What is Auto invest and how does it work?

Investing, as well as stock trading, is a thing that must be carefully studied, but thanks to companies like DoFinance, everyone can begin investing, even without any special knowledge. Since investing involves risks, you need to be smart about any investment and choose the options that will give you the best terms and return to suit your risk profile. For its part, DoFinance will do its utmost to keep potential risks to a minimum and grant short-term consumer loans which provide certain stability in the risk equation, compared to long-term loans, where the situation can be unpredictable.

What is auto-invest?

Auto-invest is an indispensable assistant for those who have never been involved in investing before or for those who do not want to devote time to it. Auto Invest is an automation tool for diversifying your investment portfolio. Auto Investing means that an automated system is distributing invested funds through the existing and available loans for investment, in a manner that ensures an even and wide range of loans to minimize the risk of concentration in a few borrowers’ individual default risk.

DoFinance recommends using Auto Invest if you invest bigger amounts as the system automatically divides the sum by 5-20 EUR into investments and invests in various loans. Profit interest rates in Auto Invest programs are 10% or 13%.

In whose loans will my money be invested?

DoFinance offers short-term consumer loans. For safety reasons and in compliance with the law, DoFinance does not reveal the full names or addresses of the end borrowers. Nevertheless, investors can see the demographic data of each end borrower.

What then? 

When your Auto Invest term is finished, invested funds will no longer be reinvested, and your underlying loan assignments will be repaid according to their maturity dates, together with their interest payments. With every repayment, you will get your invested funds plus the interest earned, paid back into your investor account

What if the loaner does not pay back in time?

If the borrower does not repay their debt on time, this is not a cause for concern. According to the Assignment Agreement that lasts 60 days, the lender can offer the BuyBack and can pay back to the investor the outstanding principal and the accrued interest of the delinquent loan, upon the use of its right of BuyBack. In the event of any default, Loan Originators employ Debt Collection teams that actively collect all overdue liabilities from their borrowers.

Conclusion

This is a great opportunity to customize your investment payments without worrying about them or having to track them. You can always be sure that your funds are reliably protected and applied in business. Automatic payments can be compared to automatic payments for utilities, only there is one difference – you will not pay, but earn.

DoFinance offers you the chance to invest in short-term consumer loans and recommends using one of Auto Invest plans depending on your desired return rate, term, and flexibility.

Please note, that all investments contain high risks, and they should not be considered as the main source of income.