (no 2019 yet), e.g. Dineo, which I think is fair. But you seem to have missed a few, e.g. Lime Zaim? They still score 11 for Disclosure Quality.

    • Oscar Harrington Post authorReply

      Thanks – after investigating this we can see we updated our score for the 2019 Lime Zaim results but failed to update the financial summary table. Thanks for pointing this out,it’s been updated now.

    • Oscar Harrington Post authorReply

      Thanks – Iuvo seems to do a much better job than Mintos in publishing up to date financial information on its LO’s…

    • Oscar Harrington Post authorReply

      Thanks – agreed and updated. Placet Group’s disclosures are good, and they have asked us for input on how they can improve them further.

      • Seppo Reply

        Oscar, what do you think about criticism targeted towards Creditstar’s audits by Kristaps Mors?

        • Joliehsui Reply

          I would be interested too. Does Creditstar have a reputable auditor now (as they promised a few times before)?

          • naigoreip

            Oscar, I would be interested as well. I have investments in Creditstar both in Mintos and in Lendermarket. Thank you!

          • Oscar Harrington Post author

            Yes. Now. They say that they have appointed KPMG. However their first audit will be the Dec 2020 financials.

        • Oscar Harrington Post authorReply

          There’s some valid criticism by Kristaps for sure – once a company reaches a certain size it should really progress and move up from local to internationally known firms. They say that they have also been using ‘Big 4’ firms for various advisory and consulting advice. Creditstar have told us that they planned to appoint KPMG for the 2019 audit (which would have taken place some time in Q1/Q2 2020), but Covid disrupted these plans and their previous auditor was retained. That seems a strange explanation as you normally appoint an auditor prior to year end, before Covid had arrived. In any case I think the team at Creditstar have become more than aware that people are now holding them to a higher standard. That’s a good thing.

    • naigoreip Reply

      Excellent news. Iute is pretty safe and behaved impeccably during their Kosovo problem, but how much do you really earn on a Iute loan? Today on Mintos I received the first instalment for an Albanian loan, the returned capital earned no interest for 2 days of grace period and no interest for 7 days of pending payment. It is a one year loan at 12,2%, if these delays are repeated every month for each instalment in the end that 12,2% will actually be less than 9%. Safe, but showing misleading headline interest rates.

      • Leo Reply

        I think you got your math wrong. If the loan runs for a year, the impact of any pending payments will be very minimal as only the installment of the loan that is currently due does not generate income during that time. The rest of the capital remains unaffected and still generates interest. Grace period/pending payments really only have a noticeable effect on payday loans. The longer the loan term, the less of an impact pending payments have.

  7. Yta Adami Reply

    Hi, How is it possible that you keep Creditstar in such a high rank if they are struggling with their transparency over many years already and aren’t capable of showing a serious audit?

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    • Hans Marwitz Reply

      Hi Thomas – we only keep around 3 months of commentary / updates on the page, otherwise it just gets too long.

      • Thomas Reply

        I understand but I can see that other LOs are getting updates and I just thought if there was a problem or no. So there havent been any updates for them?

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  11. José Henrique Reply

    Probably nothing new, I received this email on the 28th regarding Aforti. I still did not see anything on their website regarding this…

    Apparently Aforti is to transfer 25k€ on a weekly basis to Mintos… Since they owe around 2m€, in just some 80 weeks it will all be sorted out (contains irony)! Well, better than nothing, but let’s see if this time they keep the agreement and do not use it to halt/postpone a legal action…

    Btw, it puzzles me how Aforti still has 32k€ current loans according to statistics page… How could that be possible? After the business agreement being terminated, I was expecting an implicit compulsory repurchase of all loans and particularly no loan extensions… Does anyone have a hint on what might be happening?

    ————————

    Dear ( ),

    You are receiving this email as an investor with active investments in Aforti Finance issued loans: € 0.00 outstanding investments and € X.XX pending payments.

    We inform you that as a result of continued negotiations between Mintos and Aforti Finance, the lending company has resumed making payments. The company has already covered the outstanding debt accumulated towards Mintos.

    Aside from that, Aforti Finance still has a significant amount of pending payments due to investors on Mintos. The lending company has now resumed covering these payments by transferring € 25 000 on a weekly basis. Today, the first of such payments was transferred to investors on Mintos. The payment is being distributed to investors in the usual pending payments settlement sequence.

    In the meantime, Mintos is working towards finalizing a reasonable restructuring solution to expedite the settlement of the remaining pending payments.

    We will update you as soon as we have more information.

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      • Christian Reply

        I think you are misreading the information. DelfinGroup finances itself also through Mintos, that is shown on the slide I think.
        Having said that, DelfinGroup (ex ExpressCredit SIA) seems to have (although more hidden) connections to Mintos, whether these are still practically relevant I don’t know, however.

        • Petar Reply

          I think I got it. Checked mintos statistics for DelfinGroup. The invested amount is 16m. Perhaps, they enroll it as debt in the financial statement.

    • Oscar Harrington Post authorReply

      Thanks Christian. Unfortunately they’ve only provided figures for their Kazakhstan subsidiary. Seems OK but we will want to see the results of the whole group (in particular taking into account Russia etc….) We’ve requested those from their investor relations team.

  13. Bjorn Reply

    hi,
    Always nice to see your data!
    Regarding LuteCredit, how do you see the statistics on Mintos in comparison?
    currently only 44% of LuteCredit’s loans are current, and about 15% are >30 days late.
    44% is a low % also compared to other LO’s, so i’m curious regarding your take on that, also since LuteCredit is highest in your ranking.
    for data see: https://www.mintos.com/en/statistics/ (change to %)
    Regards,
    bjorn

    • naigoreip Reply

      Hi Bjorn, you make a very good point. We are now in a situation where even a very good LO, that showed it’s trustworthiness by paying back investors after the Kosovo problem they had, is not offering decent risk / return. I invest very little because of their excessive 7 day grace period. 18% of Iute’s loans are now in grace period, that means that a so-called 12% loan of Iute is paying less than 10%.

    • Oscar Harrington Post authorReply

      Hi Bjorn. We always find it hard to rely on the Mintos statistics to do that kind of analysis, as the arrears figures often don’t take into things such as loan originators buying back their performing loans (which lowers the % of loans that are stated as performing), the profile of the Mintos funded loans relative to their overall portfolio, and also how their products work. Iute reported that 77% of their loans were in good standing as of 30 June. Only around 30% of their loans are funded by Mintos investors. They suffered higher provisioning costs due to Covid, but they were still able to make a profit in the first half. They provide quarterly updates on their site so it’s possible to keep a pretty close eye on how they are doing.

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  16. naigoreip Reply

    Do you think the problem will only be UkrPozyka? Or also the Dinero loans will be suspended? It does frankly make one distrust Mintos owing to the common shareholders.

    • Zakaz Reply

      News are already on Mintos site. Both Finko companies go into suspension and voluntary wind down.

  17. Zakaz Reply

    Finko Ukraine loans just went into recovery. I guess Finko UkrPozyka (Ukraine) goes into suspension after almost 3 weeks in pending payments.

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