Fees
Fees are charged to Borrowers for successfully funded Loan Requests, and to Lenders for the administration of Loans. There are no fees or charges for:
- Registering as a Borrower or Lender with the CommunityLend Online Lending System
- Using this site
- Posting a Borrower Loan Request
- Placing Bids on Borrower Loan Requests
Other than the fees listed on this page and the lender fees page , there are no other fees of any other kind for using CommunityLend.
Lender Fees
Annual Administration Fee
As a Lender at CommunityLend, if your Bid on a Loan Request is successful and a Loan Agreement is executed in your name by CommunityLend acting on your behalf, we will charge you an Administration Fee of 1% per annum. This annual fee is accrued daily and charged monthly to your Lender Account, and is based on the current outstanding Loan principal of all of your Loans.
Example (assumes that Loan payments are made monthly at the end of each month and are made on a timely basis):
The calculation will be based on the sum of all Loans held by the Lender. Assume the Lender has made Loans totalling $5,000, all of them commencing January 1st.
The fee for each month on this Loan will be calculated, using the reduced principal as the Loan amortises following the monthly Loan payment.
The annual Administration Fee will thus be as follows:
| January | $5,000 @ 1% for 31 days = $4.25 |
|---|---|
| February | $4,883.93 @ 1% for 28 days = $3.75 |
| March | $4,766.70 @ 1% for 31 days = $4.05 |
For the 36 month Loan - total fees over the 3 year period of this Loan would be $81.44.
Note: If the Borrower makes payments late, or if the Borrower repays the Loan early then the amount of the Annual Administration Fee will vary.
Collection Fees
If one of your Loans becomes overdue, CommunityLend will implement the Collection Policy with the Borrower in conjunction with our appointed collection agency. Collection costs fall into three categories:
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An $8 fee for early collection activity that we will be charge to your Lender Account.
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A fee of 15% of all amounts collected from a Borrower who is more than 35 days delinquent. This fee will be deducted from Loan amounts recovered from Borrowers before the proceeds are credited to a Lenders' Account.
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If the Loan is not fully collected after 150 days, the Loan will proceed to a second collection agency, and the fees for any amount of the loan recovered will rise to 40% of all amounts collected from the Borrower, which will be deducted from any Loan Proceeds recovered.
If a Borrower to whom a Lender made a Loan dies, declares bankruptcy or makes a consumer proposal, a $15 fee will apply in respect of our administration activities associated with management of the Borrower's affairs.
Trust Account Servicing Fee
Interest on the Trust Account balances is used to pay to CommunityLend towards the costs of administering the Lender Account including the Trust Account. You will not receive interest on Trust Account balances.
There will be no charge for withdrawing funds from your Lender Account at CommunityLend provided that you withdraw amounts greater than $25.00 at a time. If you want to make a withdrawal of less than $25, we will charge you a fee of $5.00.
Fee changes
CommunityLend reserves the right to review and change fees at any time. We will post any such revised fees on this page and they will become effective immediately upon our posting of them here. However, the Administration Fee in respect of your Loan Agreement will remain unchanged for the term of each such Loan.