For investors
Investor questions, answered
Plain answers, including the uncomfortable ones — how loans are secured, what can go wrong, and where the structure still is in development.
Investor FAQ
- What would I actually be investing in?
- The plan is to let investors fund loans that are secured by real, professionally valued, custodied collateral. The exact structure — including any securities that let you invest fractionally — is in development and intended to be offered under Rule 506(c) of Regulation D, to verified accredited investors only. Nothing is being offered today.
- How does the collateral reduce my risk?
- MarketLoan is designed around four layers: an independent insured valuation of the collateral, insured custody of the asset before funding, a security interest held by an independent collateral agent for the noteholders, and professional liquidation of the collateral if a loan defaults. These are designed to reduce loss severity — they do not eliminate risk or guarantee a return.
- Can I lose money?
- Yes. Borrowers can default, and if the collateral sells for less than what's owed, you can lose part or all of the money you put into that loan. All investing carries risk, including loss of principal.
- Do I have to evaluate each borrower's credit?
- The model is built so the collateral does the underwriting rather than the borrower's credit score. Each listing is designed to show the asset behind the loan and its independent valuation so you can decide based on the collateral.
- What happens if a borrower doesn't repay?
- The custodied collateral is designed to be sold through professional channels, with the proceeds distributed to the investors who funded that loan. The amount and timing of any recovery are not guaranteed.
- Who can invest, and when?
- The BDN program is intended to be offered under Rule 506(c) of Regulation D to verified accredited investors only, with accredited status verified before any investment. Final eligibility details will be disclosed at launch. MarketLoan is not available yet — joining the waitlist is informational only and is not an indication of interest in any offering.
- Is this FDIC-insured or a savings product?
- No. Investing through MarketLoan is not a bank deposit or savings account, is not FDIC-insured, and no party guarantees a return of or on your money.
- Is MarketLoan available now?
- No. MarketLoan is in development. Join the waitlist and we'll share product updates as we approach launch.
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MarketLoan is pre-launch. Join the waitlist and we'll keep you posted as we build.
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