Last updated in July 2022.
What is CreditGate24?
CreditGate24 is one of the leading Swiss P2P lending platforms. Launched in 2015, it covers all main debt investments, from personal to business to real estate loans. CreditGate24 has funded CHF 1,001.51m (€1,029.25m) worth of loans to date - see CreditGate24 statistics for more historical performance insights.
- A mature, VC-backed platform, well-established in the Swiss financial scene
- Very diversified investment options; a “risk-pooling” feature to distribute default risk
- Undisclosed performance data, including return and default rates; 3-8% nominal interest rates
Who is Behind CreditGate24?
Christoph Mueller founded CreditGate24 and remains its Chairman and CEO.
According to third-party websites, the company has received several rounds of pre-seed, seed, and series A venture capital funding. The largest investor seems to be a Swiss VC fund – Impact51. In 2020, CreditGate24 acquired Advanon – another leading Swiss P2P business lending platform and operates both ventures under the CG24 Group. Since 2016, it has also cooperated with Hypothekarbank Lenzburg, whose clients are offered to apply for loans directly via CreditGate24.
The Group does not disclose financial statements.
CreditGate24's Investment Product
Firstly, CreditGate24 offers investments in three loan types:
- Personal loans help finance individual expenses on education, housing, healthcare, car purchases, etc. They can amount up to CHF 5 million and last from 12 to 84 months.
- Real estate loans with property collateral are granted to property developers for up to three years.
- Business loans are serviced under the Advanon brand and cover both long- and short-term financing options for Swiss SMEs.
Secondly, investors can take several ways to invest in the underlying debt:
- Direct-Invest is a solution for an average retail investor and allows manual investing from CHF 500 per project.
- Premium-Mandate is a “VIP service” that includes personalised investment strategies. The minimum investment is high at CHF 100,000.
- Investment Products are for investors who do not want to invest in individual loans and offer indirect investments via bonds or funds serviced by CG24’s partner companies.
Most personal and business loans are unsecured. CreditGate24 assesses each investment opportunity on a scale from triple-A to E. The platform also runs a “risk-pooling” feature. It’s essentially a solidarity arrangement in which investors share risk within the same rating grade. This means that if a borrower defaults on an A-rated loan, the loss will be allocated proportionally to all investors owning any A-rated investment.
Investors can buy and sell investments on a secondary market. There is no auto-invest option, although Premium-Mandate investors receive investment offers tailored to their risk profile.
How Much Can You Earn?
CreditGate24 doesn’t publish historical performance data nor advertise a set return rate. Interest rates vary from 3% to 8% before fees and defaults.
Investor fees vary from 0.25% on short-term loans, 1% for business and 1.25% for personal loans, to 0.486% – 2.726% on real estate loans. For a detailed price breakdown, see the fee overview.
CreditGate24 is a well-recognised player on the Swiss fintech scene. It won the banking and fintech-focused BBVA Open Talent Awards in Zurich in 2018 and was included in the 25 most promising Swiss start-ups in 2020.
Corporate Social Responsibility seems to be important for CreditGate24, too. They support, for example, coffee farming in Ethiopia as well as several local social initiatives.