How does MoolahSense mitigate the risks on the possibility that the SMEs may default their repayment?
At MoolahSense, we have put in place a stringent credit assessment process where we conduct checks on the identity of potential Issuers (i.e. businesses) and personal guarantors as well as a comprehensive financial and business profile analysis of potential SMEs, so as to ascertain that they have the financial ability to repay the loan principal and interest to Investors. To ensure that the information provided by SMEs are accurate, we verify the authenticity through third party data providers. In addition for unsecured loans, to safeguard the interest of Investors, we ensure that the loan is backed by at least one personal/corporate guarantor.