Defaulting on payments is always part of the risk when lending money, as there is always the possibility that Borrowers may not be able to repay their loans. Therefore, we recommend Lenders to read information about Peer-to-Peer services to better understand the benefits and risks of funding loans.

Nevertheless, KoinWorks has mitigated this risk through various measures:

1. Credit Quality and Assessment We utilize Big Data to complement or replace traditional methods and run our credit assessment algorithms. Only approved Borrowers will be granted loan approvals. Approved Borrowers will be given a credit assessment. This credit assessment is divided from Grade A to E based on their risk, each with 5 levels of assessment. Loans with higher risks will have higher interest rates as compensation for the risk taken by Lenders.
2. Provision Fund As part of our commitment to protect Lenders, KoinWorks allocates a portion of specific profits to a Provision Fund. This fund aims to minimize residual losses to Lender’s capital if there are defaulted loans.
3. Portfolio Diversification Since our system allows you to fund loans in small multiples, you can diversify your funds into many loans with varying risks, loan interest rates, loan tenures, industry sectors, and other factors that suit your needs.
4. Reputable Partners We collaborate with leading partners in quality and technology to provide better loan analysis and a satisfying experience for our service users.
5. Data Protection All data sent from your browser to our website is encrypted using industry-standard SSL. Our website is also hosted in a secure, encrypted data center with regular backups. Our data center is protected by firewalls and other security mechanisms that are well-maintained and monitored. Access to your account is also secured with a password and PIN confirmation sent to your mobile number.