This arrived in my mailbox this morning. I haven't seen any media releases yet. Anybody else received this? (apologies for the formatting)
Good morning Simon,
After careful analysis of Harmoney’s business model and the company’s strategic direction we have made the decision to no longer offer new loans for investment by retail lenders from 1 April 2020.
This does not affect existing loans, so current retail investments will continue to run out in accordance with their current terms following our closure of the platform to new retail lending.
This is not a decision we have taken lightly but we believe it is the right move to enable Harmoney to continue to lead the way in creating better personal loan products in a highly competitive market.
What this means for you as a Harmoney lender is laid out in detail below, however we would like to thank you for your support of Harmoney as a growing New Zealand business over the past five years.
What’s changing from 1 April 2020:
- Retail lenders will be unable to invest in new loans with Harmoney.
- If loans in your portfolio are rewritten or are paid off early, principal and interest repayments back into your account will not be able to be reinvested in further loans with Harmoney.
- Auto-lend will be deactivated on 31 March 2020
What’s not changing:
- All existing loans funded by retail investors will continue as per their current terms.
- Your principal and interest will be deposited into your Harmoney account as your investments repay. The auto-withdraw function is still available to you.
- Harmoney’s licence from the FMA does not currently allow Harmoney to re-purchase loans from retail lenders.
- Regular reporting, including real-time dashboard reporting and tax certificates, will still be available.
- Harmoney collections policy remains the same.
- Harmoney Lender Services team are still available to you on email@example.com or 0800 427 666.
What you can do:
- If you wish to stop investing in Harmoney loans before 1 April 2020 we recommend you turn off Auto-lend, if you use this feature.
- From 1 April 2020, we recommend you activate Auto-withdraw, so any returns are automatically paid to your nominated bank account.
- You may withdraw unallocated funds from your Harmoney account at any time.
- You can find more information about this important change to the lending platform, here.
The link above is dead, so not even sure this is legit....