Late-payment terms

Businesses sometimes pay late without failing. When that happens, LIFT INVESTMENT MANAGEMENT SGEIC SA (“Investfora”, “we”) continues paying you the interest you were due while we chase the borrower, so a slow payer does not become your problem.

This covers interest only. Your capital is covered separately, and only once a borrower has actually defaulted, under the Lending Guarantee.

From day 3 after a scheduled payment was due and has not arrived. Days 1 to 2 are treated as ordinary settlement delay and no payment is made for them.

The interest that would have been paid to you on that loan, at its contractual rate, for each day the payment remains outstanding. It is paid into your cash balance on the loan’s normal payment dates and appears in your activity, marked so you can tell it apart from interest the borrower actually paid.

If the loan carries a loyalty boost, the covered interest includes it — you receive what you would have received.

It ends on the earliest of:

• the borrower bringing the loan up to date — at which point normal payments resume and we keep what the borrower pays for the covered period;
• the loan being written off or the borrower defaulting, at which point the Lending Guarantee takes over and covers your capital; or
• 12 months of covered interest on that loan.

The 12-month cap is per loan. After it, interest stops even if recovery is still running — we would rather set a limit we can keep than an open promise we might not.

• Your capital. That is the Lending Guarantee, and only on default.
• Interest beyond the 12-month cap on any one loan.
• Late payments on anything other than business lending.

Covered interest is paid from the same Lending Provision Fund that stands behind the Lending Guarantee, and is subject to the same limit: if the fund and our capital cannot meet everything owed, payments are made pro rata and the balance remains a debt we owe you. Section 7 of the Lending Guarantee sets that out in full.

We may change these terms or withdraw them for new loans at any time by publishing the change here. A loan already funded keeps the terms that applied on the day it was funded.