My opinion on Swaper
Swaper’s pros & cons
- Platform is easy to use
- Loyalty bonus offering 14% interest rate if your account is larger than €5000
- Interest rates are rather low
Secured loans offer a 12% interest rate for a 1-month duration, sometimes longer. Borrowers are located in various European countries : Spain, Poland, Denmark, Georgia. If you invest at least 5000€ in the platform, you’ll get what they call a “loyalty bonus”, meaning an interest rate of 14%. That’s very interesting if you have that amount available for investing !
For a while, Swaper had troubles handling the amount of money deposited on the portal, thus you often found yourself with a large idle account balance. That was my main concern about this company, and the reason why the sum I invested there was extra-low. Since August 2017, Swaper is supposed to have doubled the amount of monthly available loans. The situation has greatly improved and most of my funds are invested now.
I previously used a neat trick I discovered in Financially Free blog, which helped me to invest more funds. I created several auto-investment portfolios and it resulted in less idle funds. However, the auto-investment process had been redesigned and it’s not possible to create several portfolios anymore.
For those of you who’d be tempted to invest manually, here’s what the available loans list typically looks like :
Yes, that’s right! Only one loan is available, and a delayed one ! Juicy ! (insert crying investor emoticon). All available loans are invested in by people using the auto-invest feature, so I strongly advise you to also use it.
Buyback guaranteeSwaper will refund both accrued interest and principal after 30 days (for short-term loans) or 60 days (for long-term loans). This is more or less the standard practice in P2P lending.
There’s a secondary market available, should you want to resell your loan. There’s no fee involved, which is more and more common.
The auto-invest feature is really easy to configure.
One minor annoyance though, actually also found in ViaInvest‘s website is the color scheme used for toggles. Surprisingly, a red toggle actually means “on”. I really can’t figure why they don’t use more classical checkboxes instead !
Apart from that, this screen is extremely readable, as you can see in this screenshot :
Website’s ease of use
English, Latvian, German
Website’s design and ergonomics
The website offers common reporting features such as investments list or account statement. Some of this data is downloadable as an Excel file.
I got in touch with Swaper‘s support regarding the secondary market. It was on a Friday evening so of course they didn’t reply immediately, but they did so first thing on the next Monday morning. The answer was precise and to the point.
Actual performance of my Swaper portfolio
As of May 2019, my XIRR was 12.12%. It’s been stable for many months, after a period of cash drag where I had many idle funds in my account due to a lack of loans. A word of caution though : I have cut my portfolio size by half in order to avoid having unused cash a few months ago and didn’t restore its full size yet. A larger portfolio size may result in a lower return rate if there are not enough loans available !
The XIRR displayed by Swaper now basically matches my own computations; it used to be grossly over-estimated, which was a bit weird.
Swaper’s main competitorsFast Invest and Bondster offer the same ease of use as Swaper, while delivering high returns. These platforms also have the advantage of supplying enough loans to meet the investors’ demand.
Swaper’s facts and figures
As of November 2018
Who can invest
To become an investor you need to be at least 18 years old, be a resident of a European Economic Area (EEA) country and have a bank account in a bank situated in an EEA country. An individual is recognized as a resident if he or she is a citizen, has a residence permit or is registered as a tax payer in an EEA country.Swaper FAQ
Please note that this review may contain affiliate links. It means that I will earn a commission if you decide to invest after clicking through the link – at no additional cost to you, of course -. Please understand that I have experienced all of these companies, and I recommend them because they are helpful and useful, not because of the commissions I make if you decide to invest through my links.