Mintos – loan repurchase ratio

For the past few years, I had mintos work on autopilot. I had sent there money and let it compound by autoinvest feature. Recently I checked some metrics and found out I have 93% of my p2p portfolio in a single lending company. That shocked me, as I don’t want to keep my eggs in one basket, but diversify. So I adjusted that just a few weeks ago, to diversify my investments among more lending companies. This got me thinking, and I thought seeing how % of defaulted loans could be a good indicator, whether the p2p lending market is surviving corona times just fine or struggles.

I found that info in Mintos account statement. I was surprised to see that most of my loans are repurchased by the lending company, as they default. I am surprised it’s a viable model for lending companies that offer buyback guarantee. Here is a ratio of loan repurchased vs loans paid normally in my mintos portfolio:

In words, ~70% of loans defaults and lending company pays me off. To my another surprise, corona did not affect this ratio significantly.

Overall I am pretty happy with Mintos, XIRR they provide matches my calculations, and in 2020 p2p lending income would cover 5.71% of my living expenses.

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