Who is eligible to lend on OMLP2P platform?
Anyone who is -
- An Indian resident capable of entering into a legal contract
- Aged 18 yearas or above
- Has a valid bank account, PAN card and Aadhaar Card
Is an HUF eligible to lend on OMLP2P?
Yes, an HUF is eligible to lend on OMLP2P.
Following documents are required:
- PAN card and a Valid bank account for HUF
- Karta of HUF should be an Indian resident capable of entering into a legal contract
- Age of Karta needs to be 18 years or above
- Karta should have a PAN Card and Aadhaar Card
Is an LLP or Company or Bank or Society eligible to lend on OMLP2P?
Yes, an LLP, Company, Bank and Society are all eligible to lend on OMLP2P.
Following documents are required:
- PAN card and a valid bank account of LLP / Company / Bank / Society
- Valid registration documents of LLP / Company / Bank / Society
- PAN card and a valid Identity proof like Aadhar Card, Voter ID, Driving License, Passport of Partner / Directors / Authorised Signatory
- Certificate of Incorporation
- Board Resolution for Authorization
- Partnership Deed
- The Partner / Directors / Authorised Signatory should be an Indian resident capable of entering into a legal contract
- The Partner / Directors / Authorised Signatory needs to be 18 years or above
Is it easy to become an investor on OMLP2P?
Lending through OMLP2P is very easy. Here are some of the simple steps that you need to follow to invest money online:
a. Fill in basic details about yourself / entity
b. Submit Basis KYC details -
- PAN Card
- Address proof - Aadhar card / Passport / Voter ID / Driving License / LPG Bill
- Bank details with scanned copy of Cheque / Bank Statements.
And you are done!
Log into your OMLP2P account and start investing.
Click here to find out what makes P2P lending a smart investment decision for investors.
What is the minimum and maximum amount of money that I can lend and for what period?
- Currently, you can start lending from as low as INR 2,000/-. Maximum permissible amount by a single investor across all platform is INR 10,00,000/-. Maximum amount permissible per borrower by an Investor is INR 50,000/-.
- Lending through the website can be for any period of 3, 6, 9,12,18, 24, 30 and 36 months.
Why do you need to verify the investor?
- OMLP2P completes the KYC (Know your customers) to ensure that the interest of the investors and borrowers are protected and to comply with the statutory Indian rules and regulations.
Is there any Registration Fee for Lenders / Investors or Do I need to pay any registration Fee as lender / investor?
- Currently, OMLP2P does not charge any fee for registration from its Lenders / Investors.
(Chargeable fees of INR 1000/- has been waived off for the Lenders / Investors)
How is the fee structured at OMLP2P?
- OMLP2P charges a nominal fee of 1.5% on committed investment below INR 5000 and 1% on committed investment of INR 5000 and above, from the investor.
How much return I can expect by investing through P2P lending platform?
- The rate of interest (return) depends on the credentials and risk profile of borrowers you choose.
- Based upon the rigorous credit assessment through its own proprietary credit assessment tools and through Credit bureau report card, OMLP2P assigns its own credit risk rating to the borrowers. Based upon the credit risk assignment and various multiple factors, our system determines the interest rate payable for each loan. Effectively, interest rate for the loan on our platform are system generated to ensure risk adjusted pricing. Depending on the risk profile and other assessment parameters, interest rate varies between 10.99% to 36%.
Is there a limit to invest in a borrower?
- As per the RBI guidelines - Maximum permissible amount by a single investor across all platforms is INR 10,00,000/- and Maximum amount permissible per borrower by an Investor is INR 50,000/-.
- The policy is to hedge the risk by spreading your investments across borrowers.
Is my money safe?
- Lending is always subjected to risk. Risk has to be managed to generate higher risk adjusted return. OMLP2P, with its proprietary credit assessment tools and experienced Promoters, Board of Directors and Team always keeps the safety of investment of its members as its sole priority. OMLP2P has a very strict borrower selection criterion, which is a mix of its own proprietary credit matrix for, both, financial and non-financial parameters. Data is collated from numerous external and internal sources.
- OMLP2P has also tied up with all the leading credit rating agencies, to determine the borrower's risk profile.
- OMLP2P has associated with one of the leading solicitors and law firms to draft legal agreements to protect the legal interest of its investors.
- OMLP2P has a very strong internal team and associate partners to undertake collection and recovery of all the Loans and its EMIs.
- To protect the interest of Lenders / borrowers, OMLP2P lending platform has taken Life Insurance and Accidental Insurance (including total and partial disability) on all its loan to safeguard its lender from any such unfortunate happening.
- Kindly go through our "Terms and Conditions" in detail before investing.
How Is My Return Calculated?
- EMIs are calculated by the reducing balance method on a monthly basis. Instalments remain the same throughout the tenure of your loan. However, borrower can prepay the loan at its discretion *.
- The first instalment will be dependent on the date of disbursal.
How do I fund lending from my OMLP2P account?
- OMLP2P has an Investor Escrow account with IDBI Bank under the IDBI Trusteeship Services Ltd. Investor will fund the escrow account before the funds are moved to the borrowers account.
- Once the loan documentation is completed, Trustee will transfer the amount from the Investor's Escrow account directly to the borrower's bank account.
How do I manage my risk on lending platform?
To manage risk on P2P lending platform,
- Diversify on multiple loans (preferably between 15-20 loans)
- For a conservative lender - select portfolio of very Low Risk to Low Risk (P1-P2-P3) (60-75%) and Medium Risk (25-40%) (p4-p5)
- For a moderate risk lender - select portfolio of very Low Risk to Low Risk (P1-P2-P3) (40-50%), Medium Risk (40-50%) (P4-P5) and High Risk (10%) (P6-P7)
Do I get to know my borrowers?
- Yes, all our loans are disbursed after signing off legal agreements. All the borrower or lender has full access to his legal agreement at his dashboard. As a lender, borrower details will always be available in the loan agreement.
Is my income through OMLP2P taxable?
- Yes, only interest income earned from your lending will be taxable whereas rate of interest will be subjected to your Income Band.
- You can also download your annual income statement on your lending from OMLP2P dashboard.
- TDS will be deducted by the borrowers wherever applicable.
How much time can it take to find borrowers?
- OMLP2P hosts active borrowers at all times. Lenders have wide variety of choices to select borrowers matching their risk and return expectations.
How is the investors Escrow Account beneficial to me?
- It is secure, fast and allows a smooth transfer of funds between Lenders and Borrowers and vice versa. All money from lenders and borrowers moves strictly through an Escrow account which is being managed by an Independent Escrow Trustee as Registered by SEBI (Securities and Exchange Board of India). The Escrow Mechanism with Escrow Trustee ensures strict utilisation of money for the purpose it has been assigned.
What is OML Wallet?
- OML wallet is a virtual account for each lender for their money lying in the escrow account thereby facilitating lenders to keep their balance in their control. Wallet facility has been done to facilitate faster movement of funds without having multiple small transactions in the bank account. Which otherwise are quite time-consuming.
- Lenders can now easily add money to their OML Wallet for investing. Transactions can now happen conveniently and easily through your OML Wallets. In addition, EMI's will also now be transferred directly to your OML Wallet so that you can easily reinvest.
How to start investing from OML Wallet?
- After completing the registration process along with documentation, lender must fund minimum amount of INR 10,000/- in OML Wallet from their bank account through Net Banking / Debit Card.
- Once you finalize the borrower for funding, proceed to invest and the transaction will be completed from your personalized OML Wallet.
- Lender can fund any amount up to a maximum of INR 10 Lakhs, multiple of INR 1000/-.
How do I transfer money to my bank account from OML Wallet?
- Withdrawal of money from your OML wallet is at a click. You can easily request withdrawal of money from your OML Wallet to your own bank account anytime, anywhere from your dashboard.
- Amount will be transferred to your account in the next bank working day of your request.
Is my money safe in OML Wallet?
- Your money in OML Wallet is safe & secure. All the money in your OML Wallet remains in the Escrow Account, maintained and managed as per the guidelines of Reserve Bank of India by an Independent Trustee empanelled with SEBI.
What is Auto Invest?
- Auto Invest is a process to help lenders to invest into any new borrower without logging into his account. Investors can select their investment criteria and if there is/are any loan requirement from the borrowers that fits the selected criteria, then the borrower will be automatically funded from the OML wallet.
How do I enrol into Auto Invest?
- You should log into your account and then select the criteria for auto invest (Tenure and OML Risk Grade and Amount of Investment per borrower) and then activate it by clicking on submit button.
Can I change or cancel Auto Invest?
- Yes, you can change or cancel Auto invest mandate any time by logging into your account. Any investment made before the modification of Auto invest mandate will continue.
What if my Wallet does not have sufficient balance?
- In case of insufficient fund in your wallet, Auto Invest will not work. Any investment is possible only when there is sufficient balance in your wallet. However, there is nothing to worry, in such cases, you may login to your account, fund your wallet and then invest manually into such loans.
Can I invest manually while using Auto invest?
- Yes, you can also invest manually in any loan while Auto Invest is active.
Can I invest in OMLP2P through SIPs?
- Yes, you can invest in OMLP2P through SIPs every month and earn high returns of upto 36% p.a.
Click here to know more about SIPs as a way of investing in peer to peer lending.
Is there a date for my repayments?
- The monthly repayment date will be driven by the frequency of the payment cycle. For those paying single EMI in a month, the repayment date will be 3rd, 10th and 15th of every month. For those paying bi-weekly, it will be 3rd, 10th, 17th, 24th, 31st of the month.
What action does OMLP2P take against Delayed Payments or Non-Payment by borrowers?
- In case of delay in repayment, an additional penal interest of 3% will be levied for the duration of delay, or INR 250/-, whichever is more.
- In case of default, OMLP2P will use all legally permissible methods for recovery of funds, including facilitating collections and recovery through empanelled agencies
- OML has its empanelled legal team, who takes care of legal actions including sending legal notice, 138 legal actions, etc. in case borrowers' default.
- Kindly go through our "Terms and Conditions" in detail before investing.