This page is updated in the last week of each month with data correct as of the start of that month.
Latest update: December 2020.
RateSetter generally expects that investments will earn the advertised rate, however all returns will be reduced by 50% during the Temporary Interest Reduction. Some borrowers may fail to make repayments, but while the Provision Fund maintains a capital coverage ratio over 100% it is likely to be able to repay capital in full. If an investment is held within an Everyday account, interest earned is taxable income, but may be tax-free under the Personal Savings Allowance. If an investment is not in the Access product, there may be a fee to release that investment.
The graph below shows how much has been lent through RateSetter and how much is still left to repay.
Provision Fund cash
Borrower contributions to the Provision Fund received to date, minus losses to date.
Expected Future Provision Fund Inflows
Borrower contributions to the Provision Fund due over the lifetime of active loans, discounted to reflect early payments and losses.
Provision Fund Buffer
Contributions already received, plus Expected Future Provision Fund Inflows.
Expected Future Investor Interest
Interest payments from borrowers to investors expected to be received over the lifetime of active loans, discounted for early payments and losses.
Expected Future Losses
Expected future losses on active loans covered by the Provision Fund.
Capital Buffer
Provision Fund buffer, plus expected future interest.
The Provision Fund we offer does not give you a right to a payment so you may not receive a pay-out even if you suffer loss. The Fund has absolute discretion as to the amount that may be paid, including making no payment at all. Therefore, investors should not rely on possible pay-outs from the Provision Fund when considering whether or how much to invest. Learn more
The expected losses are estimated based on quantitative analysis of actual loss data.
When we underwrite a loan, we assess the likelihood of that loan not being repaid in full. We call this figure Expected Loss. This assessment helps us to put aside the right amount of money in the Provision Fund to reimburse investors in the event of that loan not repaying.
Important things to remember:
We revise and published our estimates on a quarterly basis. Past performance is not an indicator of future results.