Nibble Finance is a P2P lending platform that offers the ability to invest in loans NPL (Non Performing Loans) issued by IT Smart Finance group companies.
You may decide to use one of the three strategies offered and enjoy higher or lower returns and guarantees depending on the level of risk you decide to take on.
- What is Nibble Finance
- How it works
- Yields
- Investment Strategies
- Nibble costs
- Nibble Finance Reviews
- Is it safe to invest in Nibble
- Cashback of 2%
- Invite a friend and earn
- Concluding
What is Nibble Finance
Nibble is a platform of the IT Smart Finance group that allows people to invest in loans provided by companies in the Joymoney group (operating in the alternative lending field since 2014).
As you can see below (official website source) it has an average return of 12 percent, 8,504 registered users and €144,397 paid out to investors.
It functions as abridge between banks and investors, offering an adaptable investment model for both experts and beginners.
Basically, Nibble Finance is in charge of finding investors for loans from IT Smart Finance group companies.
How loans are classified
Nibble (source official website) ranks loans each time they are approved and can receive a rating ranging from AA to C.
See below in detail what they mean and what characteristics they have
How Nibble Finance Works
To start investing on Nibble Finance you need to follow these steps:
- Registering for the site
- Carry out identity verification
- Recharge account
- Investing capital
- Wait for the deadline or withdraw early
Registering for the site
Go to the home page of the site and click on the “Create an account” button in the upper right corner, as you see in the image below.
Now we will need to enter our name, email address and password.
Carry out identity verification
At this point we can already enter our restricted area, as you see from the image below.
Before we do anything, however, we must perform identity recognition since the platform adheres to money laundering control and is normally regulated.
We will need to enter our address and phone number and immediately proceed to identity verification with cell phone procedure (front and back photo of ID and selfie).
Once this is done, the data will be checked and in a few minutes we will have verified our profile.
Recharge account
Now we will immediately be asked to reload our account to proceed with our first investments.
Pressing the button on the left “deposit” in the restricted area will take us to the relevant section.
Here we will be able to choose the amount (the minimum deposit on Nibble is €10) and how to reload, remembering that there are no fees.
On Nibble we can recharge with:
- Bank transfer
- Credit or debit card
Investing capital
We can now proceed to choose our investment from the list of those currently active.
Currently, we can see that only two investments with legal strategy are available, one at 10.5 percent and one at 12.5 percent with durations of 8 and 12 months.
In the rest of the screen we can see all the details such as the capital to be raised, term, and an outline of what our expected income may be.
When we have decided on the investment, we need only click on the “Invest” button and we will have activated the relevant strategy.
Wait for the deadline or withdraw early
Once it comes to maturity, the principal with interest will be credited back to our account and we can decide to withdraw it (50€ minimum) or invest it again in other projects.
In certain strategies it is also possible to withdraw capital in advance.
Nibble Finance returns.
Nibble’s returns vary from a low of 8 percent to a high of 14.5 percent depending on the strategy and the type of credit you buy.
If the return exceeds 15 percent, the extra profit will go into Nibble’s coffers.
Investment strategies
The platform offers different investment strategies in order to accommodate all investors who register with the site (source official site).
Nibble Finance’s 3 strategies are:
- Classic Strategy
- Legal Strategy
- Balanced Strategy
| Classic Strategy | Legal Strategy | Balanced Strategy | |
|---|---|---|---|
| Duration | 1-6 months | 6-60 months | 7-60 months |
| Minimum investment amount | 10€ | 10€ | 100€ |
| Maximum investment amount | 10.000€ | 10.000€ | 10.000€ |
| Minimum withdrawal amount | 50€ | 50€ | 50€ |
| Annual yield | 8% | 14.5% | 12.5% |
Classic Strategy
Nibble’s Classic strategy offers a 8 percent annual return with an investment period of 1 to 6 months.
The loans are rated AA-A-BB and there is a repurchase guarantee, which in case of problems makes IT Smart Finance group companies buy back the investor’s claim, causing us to lose no capital.
Risks of classical strategy
Investors run the risk of loan default, violation of the repayment plan, or failure to repay the entire loan amount.
However, as we have already seen, the Nibble platform offers a buy-back guarantee of assets and interest to cover these risks.
Legal Strategy
Legal Strategy offers an annual interest rate of 14.5% , with a C-CC-C loan classification.
Clearly, given the higher risk, returns grow accordingly.
For this strategy, there is a deposit return guarantee, which consists in the event of problems in the return of the initial capital but not the interest accrued during the elapsed time period.
The interest accrues daily at an annual rate of 8%, with payments made every 90 days based on an effective yield of up to 14.5%.
During the period when funds are raised to purchase a portfolio, which can last up to 30 days, investors earn an 8 percent bonus rate, in addition to the main yield.
Risks of legal strategy
Investors are protected from potential risks such as loan default or non-repayment through a deposit return guarantee offered by collection agencies. These agencies are obligated to return the full amount invested at the end of the investment period and offer a minimum annual return of 8 percent.
Balanced Strategy
The balanced strategy is chosen (according to Nibble) by 65 percent of investors and offers an annual rate of 12.5 percent.
No guarantee is offered, so in case of problems we may lose all our capital.
Finally, if the actual return exceeds the stated 15% maximum, the extra profits do not go to Nibble and will be used to reduce risk and align with the stated rate of return.
Risks of the balanced strategy
Investments made following this strategy do not enjoy guarantees. They are not protected by a buyback mechanism or insured by government funds.
Therefore, should the borrower default, the investor risks losing all or part of his or her invested capital.
The profit generated by this strategy is not secured by Nibble. Investors buy rights to borrowers’ repayments, and the interest earnings depend on the ability of borrowers to meet their repayment commitments. In the event of nonpayment, investors may not earn interest or may have to wait longer for repayment of principal and interest.
Nibble’s costs
Nibble is a free and no-cost platform.
As it is stated on their site, they take care of all the charges and you do not have to pay anything to use the service, reload or withdraw.
How to withdraw from Nibble
To withdraw from Nibble, simply press the “Withdraw” button from the main page of our restricted area.
At this point we will be able to choose whether we want to receive the funds on a card or in our checking account (they will have to have been verified beforehand).
The minimum withdrawal amount is €50.
Reviews of Nibble Finance
On Trustpilot Nibble Finance has 12 reviews with an average rating of 3.8 stars out of 5, defined as very good by the platform.
The negative reviews all refer to withdrawal problems, to which Nibble has always responded promptly by providing support and details regarding the transaction.
The remaining 83% are all positive opinions about the platform, appreciating its ease of operation and very high returns.
Is it safe to invest in Nibble?
The Nibble Finance platform has been on the market for a relatively short time, and its history is not so long that we can rest easy.
On the other hand, the other companies in the group have been there for a long time and seem to be very stable.
Nevertheless, as a precaution, my advice is to invest cautiously and only as much capital as we are willing to lose.
2% cashback
If you invest in the Legal strategy by September 30, you will get a 2 percent cashback on the principal 90 days after initiating the transaction.
Invite a friend and earn
The platform also offers the opportunity to gain through friend membership.
From the main menu you will need to press “Invite Friends,” and we will come to the screen you see below.
We press on the “My Invitations” button on the left, and the link will appear that we will need to share and they will need to use to register.
You will receive 2% of what is invested, provided:
- Total investment is more than €500
- The portfolio has been active for more than 90 days
So you will receive the money in the third month if the conditions have been met.
For example, if you invest €5,000, you will receive €100.
The maximum you can cash in per friend is €1,000.
Concluding
Nibble Finance makes it possible to invest in loans granted by the companies in the group to which it belongs and offers really attractive returns.
The strategies have varying returns and are often unavailable, so you are advised to visit the site frequently to find the best opportunities.
In any case, the platform has only been active for a short time so I suggest you invest carefully and only as much capital as you are willing to lose.
In the meantime, you can register by pressing the button below, take a look at how it works and if not proceed with the investment.
FAQ Section
Nibble Finance is a platform for investing in credits of group companies.
Nibble offers three investment strategies: Classic, Legal and Balanced
On the classical strategy the principal and interest are guaranteed, on the legal strategy only the invested capital is guaranteed while on the balanced strategy there are no guarantees.
The minimum withdrawal amount for Nibble is €50.
Yes, on Nibble it is possible to withdraw capital before maturity.
The minimum recharge on Nibble is 10€.
Nibble Finance account can be recharged by wire transfer or credit or debit card
Disclaimer
This article is only informational and NOT for professional or educational purposes. The topics covered must not be understood as financial advice.
Do not sell or purchase of the financial securities covered.
You must always think with your own head and act only if you understand what you are doing. If not, better stay still.
In any case, only invest capital that you are willing to lose, because that is what could happen!
The author and the website disclaim all responsibility for any action taken or not taken based on the content of this article.