In terms of trust Peermatch makes a difference.
There is the 'Chain of Security', a security system, in place.
Peermatch is not a bank nor a fund. There is no asset manager investors need to place their trust in. Peermatch focuses on the single loan and it does not pool loans in portfolios. Every single mortgage loan is secured by a land charge on the financed property. It is not liable for other loans.
At Peermatch loan investors can simply trust, that the property is appraised properly and the land charge is kept in a publicly supervised register.
For instance in Germany the following measures are applied in this respect: The financed properties are appraised based on the objective criteria of the German 'Beleihungswertverordnung'. Appraisals are conducted by certified appraisers. To secure a mortgage loan a land charge will be placed into the German 'Grundbuch' in favour of the originating partner bank of Peermatch. After the loan purchase or refinancing by loan investors the land charges are further kept in a refinancing register ('Refinanzierungsregister') for the loan investors. The refinancing register is controlled by a supervisor appointed by the German financial authority Bafin.
Furthermore first-loss risks, for example, when a loan is in arrears, but has not yet defaulted, are covered by the 'Contingency Fund' (read more about this under 'Conditions').
By applying this security system there is a seamless 'Chain of Security', which is closed - even in the case of an insolvency of one of the platform partners. This results in a systemic security, a security, that does not depend on trust in an asset manager.
That is the difference Peermatch makes.