How does buyback work?

In the previous article, we told how Monethera selects projects. We minimize risks already at this stage through a comprehensive analysis. However, some projects have poor results after launch. The reasons could be different, but what awaits our investors and their money in this case?

There could be two main options:

  • You have lost faith in the project and want to return your investment back. For such cases, there is an opportunity to buyback with a commission. It varies from project to project, and usually, it's 5-10%. You can find the exact figure on the project page.

  • The project has failed so its owners can't pay interest at the end of the month. In this case, Monethera returns 35% of the amount of investment from its reserve fund.

Let's take a closer look.

In the first case, you need to visit the profile menu and choose the "Buyback" option. After that, select the project and confirm the refund. You will immediately get credits to your Monethera account.

If the project was unable to pay the principal amount at the end of the loan period, the default procedure begins. Over the next month, 35% of the investment amount will be returned to your account at Monethera.

Since each project has an agreement with Monethera, your money is secured. The project undertakes to pay the remaining 65% of the invested capital. The repayment period may differ. It depends when Monethera receives money from the project. The delay period will also be paid as the annual interest rate.

In extreme cases, this may require a trial process, but our lawyers are prepared for any situation. Usually, the repayment period takes 6-12 months. After its finish, the money also goes to your Monethera account.

In conclusion, we want to remind the golden rule of the investor.

You should diversify your investments and fund only the amount that you are ready to take a risk with.