10 Best P2P Lending Platforms in Europe (2021)

Make your money work for you by investing in European P2P lending and crowdfunding platforms.
10 Best P2P Lending Platforms in Europe (2021)

Recently, peer-to-peer lending has become a popular alternative to taking out a loan from a bank. The platforms are designed as an intermediary between people looking to invest their money and borrowers looking to get a loan.

Investors looking to grow their money find p2p lending to be a great alternative, as the bank interest rates are usually extremely low. However, choosing a P2P lending platform is not that easy, as there are many players in the market but they all differ in their offerings.

In the article below, investors can read a detailed review of the best P2P lending platforms in Europe.

Disclaimer: This is not investment advice and content should be used for informational purposes only. Before you make any financial decisions, do your own research. Investing is risky and you can lose your money.

Things to Consider Before Choosing a P2P Lending Site

Before we get into the evaluation of the best P2P platforms let’s just go through the things investors need to inform themselves about before making a decision. It’s highly advised that investors spend some time researching their options in the p2p lending market before they decide to commit any capital.

To help you get your investment journey up to speed, I’ve put some suggestions on things every investor must consider before committing to a lending platform.

The Strength and Credibility of The P2P Lending Platform

Always check the background and experience of the lending team. Look for a platform that has a team with a strong financial background because P2P lending platforms require expertise and experience to sustain the system. Additionally, pay close attention to the government and financial regulations of the platform.

Keep in mind to check if the platform has a transparent and long track of records. Inexperienced teams running P2P platforms may face trouble controlling defaulting loans and run a higher risk of bankruptcy.

Minimum Investments Entries and Fees

When it comes to costs, there are two things investors need to consider before committing to a platform. The minimum investment entry and the fees charged by the platform. Some P2P platforms have a minimum investment rate of €1 but there are also companies that require a minimum investment of €1,000.

There are P2P lending platforms without fees. However, some can charge as high as 10% on investment fees and can also charge for deposits and withdrawals. So, before making a decision always consider the average return on investment together with the fees that will be deducted from the returns.

Return on Investment (ROI)

Investors are turning to crowdfunding platforms because of the return on investment they promise. Most P2P platforms offer an average return between 10% to 15% and the lowest return can go to 6%. However, keep in mind that the higher the return on investment, the higher the risks. Some platforms that offer high returns may not offer proper protection for your funds. Always look for P2P platforms that offer high returns but also give adequate security measures for your investments.

BuyBack Guarantee

This is arguably the most important thing you need to consider before committing to a lending platform. A buyback guarantee is provided by the loan originator regarding a particular loan. In case a repayment of a specific loan is delayed, the loan originator is obligated to buy back the loan. Some P2P lending platforms may offer high returns on investment, but don’t provide investors with a buyback guarantee. Keep an eye on that.

Best European P2P Lending Platforms in 2021

In Europe, the lending scene is showing impressive growth, particularly in the East European market. Let’s see which are the leading figures in the lending market and compare their pros and cons, so you can make a wise decision before you commit to a platform.

Mintos

Mintos is a very popular Peer-to-Peer lending platform based in Riga, Latvia. Since Mintos was launched in 2015, the platform has experienced tremendous growth and is considered one of the most trusted P2P lending companies in Europe. What’s more, Mintos has won the People’s Choice Award from AltFi four times in a row and was named the “Alternative Finance Platform of The Year 2019.”

Today, more than 250,000 investors are registered on the platform and it seems that its success is nowhere near stopping, as their current average return on investment is 10.56%.

Minto’s minimum investment per loan is €10 and the platform offers a variety of business loans so investors won’t have a hard time finding a loan that fits their investment criteria. The platform has a very clear and easy-to-use interface where investors can see all available loans listed in one place.

Aside from that, investors get to see details about the loan originators and the collateral. Users also get to review debt collection updates, debt collection, and get to see other investments in the same loan.

This peer-to-peer lending platform has an Auto Invest option which allows users to automate their profile. Additionally, investors get access to all loans listed in the secondary market and have the option to sell their investment before full repayment of the loan in the secondary market.

Pros

  • High return on investment
  • Easy-to-use interface
  • The minimum investment is only €10
  • No investment fees
  • Secure platform with positive reviews
  • Auto invest option
  • Multiple-currencies
  • A vast amount of available loans
  • Full transparency
  • Loans from verified loan originators only
  • Diversification options
  • Active secondary market

Cons

  • Not all loans have a buyback guarantee.
  • Slow customer support.
  • Currency exchange has a fee.

Minimum investment: €10

Buyback guarantee: Yes

Average returns: 10.57%

Operating country: Latvia

Types of loans: Personal, business, agriculture, invoice, pawnbroking, car, mortgage, and short-term loans

Usability: Intuitive and easy to navigate

Auto invest: Yes

Secondary market: Yes

October

Founded in 2014, October is an important player in European P2P investing. The platform has more than 20,000 registered investors and has funded loans of 394 million EUR to small and medium enterprises across Europe.

October is a peer-to-peer lending platform that is highly devoted to finding the right peer loans for their investors. The platform uses technology and financial analysis to choose the best SMEs to fund and October’s management team personally lends to each project to assure clients that they do everything in their interest.

What’s more, only 1 out of 100 projects are selected for funding. This limits the number of peer loans but lowers the risk on investment which is of huge importance to every investor. Additionally, October has an extensive track record of lending money to SMEs for the last 6 years which proves their ability to evaluate businesses.

October is available in English, German, Italian, French, and Spanish. The minimum investment per project is €20 and clients can expect an average annual rate of 5.7%. The platform features a sleek and easy-to-use interface in which P2P loans are very well presented and offer investors detailed information about every project. However, October doesn’t feature an Auto-Invest option.

When it comes to customer support October does a very good job. It offers multilingual customer service via online chat and has a blog that features articles, news, and tips for investors.

By using the October app, users can get notified there is a new peer loan and invest directly from their mobile device at any time. October doesn’t offer a buyback guarantee. All transactions on the platform are secured by Lemon Way.

Pros

  • Loans from verified loan originators
  • Low risk of investment
  • Easy-to-use interface
  • No fees
  • Active secondary market
  • Easy registration process
  • Good track record (low average default rates of 2.4%)
  • Diversification option
  • Great multilingual customer support

Cons

  • No buyback guarantee
  • A low average interest rate of 5.7%
  • No Auto-Invest option
  • No secondary market

Minimum investment: €20

Buyback guarantee: No

Average returns: 13.17%

Operating country: France, Italy, Netherlands, Spain

Types of loans: SME business project loans

Usability: Intuitive and easy to navigate

Auto invest: No

Secondary market: No

EstateGuru

EstateGuru is a peer-to-peer lending platform from Estonia established in 2014.

The platform has had over 42,000 investors from 106 countries and offers investors short-term property-backed peer loans. There’s a variety of investment opportunities in several fields including refinancing, construction, bridge loans, real estate, and development projects. EstateGuru is a marketplace for short-term loans and they usually have a typical length of 12-18 months.

The platform has a historical return on investment of 12.25% and all loans are secured against the property which brings an added element of security. Most loans on the platform are focused around the Baltic region but the platform has aspirations to grow in the UK, Spain, Ireland, and Portugal.

The platform has a sleek and easy-to-use interface with only 4 headlines on the menu. It’s quite intuitive and users get to manage payouts, investments, and funds with ease. Everything is placed in one place so it’s really simple to make new investments, edit portfolio, and check your account balance. Aside from that, investors get detailed information about all investment opportunities including data about the collateral and borrowers. Estate Guru’s profile supports 6 languages and has an Auto-invest option. However, investors need to invest a minimum of €250 to unlock the basic filters of the Auto-invest function.

This investment platform has good lending track records and investors can expect an average return on investment of up to 12%. However, the minimum investment on this platform is €50 which is much higher compared to other p2p lending platforms.

In October 2019, EstateGuru launched a secondary market that will allow savvy investors to improve liquidity and earn profits for a shorter period.

Pros

  • High return on investment
  • Easy-to-use interface
  • All loans are secured
  • Website support in multiple languages
  • Short-term results
  • Referral program
  • Full transparency
  • Great track record
  • Low default rates

Cons

  • Investment opportunities mostly based in the Baltic region
  • No buyback guarantee
  • Minimum investment of €50
  • Auto-invest function requires a minimum of €250 to unlock basic filters

Minimum investment: €20

Buyback guarantee: No

Average returns: 12.25%

Operating country: Estonia

Types of loans: short-term loans, business loans, property loans

Usability: Intuitive and easy to navigate

Auto invest: Yes

Secondary market: Yes

Twino

Twino is one of the leading P2P lending sites in Continental Europe. This platform has lending companies in 5 different countries and is the first in the industry to introduce P2P lending to emerging markets such as Kazakhstan and Russia.

The company’s average annual return on investment is 11% and has a buyback guarantee. Investors get to invest in euros or British pounds. It’s important to note that these crowd-lending platforms do not charge investors any fees.

Twino’s interface is very intuitive and easy to navigate so users won’t have a hard time finding the information they need. Everything is placed in one place, so managing investments, funds, payments is simple. Users have a clear and transparent view of their portfolio, payouts, and account balance and can make new withdrawals, investments, and deposits in just a few clicks.

Twino features an Auto Invest tool that allows clients to invest money based on their investment criteria which is faster than using Manual Investing.

The platform offers a variety of loans including business loans, invoice financing, and unsecured loans. Twino provides investors with two types of protection - BuyBack guarantee and Payment guarantee. Clients that will invest in loans under the Buyback guarantee can expect that Twino will compensate them with the invested principal amount and interest and pay the exact interest in case a borrower doesn’t pay the repayment after 30 days.

The Payment guarantee protection scheme promises investors that Twino will compensate them with the invested principal amount and earned interest. The platform will also compensate and stick to the original loan repayment schedule in case the borrower is late with the repayment. This guarantee applies to the whole duration of the loan. Twino’s loans that have ratings under A, B, or C don’t have a BuyBack or Payment Guarantee.

Pros

  • High return on investment
  • Easy-to-use interface
  • Auto-invest option
  • Buyback guarantee
  • Payment guarantee
  • Mobile app
  • Easy registration process
  • High transparency

Cons

  • No secondary market
  • Limited amount of loans
  • A high percentage of loan defaults

Minimum investment: €10

Buyback guarantee: Yes

Average returns: 11%

Operating country: Latvia

Types of loans: business loans, consumer loans, invoice financing, unsecured loans

Usability: Intuitive and easy to navigate

Auto invest: Yes

Secondary market: No

Viventor

Founded in 2015, Viventor is a crowdlending platform established in Latvia. The platform reports more than 120 million EUR loans funded by now, which positions them as an important player on the market.

Most loans on the platform are from Lithuania but the platform also collaborates with loan originators from Spain, Poland, Bulgaria, and Kenya. There are over 7000 registered investors on Viventor. What particularly distinguishes this p2p lending platform from competitors is the self-reported high return on investment of 16% per annum.

The loan originators that collaborate with Viventor pre-fund the peer loans and then resell them to the registered investors on the platform. Loan originators get to keep at least 5% of each loan.

Viventor has both business and consumer rates and there is a good chance of getting higher interest rates on their secondary market.

This p2p lending solution has a straightforward and easy to navigate interface which gives investors detailed information about each loan. It’s a pretty transparent interface that can help investors decide where to invest their money. They get detailed data about the performance of their investments and also get to export information to Excel for an in-depth analysis.

Users that want to be informed about how their portfolios are performing can view Viventor’s straightforward cash-flow graphs.

Viventor’s sign up process is very quick and easy, however, investors have to wait while their identity is verified for KYC purposes.

The platform features mortgage-backed, personal, pawnbroking, consumer, invoice financing, and business loans. It has an active secondary market with a great number of investment opportunities. Viventor’s secondary market gives users the opportunity to trade loans to more experienced users and also a chance to increase the liquidity of their investments.

Pros

  • High return on investment
  • Easy-to-use interface
  • Auto-invest option
  • Buyback guarantee
  • High loan diversity
  • Secondary market
  • Buyback guarantee
  • High transparency
  • Solid track record

Cons

  • Slow registration process
  • Long delays for the sign-up process

Minimum investment: €10

Buyback guarantee: Yes

Average returns: 16%

Operating country: Latvia

Types of loans: business loans, consumer loans, invoice financing, personal loans, mortgage loans

Usability: Intuitive and easy to navigate

Auto invest: Yes

Secondary market: Yes

Iban Wallet

Iban Wallet is an investment platform that aims to provide investors with immediate access to liquidity and a daily paid fixed interest. Investments start at $1 and interest rates are up to 6% on a daily basis. Each account on the platform has a different interest rate.

The moment users sign-up on the platform they can start investing with a fixed interest rate of 2.5% AER. After the initial process, users can access other investment opportunities.

Iban Wallet’s investor’s funds are deposited in an Electronic Money Institution (EMI) which is regulated by the European Central Bank. Aside from that, the platform has additional security measurements such as multi-step protection of the investor’s identity and automated regulatory compliance that prevents terrorism financing and money laundering.

All investors are informed about the performance of their portfolios and get real-time transaction notifications. Iban Wallet has solid diversification and all their loans are aggregated. When investors put their money in one of the Ivan Wallet accounts they are lending money to several different borrowers.

Registered investors get to deposit or pull-out their money at any point. Additionally, all their investments are backed by collateral.

Iban Wallet doesn’t put additional fees on investors for set-up, withdrawal, investments, and transfers. The platform features great apps that provide users with multi-step identification. They get to set up biometric protection like Face ID and Fingerprint and can ask for 2-factor authentication for access to their account.

Pros

  • Minimum investment of €1
  • No term limit
  • Great app
  • Fast liquidity
  • Auto-invest option
  • High-quality security
  • BuyBack guarantee
  • Secondary market
  • Daily interest

Cons

  • Low rates compared to competitors

Minimum investment: €1

Buyback guarantee: Yes

Average returns: 6%

Operating country: Spain

Types of loans: asset-backed loans

Usability: Intuitive and easy to navigate

Auto invest: Yes

Secondary market: Yes

Robocash

Founded in 2017, Robocash is one of the newest players in the p2p lending platforms market. The platform is part of the Robocash Group formed in Russia in 2013 which provides financial services in eight countries in Europe and Asia.

Robocash is open to investors from the European Union and Switzerland. By now the platform has financed over 50 million euros in loans and promises investors an average rate of 12%.

Investors worried about the repayment of their borrowers can feel safe with Robocash as the platform offers a Buyback guarantee. The Buyback guarantee promises investors that if a borrower’s payments are delayed for more than 30 days, the company will pay the interest and buy the investor’s share of the loan.

Robocash features an Auto-invest option that allows investors to adjust all important parameters including the amount of money they want to invest in a single loan and the types of loans they want to invest in. Users can also deselect loan originators and select loans with their desired interest rate.

Robocash doesn’t have a secondary market. Their website is not very easy to use and the interface can’t compare to their competitors’ simple and intuitively designed interfaces. If investors want to get a loan agreement they’ll have to download a Word document which can be frustrating. Robocash specializes in payday loans, secured loans, and installment loans.

Pros

  • High return on investments
  • Buyback guarantee
  • Auto invest option
  • Minimum investment of €10
  • No investment fees
  • Large loan list
  • Strong underwriting team
  • Fast ID verification

Cons

  • No secondary market
  • Complicated and confusing interface
  • No manual investment possibility

Minimum investment: €10

Buyback guarantee: Yes

Average returns: 12%

Operating country: Latvia

Types of loans: payday loans, secured loans, installment loans

Usability: Complicated

Auto invest: Yes

Secondary market: No

PeerBerry

PeerBerry is a new player in the peer-to-peer lending market. The company was founded in Latvia in 2007 and it now has over 18000 registered investors. It’s owned by the Aventus Group and industry experts consider it the shooting star in the European lending scene, as by now the company has funded over 212 million euros in loans.

Investors interested in this platform can expect average returns of 11% on loans with a buyback guarantee. Most loan originators on the platform come from Denmark, Ukraine, Kazakhstan, and Poland.

The company has an intuitive and easy-to-use interface that provides investors with an informative overview of the listed loans. It’s important to note that investors can expect high transparency from PeerBeery. Aside from detailed information about basics such as interest rate and the amount available for the loan, users also get to see detailed information regarding the borrowers. The borrower’s country of origin, age, gender, and the number of loans the person has already taken are all included.

The same options available for manual investing are also possible with the Auto-invest option. Users get to decide the maximum investment on a loan, they can limit the portfolio size, and they can also set the minimum funds they would like to have on their account.

PeerBerry doesn’t have a secondary market. However, users that made an investment in long-term loans have the option to sell back the loan. Short term loans can’t be canceled, so users have the option to wait until their loan agreement is finished or wait for the activation of the buyback guarantee.

The platform doesn't charge fees for investing, however, it does charge a fee for users that want to sell back long-term loans. PeerBerry specializes in personal, payday, development, and car loans.

Pros

  • High return on investment
  • No investment fees
  • Auto-invest option
  • Buyback guarantee on loans
  • Easy-to-use and intuitive interface
  • High transparency
  • Diversification option

Cons

  • No secondary market

Minimum investment: €10

Buyback guarantee: Yes

Average returns: 11.51%

Operating country: Latvia

Types of loans:  personal loans, payday loans, development loans, car loans

Usability: Complicated

Auto invest: Yes

Secondary market: No

Crowdestor

Crowdestor is a crowdfunding platform launched in 2018. By now Crowdestor has raised over 30 million euros in funds and has over 11000 registered investors.

The minimum amount of investment on the platform is 50 euros. They offer high-interest rates and investors can expect an average return on investment of 15.30%.

On the platform, users can invest their money in a variety of short-term loans including business, transport, real estate, and startup projects. All fees are paid by the borrowers, so investors can expect zero investment fees if they decide to put their trust in this p2p lending platform.

Crowdestor investors have the chance to invest their money in a number of interesting loans and by doing that they can help individuals bring their projects to life. They can expect to find projects from game development studios, bars, hotels, warehouses, construction companies, and even drum schools. Currently, users can invest their money in a Warhunt movie featuring Mickey Rourke as one of the leading actors.

The platform doesn’t feature an auto-invest option. To become an investor on the platform users must have a bank account in one of the European Union member states or a European IBAN     (International Bank Account Number). This basically means that it’s not possible to become a registered investor on Crowdestor if you don’t have a bank account in some of the EU member countries.

The platform’s interface is intuitive and pretty simple to use and all details considering the loans such as loan rates and loan duration are available for investors. On their website, there’s a separate page for each project with a simplistic design.

Crowdestor is available in English, Spanish, German and Italian.

Pros

  • High returns on investment
  • No investment fees
  • Multiple loan types
  • High transparency
  • Short-loan terms

Cons

  • No secondary market
  • No buyback guarantee
  • Lacking Auto-Invest option
  • Lack of diversification options
  • Short track record (new platform)

Minimum investment: €50

Buyback guarantee: No, BuyBack Fund is available

Average returns: 15.30%

Operating country: Latvia

Types of loans:  personal loans, development loans, business loans, short-term loans

Usability: Complicated

Auto invest: No

Secondary market: No

I’m a curious lifestyle blogger, content marketing consultant & entrepreneur from Lithuania. Founder of Content Writing Jobs and Cleantechy. Love great books, building stuff online, designing systems, optimizing lifestyle, learning new skills, and traveling slowly. If you like my writing, check out my weekly newsletter.

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