Update on loan originators of Robo.cash during the pandemic
We share the latest news about loan originators presented at Robo.cash and the status in their countries of presence, so that you are aware of the current situation.
On March 16, 2020, the country government imposed the emergency regime due to the COVID-19 pandemic. As a result, all financial institutions including MFIs were obliged not to charge penalties and to provide deferral of loan repayment until June, 15, 2020 to vulnerable social groups and borrowers experiencing financial difficulties. This applies to customers who took loans before March 16, 2020.
To date, only 1.7% of borrowers of our company in Kazakhstan, LLP MFI Tez Finance, have applied for such an extension of loan repayment. In addition, to stimulate the borrowers to pay now, we offer various discount programmes for late fees and interest.
We would like to point out that all loans available on Robo.cash are still secured with a 100% buyback guarantee. It comes into effect on day 31 after the repayment delay, and applies to both overdue loans and extensions.
To keep stability of our company in Kazakhstan, we have also significantly reduced the online lending volumes and suspended the offline issuance, as well as cut the operating costs.
One positive thing is that according to the latest news, the authorities of Kazakhstan have already mitigated the quarantine regime in the largest cities, Nur-Sultan and Almaty, and may proceed with it in other cities depending on the situation.
Our loan originator in Spain, LLC Prestamer, continues to issue loans and receive repayments.
The local government has not introduced any moratoriums or credit holidays for microfinance companies. However, to support our customers, we offer special conditions for prolongations on our own initiative from the first day of quarantine (since March 16). This measure allowed borrowers not to overdue their payments and extend the loan term instead.
Thus, we have not seen mass defaults. Some of our customers repay the loan after receiving a salary or a state allowance, and some apply for further extension. This is beneficial for the borrowers and allows us to maintain a good quality of portfolio.
Concerning the buyback guarantee for investors of Robo.cash, all conditions also remain unchanged: it is provided both in case of default and extension.
Vietnam and Singapore
Loan originators from Vietnam and Singapore offer users to invest in commercial loans on the platform. Such investments assist the development of companies of Robocash Group in Southeast Asia. This region has been less impacted by the pandemic compared to others. For instance, in Vietnam, there have been no cases of COVID-19 over the past week, and the quarantine was removed after a month. In overall, there have been no changes related to the pandemic in the region, which could affect our business.
Robocash Group continues to operate steadily thanks to its financially strong position and timely measures. We remind you that the group guarantee is available for all loans on Robo.cash.
Feel free to contact us at firstname.lastname@example.org if you have any questions.
P.S. We are also happy to announce that we have launched a Telegram channel for your convenience. If you want to have quick access to the most important platform updates and news - join us at https://t.me/robocash_europe