{"id":2810,"date":"2019-08-21T08:57:28","date_gmt":"2019-08-21T08:57:28","guid":{"rendered":"http:\/\/savingsforfreedom.com\/?p=2810"},"modified":"2020-11-11T09:02:58","modified_gmt":"2020-11-11T09:02:58","slug":"iban-wall-first-impressions-review","status":"publish","type":"post","link":"https:\/\/savingsforfreedom.com\/blog\/2019\/08\/21\/iban-wall-first-impressions-review\/","title":{"rendered":"IBAN WALL: First Impressions & Review"},"content":{"rendered":"
\"iban<\/a><\/div>
Risk Management<\/a><\/span>

iban Wallet: A Warning Message<\/a><\/h2>
<\/i> By SavingsForFreedom<\/a><\/span><\/i> November 4, 2020<\/span><\/i> 0<\/span><\/div>
I decided to stop promoting iban wallet on my blog. Too many questions without answers, too much smoke around people, locations, finances and operations. A warning message to all.<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n
\"iBAN<\/a><\/figure><\/div>\n\n\n\n

iban Wallet<\/a> is a fintech startup that follows an asset-backed loan investment model similar to Robocash<\/a>: black box loan investing. This means that you don’t know the loans that are receiving your investment, you are only able to select the investment tier and duration. <\/p>\n\n\n\n

You can invest and earn your interest daily from 2.5% up to 6% per year, being able to deposit and withdraw money daily. The minimum deposit and investment amount required is \u20ac1.<\/p>\n\n\n\n

\"iban<\/a>
How the iban model works. Image: iban<\/a><\/figcaption><\/figure><\/div>\n\n\n\n

Funded in July 2016 in the UK, the company received funding through multiple crowdfunding campaigns that financed the development of the iban Wallet App<\/a>, launch in March 2019 and the business development to recruiting investors in Europe (mainly from the UK and Spain) and borrowers globally.<\/p>\n\n\n\n

iban Accounts<\/a> do not fall under any government-backed deposit protection schemes (such as the FSCS in the UK) and all investment done is at risk. iban Wallet<\/a> is not a savings account.<\/p>\n\n\n\n\n\n\n\n

iban Wallet<\/a> Platform Quick Review<\/h3>\n\n\n\n

iban Wallet<\/a> offers among the lower interest rates in the business. The highlights of iban Wallet<\/a> are: interest payments on a daily basis and you can deposit and request withdrawals when need to (without any charge)<\/strong>. This was the particular element that called my attention, a fixed return with immediate liquidity. <\/p>\n\n\n\n

Creating an iban Wallet<\/a> investor account is straightforward. Registration is extremely simple and the platform is very easy to navigate. You need to have a phone number associated with your account to receive security codes and validation codes.<\/p>\n\n\n\n

Analysis Topic<\/strong><\/td>Personal Take<\/strong><\/td><\/tr>
\"Type<\/a><\/figure><\/code>

Type of Loans Available<\/a><\/p><\/td>

Consumer<\/td><\/tr>
\"Interest<\/figure>
<\/a>

Average Interest Rate <\/a><\/p><\/td>

2.5% – 6% (daily interest payment)<\/td><\/tr>
\"Buyback<\/a><\/figure>

Buyback \/ Secured Loans<\/a><\/p><\/td>

Yes (asset backed or property backed loans)<\/td><\/tr>
\"Early<\/a><\/figure>

Early Exit \/ Secondary Market<\/a><\/p><\/td>

Yes (immediate)<\/td><\/tr>
\"Autoinvest<\/a><\/figure>

Auto Invest Feature<\/a><\/p><\/td>

By default<\/td><\/tr>
\"Control<\/a><\/figure>
<\/a><\/a><\/figure><\/figure>

Control over Loans Invested<\/a><\/p><\/td>

No<\/td><\/tr>
\"Money<\/a><\/figure>

Money Drag<\/a><\/p><\/td>

No<\/td><\/tr>
\"Hidden<\/a><\/figure>

Hidden Fees<\/a><\/p><\/td>

No<\/td><\/tr>
\"Loan<\/a><\/figure>

Loan Duration<\/a><\/p><\/td>

1 day to 5 years<\/td><\/tr>
\"Report<\/a><\/figure>

Reporting Tool<\/a><\/p><\/td>

Low Quality<\/td><\/tr>
\"User<\/a><\/figure>

User Experience<\/a><\/p><\/td>

High Quality<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
\n\n\n\n

iban Wallet<\/a>: Origins<\/h2>\n\n\n\n

The first question to answer with any new P2P player is who they are and where they came from. The company was founded back in July 2016 by two entrepreneurs: Daniel Suero Alonso, CEO, Marc-Anthony Hurr, and the Portuguese Pedro Freire. The project passed through multiple different ideas and pivots, but the focus on exploring loan investing opportunities in Latin America seems to be there since the very beginning, even if now the loan originators are from all over the world, with no specific concentration region (LATAM is only one more). On a pitch deck to investors from 2016, it was possible to read: “iban – First crowdlending marketplace connecting Europe and LATAM<\/a><\/em>“.<\/p>\n\n\n\n

In the words of iban Wallet<\/a> co-founder and CEO, Daniel Suero Alonso, in January 2017, the idea for iban Wallet<\/a> came from his analysis of the P2P market: <\/p>\n\n\n\n

“Currently all the major players in the P2P lending space are receiving money and lending within a single country, primarily focused in Europe, the US and Asia. Alternative lending is only just arriving to LATAM, and with it the associated lower loan rates, so there\u2019s a huge connected population waiting for this technology and business model to arrive. By lending cross-border in a mobile application, we can provide simpler and cheaper credit access to all those individuals, at fair local rates, enabling us to pass on the financial gains to the lenders that come with lending in a developing economy.<\/em>” <\/p>Daniel Suero Alonso, iban CEO<\/a><\/cite><\/blockquote>\n\n\n\n

iban<\/a> has already launched five successful crowdfunding campaigns to provide seed capital to the company – three on Crowdfunder (UK & German markets) and another two on Seedrs (UK) in April 2017 and July 2018 – attracting investors at a valuation of \u00a320,070,491.<\/p>\n\n\n\n

This money was used to create the complete app and back-end system, forming partnerships with specialist technology operators to offer secure banking and loan services, as well as opening offices in London, Sevilla, and Lisbon, as well as managing the lending operations in Latin America.<\/p>\n\n\n\n

iban Wallet<\/a> launched the mobile App for peer to peer lending operations in March 2019, with a new image and brand voice.<\/p>\n\n\n\n

\"iBAN<\/a>
Marc-Anthony (center-left) and Daniel (center-right), the co-founders of iban Wallet back in 2016 with the previous company logo. Image: Diario DigitalRD<\/a><\/figcaption><\/figure><\/div>\n\n\n\n

iban Wallet<\/a> Founders: Daniel Alonso, Marc-Anthony Hurr, and Pedro Freire<\/h3>\n\n\n\n

The founders behind iban Wallet<\/a> are three young entrepreneurs from Spain, UK and Portugal: Daniel Alonso, Marc-Anthony Hurr, and Pedro Freire. I want to highlight the experience of Pedro Freire<\/a> prior to iban Wallet<\/a>, having followed the entrepreneur path.<\/p>\n\n\n\n

iban Wallet<\/a> Financial Track Record<\/h2>\n\n\n\n

No clear data is available regarding iban<\/a> financial operations. On a pitch deck employed back in 2017, the company presented more than 500 borrowers and 2000 investors using their services. With around \u00a3100,000 in deposits and over \u00a32.7 million in loan requests. You can check the available information on the images below.<\/p>\n\n\n\n

\"iBAN<\/a>
Investment deck information from iban back in 2017. Source: Daniel Alonso LinkedIn<\/a><\/figcaption><\/figure><\/div>\n\n\n\n

Since the beginning, the company was developed to ensure financial sustainability. From the same investment deck, it was possible to understand the proposed business model for the company.<\/p>\n\n\n\n

\"iBAN<\/a>
Investment deck information from iban back in 2017. Source: Daniel Alonso LinkedIn<\/a><\/figcaption><\/figure><\/div>\n\n\n\n

Project Default Levels<\/h3>\n\n\n\n

The iban platform<\/a> states an impressive 100% non-default track record. But considering that iban Wallet<\/a> accounts offer a fixed interest rate, regardless of the amount, term and investments made on loans, it makes sense that this P2P lending company is capable of offering multiple protections to its investors. You exchange interest for immediate liquidity.<\/p>\n\n\n\n

The company states that all the iban Wallet<\/a> loans are backed by property, have a Buyback Guarantee and a Safeguard Trust which has covered all bad loans since it launched. This means that until this moment not a single investor has lost money.<\/p>\n\n\n\n

iban Wallet<\/a> Due Diligence<\/h2>\n\n\n\n

iban Wallet<\/a> Project Selection Due Diligence<\/h3>\n\n\n\n

Before accepting the loan, iban Wallet<\/a> executes a due diligence procedure for each prospective Loan Originator:<\/p>\n\n\n\n