Here’s How to Choose a Loan in Good Finance, Let’s Start Funding! – When you start to become a Lender at Good Finance, you must first know the Borrower to be funded.
That way, you will better know where the funds are allocated, for what needs, how long the period of time, interest rates and how much the risk.
As with other investment instruments
As with other investment instruments, when funding with Good Finance you also need to understand the fundamental forms of identifying who the borrower is through the selection of loans found on the Good Finance platform .
But, before knowing how to choose a loan at Good Finance you must first understand the following things so that your funding can run optimally:
- Your goal is to invest
- The amount of the targeted interest
- Desired time period or tenor
- The amount of risk you are prepared to bear, so you can be wiser in investing your funds.
- The importance of diversification. Diversification itself is an investment strategy where an investor spreads his investment funds into various instruments to produce a diverse portfolio. This is considered to open up opportunities for investors to increase profits and security.
- Take advantage of the compounding effect in the long run.
- Familiarize yourself with funding or investing on a regular basis by setting aside monthly income to be allocated as funding capital or investment.
Determine which loan matches your needs
With the following indicators, you can determine which loan matches your needs, so that later you can produce the maximum profit as you wish.
- Interest rates and risks, with reference to the grade of each loan. Check this article , to be able to choose the right loan grade for you.
- Loan term. There are loan terms ranging from 1 – 24 months that you can choose based on preferences.
- The purpose of the loan consists of financing Business, Education and Health
- Return method, there are three methods that can be chosen, namely Monthly, Grace Period, and Lump Sum. You can see more about the return method here .
- Funding period (prioritize loans that are close to 100% funded on the Good Finance platform to get your funding channeled faster)
- Read the loan factsheet for a more comprehensive analysis of Borrower data.
Choose the right loan
To make it easier for you to choose the right loan in Good Finance, let’s see the video how to choose a loan in Good Finance below! If you want to know more about how to choose loans, just keep in touch with us.