Fundaztic Review

(Latest update: 10 November 2018)

Fundaztic (Link) is a peer-to-peer (P2P) financing platform recognized by Securities Commission Malaysia. I have registered an account with this platform since 2017. Now, I would like to share my experience of using this platform.

Interface

Compared to Funding Societies Malaysia, the interface of Fundaztic looks plain. Nonetheless, it did undergo some minor tweaks after my registration. The little changes make the platform more informative but you need to know where to click. Explore a bit and I believe that you will get the hang of it in no time.

Properties of note

Every loan is known as a note on this platform. The loans are categorized into 10 risk grades – A1 (lowest risk), A2, B3, B4, C5, C6, D7, D8, E9, E10 (highest risk). The grades correspond to the credit rating of the borrowers. This risk grade determines the amount of funds that an issuer can raise and the pricing that they must pay.

The thing that we need to pay attention to is the probability of default (PD). It is used to gauge the likelihood of the particular note of the borrower turning default within the next 12 months. In other words, the lower the PD, the lower the risk and the better the grade.

The minimum investment amount in a note is RM 50.

Note Quality

In terms of the tenure and the interest rate, notes on this platform are inferior to another platform (Funding Societies Malaysia). The tenure of the notes ranges from three months to five years, but most commonly is between 18 to 36 months. The simple interest rate generally ranges from 6 – 12% per annum.

The repayment is made by monthly installment. As on 14 August 2018, there is no default on this platform yet (Link). Thus, the repayment rate is 100%.

Availability of financing opportunity

Fundaztic has new notes on almost every Tuesday and Friday. Compared to Funding Societies Malaysia, this frequency is considered very high. For those notes with better grades, they are often fully funded within a few hours. This is mainly due to the fact that the financing amount is usually not that large (<RM 100000). But I have tried to log in and invest during the first hour of note opening and succeeded. So we still have a chance to invest in these notes if we act fast.

Smart Invest

This is an auto investment feature. When setting it up, you need to specify the range of tenure, interest rates and also the risk grades. To activate this feature, there must be a minimum of RM 2000 in available balance. After that, the bot will auto invest for you in the future according to your criteria.

Referral reward

This platform has a referral reward programme known as Fundatiz Bonus. You may get Fundaztic Bonus if you register or when you refer a friend during a promotional period. The current promotion starts from 1 August 2018 till 30 September 2018. Refer to its FAQs page (Link) for more information.

The promotion has ended on 30 September 2018. I will update here if there is new reward programme.

There is a new promotion beginning from 11 November 2018 till 28 February 2019.

Verdict

This platform is satisfactory in my opinion. The notes are plenty and the interest rates are adequate, so we will never run out of options. The only drawback is the long tenure. Nonetheless, as the borrowers are all small and medium enterprises, this is understandable. The longer tenure means lower amount of monthly repayments.

In conclusion, Fundaztic represents a good platform for us to diversify into P2P financing.

Referral link

Below are the referral link to Fundaztic. By clicking on this link, I may gain referral rewards from your registration with the platform. If you think I have done a good service in explaining the topic, please click on the link below if you have interest to register. Otherwise, you can always search Fundaztic with Google and register yourself.

Fundaztic: Link here or use the invitation code: Cg6QS1 – If you register and invest through this link, both of us will get RM 50*.

*Terms and conditions apply.

The promotion has ended on 30 September 2018. I will update here if there is new reward programme.

New promotion starts again from 11 November 2018 till 28 February 2019. Use this opportunity to get the bonus!

(First update: 5 October 2018; Second update: 10 November 2018)