Twino vs Mintos, initial impressions

I recently added both of the Latvian P2P platforms into my portfolio, and I’ve got some questions about my first thoughts so I thought I’d discuss a few things that have stood out to me within the first few weeks.

Loan terms

One of my key expectations for both portals was to have the ability to invest into short(er) term loans. Since my P2P investments in Estonian portals (Bondora, Omaraha, Moneyzen) are rather long deadlined (5 years), then for flexibility’s sake I wanted to invest into 1-6 month loans. This has proven to not be equally easy.

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For Twino loan volumes aren’t an issue. Any money I transfer in gets invested momentarily, which is one of the reasons why I’ve added in money twice already. Currently the only problem with portfolio building is limiting your own enthusiasm towards transfering in money.

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For Mintos, however, short term loans are in short supply. The first money I transferred in got invested within a few days, but since then it’s been problematic to see any short term loans. I attempted to lengthen the loan terms to 12 months, but that didn’t help much. This means that so far I haven’t added in any additional finances.

Automatic investing

Due to the simplicity of Twino’s product the autobidder is also phenomenally easy to use. I have to admit, they have made a good choice here – since your loans are buyback guaranteed than making automatic investing difficult in any way would be nonsensical. The money gets invested essentially the moment it’s transferred, so I hardly even log on, just glance at the daily reports in my mail.

For Mintos the autobidder to be honest is a bit painful to use. It’s both visually a bit clunky and some of the settings are problematic in terms of making sense. I get that this is an issue when you have multiple loan originators, but the bigger the market grows for them, the quicker they should work on making the autobidder smoother and more understandable at a glance.

Reliability

This is the question that everyone would like an answer to – who is more reliable of the two. I have no clue how exactly to check for this, but I suppose we should dig out the financial reports for both for Investeerimisraadio.

In terms of volume Mintos has clearly funded more lians (12M+), while Twino is at 6M+, one lists consumer loans and the other real estate backed loans and car backed loans as well, so the total amounts are clearly bound to be different.

I’d say if your tactic is long term investing then there probably isn’t much of a functional difference in the returns, but a slight difference in the experience. However, if you’re wishing for a short term investment that would be quicker to exit, then Twino is slightly in the lead for me at the moment.

16 thoughts on “Twino vs Mintos, initial impressions

  1. Hi Kristi,

    thank you for sharing your experience with Twino and Mintos.
    I would like to ask you how successful were you with Twino responses to anykind of questions? I have sent 2 email and zero response.

    1. So far I haven’t had any reason to contact the customer service. I’d recommend poking them on Facebook to get their customer support department to answer!

    2. I also opened account in Twino and had few questions, which I e-mailed to them and got the answere on the same day. So for me, it worked well enogh.

    3. Hey.

      Its rather odd to hear that about their service. My emails have been addressed in 1-2 working days. Call them, there may be tech issues with the emails.

  2. As I understand, there is an opportunity to extend the loan for 6 months in Twino. Due to that, it is not so good for a short term money. I don’t know, how big is this issue in real life.

    In Mintos it is maximum 3 months before you get your money out.

    1. Yes, I’m aware of the 6 month extension, but still that would bring the total to <1 year. It’s debatable, however, if you can consider that “short term” anymore, compared to the 5 year timeline, I guess you still should. Time will show just how many extensions happen, though.

      1. Hello Kristi,

        Thank you for the post.

        Regarding short term or not to be able to exit. Do you consider the secondary market as an alternative for the same? As for now it is quite liquid so should serve the purpose.

        1. Hey, Dmitry!

          Yes, I do consider access to a secondary market as an alternative to exiting. However, you have to take into account the fact that in case of forcing an exit, you will likely have to sell things at a discount on the secondary market, so it makes the exit a bit less profitable.

  3. I invested in both platforms, but unlike you I don’t see any issue with the Minto’s auto-invest. It’s very clear to me, all the individual fields are self-explanatory. Yes, there are more filters to choose from compared to Twino, but it’s only logical given the variety of loans.

    I have better returns with Twino for the moment, but in terms of platform risk it’s definitely riskier than Minto’s given the buy-back model and the fact that its backed by a single loan originator only.

    If your strategy is only short-term consumer loans, the ability to invest in these is definitely easier with Twino as it’s their core. Either way, for the purpose of diversification, I definitely recommend sticking in both platforms.

    1. I’m investing only into buyback loans in Mintos as well, so I’m not sure if the risk levels for me personally are any different.

      I think the biggest issue I had with the autobidder was that there is no good standard to share, what are the relevant metrics for different loan originators. For example if I set 50% LTV – is this good or bad? Some loans don’t have LTV at all, and that seemed to break the auto bidder for me.

      Also, I don’t see why the “more filters” button has to exist at all, instead of seeing all the options. I’m probably just used to a different style of design.

      1. LTV preference is up to whatever level of risk you are willing to undergo. Loans with a higher LTV are risiker. For someone a 50% LTV is low risk, for someone else it’s a high risk. Some loans logically don’t have a LTV, these are loans that are not backed by any asset. For Mintos, a typical investor has more than one auto-invest portfolio set-up, I personally have three: 1. Loans with a buy-back 2. Loans backed by asset with LTV<70% (this is my personal threashold) and 3. Invoice Financing loans .

        I understand that you're only focusing on short-term loans with a buy-back guarantee and that is fine. In your case, looking and LTVs is hence irrelevant.

  4. The key difference for me is diversification between various loan products and countries – personal loans (unsecured, car-secured, mortgage), business loans (unsecured, secured) and invoice financing.

    Also, I like the fact that I am giving a hand to local business that lacks funds.

    1. Hey, James!

      I totally agree, which is one of the reasons I like Mintos – in addition to short term buyback loans I also invest into the invoices. Looking forward to more originators, to have more options to choose from.

  5. Hi

    I have investments in both, Mintos and Twino. I am investing only in short term (max 3 month, so 1 month loans in reality) loans with buyback guarantee.

    Mintos is over invested today and I don´t like to invest too much into Twino not to have too much on one site.

    Has anybody found another sites similar to those, giving out short term, guranteed and over 10%. Must be possible to invest via company.

    thanks

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