Check out some of the more commonly asked questions below.
Q: Are you regulated?
Yes we are regulated under the Financial Conduct Authority (FCA) which took effect as of 1st April 2014.
Stratosphere Inc. Ltd. Is authorised and regulated by the Financial Conduct Authority (FCA) FRN 723334 and registered with the Information Commissioner’s Office (ICO) Reg. No. ZA037406.
It is important to note that peer to peer lending is not regulated by the Financial Services Compensation Scheme (FSCS).
However, you still have recourse to the Financial Ombudsman. This is currently being reviewed by the FCA and may be introduced in the near future with similar protection to the banks.
Q: Can anyone be a lender or are there certain requirements I must meet?
You will need to be resident in the UK, with a UK bank account and to be 18 or over. You also need to pass our Anti Money Laundering processes.
Q: How much can I borrow?
From £50,000 on a secured basis with no maximum.
Q: How long can I borrow for?
Our loans are usually a minimum of six months to three years but can be adapted to suit your needs.
Q: Can I pay some or all of my loan early?
Yes, subject to a 30 day notice period.
Q: What are the fees?
When we discuss your application we will tell you what fees apply. As well as the capital and interest, there is an arrangement fee and administration fees. For secured lending, you will also be required to pay for our valuer to carry out a valuation of the asset. Some of the fees can be added to the loan amount so are not required to be paid upfront.
Q: How do I lend?
In order to lend at Stratosphere you must register as a Stratosphere lender, get approved and have funds ready for proposals we will present to you.
You can find more information on the Lenders page.
Q: As a Lender, could I lose money?
Yes – your capital is at risk. You should assume that a small proportion of loans will run into difficulties. We will do all we can to prevent this from happening. In the rare situation that a borrower fails to repay, Stratosphere works to recover whatever is possible from the borrower, and distribute it to the lenders involved in that loan.
Q: How do you decide on which loans to accept and which to reject?
We apply a number of preliminary checks to any application. These include length of trading and experience (we generally do not lend to start-up projects) and the credit profile of the borrower
For those applications that have passed our preliminary checks, we gather data both on the company and on the people behind it – the owners and managers of the business.