Mintos Review

Mintos Review (Latvian Lender) 

(4 / 5)

– Updated September 2018

Read my 100% unbiased Mintos review here. Based on my own investing experience. Highlighting the positives and negatives of investing with one of Europe’s largest peer to peer lenders.

Mintos – is a large European Peer to Peer – Peer to Business (P2P/P2B) lender providing loans to consumers & businesses around Europe. They have a huge loan book and many investments available, in many currencies (including GBP and Euro).

Offering higher returns (I’m getting 9.4%+ as Sep 2018) on loans to consumers and businesses mostly in Europe. However they also lend to other countries around the world. Many (but not all) loans are secured on anything from property, cars, pawn shop items and more.

For extra security, many of Mintos loans also offer a “buyback guarantee”. This is where Mintos loan originators will buy back any loans that fall behind in payments more than 60 days.    Mintos are an interesting proposition for anyone wanting to invest in their own currency. Or to diversify in to other currencies. As mentioned above, Mintos is a little different to many other P2P companies because for the bulk of its loans, Mintos acts more like a “middle man”. Meaning that Mintos connects “originators” (local loan providers) to lenders, instead of making its own loans.

Obvious Investor Easy-Info Table

Overall Rating*: (4 / 5)
Who can invest:
Estimated Return:Up to 15%+ depending on loans & currencies.
My Actual Return:9.46%
Risk Rating*:5/10 - Medium   
Early Exit:Yes.
Loans can be sold on secondary market.
No Mintos fees.
Min. Investment:€10
Auto Invest:Yes
Manual Invest:Yes
Lending To:Borrowers (through originators)
Loan Security:Yes, with some loans.
Provision Fund:No provision fund.
See review for "Buy Back Guarantee"
and "Skin in the Game".
Time to Invest:Fast: huge loan book.
Time to Mange:None (auto-invest) to medium (manual invest)
Lender Fees:No.
Amount Lent:€1 billion+
Number of Investors:77,000+
Loan/Dflt Stats:Click Here for Stats
Regulated:No
Location:Latvia
Launched:2015
Website:https://www.mintos.com
IFISA/IRA:No
Cashback**:Click here to see current offers.
How to Sign Up**:Sign Up Here!

* My opinions on ratings and risk rating factors refer to my personal experiences with the lender. Plus factual data such as interest rates, loan types, security, platform history, default numbers etc.

**Please read our referral policy for more information on referrals & affiliate links.

History

Mintos was  launched in 2015 in Latvia. In the 3 or so years Mintos has been in business, it has lent out over 1 billion euros from almost 80,000 registered investors. Mintos currently has almost 50 different originators they work with. Those figures are almost unbelievable. And when your also hear the fact that Mintos is already a profitable company, it makes it even more impressive!

Mintos Screen Shot

I really like Mintos. Having invested cautiously with them at first.  I have now started to expand my portfolio.  My feeling is that, even though they area located in a country that is maybe not so well know. They are a good business, and a fairly safe investment.

Website

The Mintos Website is one of the best I’ve seen from all of the P2P lenders. And their loan supply is out of this world.

Currently (September 2018) there are 85,234 loans available to invest in on the primary market. There are 129,000 on the secondary market. Most loans are in Euros. So for larger investors, Mintos can gobble up huge amounts of investment capital. Which means that you can still only have a small amount invested in each loan. Easy for us to conform to the “Prime Directive” for huge diversification.

Mintos Screen Shot

Safety

Although I consider Mintos to be a little more risky venture than some of the UK and USA P2P companies. Mainly because of where it is located, and because they are not regulated. I still think their sheer size adds some security to their offerings. On top of that, many of the loan originators put some of, what Mintos refers to as “skin in the game”. Meaning they invest their own capital in a percentage of the loan (typically from 5% – 15%). So if the loan goes bad, they lose money as well as the Mintos lenders. Also the previously mentioned “buy back guarantees” really help to put more confidence in them. And the 9%+ returns are definitely nothing to sniff at.

Mintos actually used to offer interest rates much higher (15% – 20%). However recently the rates have come down due to increased investor demand.  Also MoGo (one of the largest originators of car loans) stopped offering their higher paying car loans. These loans made a big difference to the return rate. It is still possible though to find loans in the 12% range, although most are available only in euro. I currently only have GBP’s invested in Mintos. The 9%+ is about the best you can do in that currency.

Mintos Screen Shot

Originator Default

One of the dangers to be aware of investing in P2P companies, Mintos experienced back in 2017 when Eurocent, one of it’s originators went out of business and was suspended from trading on the platform. Eurocent was one of the many originators offering “buyback guarantees” , so with them gone now no knows if lenders can expect to get all of their capital back or not on defaulted loans originated by them.

Here again, the “Prime Directive” comes in to play; not only diversify between loans, but also make sure you are diversified between originators. Even in the Eurocent situation I would think that investors would still get most of their money back, simply because the loans we make through P2P platforms are usually directly with the borrower. So the fact that a platform goes bust doesn’t mean that all borrowers will cease to pay their loans (I would hope). It’s always important to remember when investing in P2P businesses that your capital is always at risk and there is no government backed insurance such as the FDIC in the US or FCSC in the UK to protect your capital in the event a platform goes out of business.

Selecting loans to invest in through the Mintos website is very easy. Their loan filters make it simple to drill down to just loans that meet your criteria in both the primary and secondary markets:

Mintos Screen Shot

Auto-invest

Another thing I really like about Mintos is their auto-invest which is very flexible in allowing us to pick the loans we want to invest in automatically as money is added to the account and as new loans are added through the platform.

Mintos does offer some “pre-packaged” auto-invest portfolios. However I don’t feel the rates are so great. They are good if you really don’t want to put any time in to configuring Mintos though,  and just start earning a good rate from day 1.

Mintos Screen Shot

If you use their “Custom Strategy” tool, you have a lot more flexibility on which loans you want, how much interest you want to earn and how much diversification you would like, as well as several other settings:

Mintos Screen Shot

Mintos Screen Shot

Summary

Mintos is becoming one of my most favorite platforms. As I invest more in to their loans and become more confident in them, I’m sure any hesitation I have because of their location will dissipate. Their staff is professional whenever I need to contact them for anything. They are curtious, and everyone I’ve spoken to speaks excellent English. Email responses are also timely and any issues are rectified very quickly.

Click here to open an account with Mintos and see their current offers. When you open an account using this link it helps me to run this website and write new reviews. Please read our referral policy for more info.
Thumbs Up

THUMBS UP POINTS FOR MINTOS

  • Unique Diversification  – focusing on consumers and businesses in many different countries and in many different currencies really is enticing.
  • Great Returns – even with the lower available rates now, 9%+ in GBP is nothing to sniff at, and even better rates are available for loans in euros.
  • Multi-Currency – lots of options for currencies to invest in. Mintos also offer a reasonable money exchange service for changing money into other currencies.
  • Huge Loan Book – there should never be any cash drag with Mintos loans.
  • Great Filters – very easy to drill down to loans you want to invest in
  • Auto-Invest –Mintos auto-invest options are (I believe) the most configurable of all of the P2P platforms I invest with. You can literally choose anything you like.
  • Skin in the Game – most lenders have their own interest in loans so they should take more care in loans they write.
  • Buyback Guarantee – most originators will buy back the loans if they go in to default.
  • Zero Early Exit Fees – Mintos does not charge for selling loans early on the secondary market, and even lets you sell at a premium or discount if you so see fit.
  • Website – very easy to use and understand, and still very configurable.
  • Mintos also won AltFi’s “People’s choice award” in 2016 and 2017 which adds a little more confidence around them for me.

Click here to join Mintos

 

Thumbs Down

THUMBS DOWN POINTS MINTOS

  • No Regulation – makes Mintos a riskier proposition.
  • No Provision Fund –there is no fund to provide restitution to lenders if loans go in to default without buyback or security.
  • European Based – Latvian based means more risk as they are not regulated under normal FCA rules.
  • Currency Risk – investing in a foreign currency can have it’s own inherent risks if it falls against your home currency.
  • No IFISA for interest free investing for UK investors.

 

Traffic Light Medium Risk    

RISK FACTOR – 5/10 – Medium

I consider Mintos to be in the medium risk category. Even taking in to consideration that some loans are secured, originators have “skin in the game” and the “buyback guarantee”. They are still an unregulated business in a foreign (to many of us) country.

I enjoy investing through Mintos and I hope they continue on the road they are currently on. TrustPilot reviews give them an great! rating but only 270 reviews so far so perhaps TrustPilot is not big in Latvia?

 

WHO CAN INVEST WITH MINTOS

It appears that most countries in the EU can invest with Mintos and also other countries that conform to the EU’s money laundering regulations. Unfortunately (as far as I can understand) our USA friends aren’t able to invest in Mintos at this time. This is because of some US regulation (not Mintos rules).  If you need help moving money to Mintos, or exchanging currencies. See my review on the TransferWise Borderless Account. Contact Mintos for more information.

 

Click here to open an account with Mintos and see their current offers. When you open an account using this link it helps me to run this website and write new reviews. Please read our referral policy for more info.
 

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Mintos Peer to Peer Lender Review
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