What is a sale price?

The sale price is the amount another investor pays to take over your position in a loan. It is the figure your listing is offered at on the Secondary Market.

How the price is set

You do not type the sale price directly. You set a discount or premium as a percentage against your outstanding principal, and Afranga calculates the sale price from it:

• 0% – at par. The sale price equals your outstanding principal.
• A discount – below your outstanding principal. This can help a listing sell faster.
• A premium – above your outstanding principal. This may suit a loan other investors want.

You can go up to 15% above or 15% below your outstanding principal.

What to weigh when pricing

• How much term is left on the loan
• The interest rate compared with what is available on the Primary Market
• The Borrower’s repayment record and the loan status
• How quickly you want the funds

What you receive

You receive the full sale price. Afranga charges no fee to sell on the Secondary Market, so nothing is deducted. Interest accrued up to the sale date stays with you and reaches you with the Borrower’s next scheduled payment.

A sale is not guaranteed and depends on demand from other investors. As with all investments, your capital is at risk. Questions? support@afranga.com.