There are several security mechanisms in place at the Income platform:
- All loans placed on Income Marketplace come with a buyback obligation. This means that your defaulted or 60 days + late loans will be repaid by the lending company.
- Pledge - an investor has legal rights to the general proceeds from the lending companies' loan portfolio. The repayments are not tied to any individual loan but rather to the part of the portfolio that the lending company has pledged as collateral.
- Assignment of loan receivables - an investor has legal rights to the proceeds from particular loans even if the lending company defaults or ceases to exist.