Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: P2P, Lending, Digital Bonds, BNPL, Private Credit
Interview with Inter CEO: Insights into the Super App’s Success
PYMTS | Aug 26, 2022
João Vitor Menin, CEO of Inter & Co., told PYMNTS’ Karen Webster:
“We’re building something here — and we’re building something big.”
- Building something big, and gaining scale, requires looking beyond the confines of quarterly earnings reports and share price gyrations. (short-term concerns can dominate a publicly-listed firm’s thinking).
- The super app should be an agnostic platform that offers something for everyone, young and old, regardless of income or age. As for the growth, Inter’s second quarter results showed that clients grew by 73% year over year to 20.7 million. Revenues surged by 130%, and monthly average revenues per customer were up 16%. Investors were cheered by the quarterly showing, where growth was accompanied by an expansion of net interest margins, sending the share price up by more than 30% on the Nasdaq in the 10 days since the Aug. 15th announcement.
See: Rise of the super app
- The money is there to fund growth, as is a diversification of revenue streams, as Inter right now gets half of its top line from the “spread” on lending products, while the other half comes from fee income. “Unlike the other banks in Brazil, we have everything in one single app, one that is convenient, and that has a good value proposition,” said Menin, “and a good UX.”
Toward the U.S.
- The go-to-market strategy in the States starts with the bank, via deposits and money mobility, and bill payments, while credit will come later as Inter begins to lend off of a strong balance sheet and recurring maintenance revenues.
- He noted a different approach than had been seen in Brazil, where the company started with a credit portfolio that in turn led to fashioning a digital retail banking franchise.
See: Canada’s Open Banking Journey: Interview with BBVA’s Carmela Gómez Castelao, Head of Global Open Banking Program & José Luis Navarro Llorens, Global Open Banking Strategy
- “We want to be the bridge for all Brazilians who want to do business in the U.S.,” he said. Immigrant populations, he noted, tend to use these services often and prove to be loyal customers on the platform. Over time, the deposit account can help the underserved migrant populations build credit histories (and help position Inter strategically against neobanks and FinTechs in the space).
Continue to the full article --> here
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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[Consultation Deadline Oct 7, 2022]: Fighting Predatory Lending by Lowering the Criminal Interest Rate
Department of Finance Canada | Aug 21, 2022
Are you concerned about the criminal rate of interest being too high or low?
Budget 2021 announced the Government of Canada's intention to consult on fighting predatory lending by lowering the criminal rate of interest in the Criminal Code of Canada applicable to, among other things, installment loans offered by payday lenders. The criminal rate of interest, which is currently set at 60 per cent effective annual interest, is applicable to most lending products in Canada. This consultation paper seeks views and feedback on proposals related to the criminal rate of interest and provision of high-cost installment loans in Canada.
Consultation Scope
High-cost installment loans appear to be the most widely held high-cost lending product in Canada. In a recent study conducted by the Financial Consumer Agency of Canada (FCAC), 44 per cent of consumers who had taken out high-cost credit reported taking a high-cost installment loan in 2020.
See: MoneyMates: Slaying predatory lending
The criminal rate of interest in the Criminal Code, which is currently set at 60 per cent effective annual interest, is applicable to most lending products in Canada (e.g. installment loans, lines of credit, auto loans, auto title loans, credit cards, and more). The only exceptions are payday loans (loans for values of $1,500 or less and for a term of 62 days or less) offered by licenced or specifically authorized persons in provinces that have enacted consumer protection laws and where the province has been designated by the federal Governor in Council. Nine provinces have been designated. The Criminal Code provisions governing payday loans are not the subject of this consultation paper.
Specifically, key questions we want to hear from you on include:
- Should the criminal rate of interest be set at a fixed level or linked to prevailing market conditions?
- What are the reasons financial consumers access high-cost installment loans?
- What impact would lowering the criminal rate of interest have on the availability of credit for financial consumers who use high-cost installment loans?
- How could the Government of Canada, including the FCAC, improve financial education and awareness regarding high-cost installment loans to further empower and protect Canadians as they make informed financial decisions?
See: Preparing For a Mortgage? These Tips Will Help You Get the Right Deal
Contact information to participate by email
We also invite you to submit any additional comments or feedback relevant to the scope of this consultation by OCTOBER 7, 2022.
Send us your comments to consultationconsumeraffairs.consultationconsommation@fin.gc.ca with "Predatory Lending Consultation" as the subject line.
View the original article --> here
Read the consultation on fighting predatory lending by lowering the criminal rate of interest --> here
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Here Are 10 Tips for Finding a Financial Professional Who May Be The Best Fit For You
Guest Post | Aug 11, 2022
As anyone who has ever applied for a loan knows, online installment loans can be a great way to get the money you need without having to put up your home or other valuable property as collateral. However, finding the right financial professional to help you with your installment loan can be a challenge. Here are 10 tips for finding the best fit for you:
The 10 best tips for finding a financial professional
1. Know what you need
Everyone has different financial needs, so it's important to know what yours are before meeting with any financial professionals. This will help you ask the right questions and find someone who is a good fit for you.
2. Do your research
Not all financial professionals are created equal. Be sure to do your research and read reviews before meeting with anyone.
3. Ask around
Talk to your friends, family, and colleagues to see if they have any recommendations for financial professionals in your area.
4. Meet with several options
Once you've done your research, it's time to start meeting with potential financial professionals. Meeting with multiple people will give you a better idea of who may be the best fit for you.
See: Having a Financial Plan Is More Important Than You Think – Here’s Why
5. Ask lots of questions
This is your financial future we're talking about, so don't be afraid to ask lots of questions! Find out what their experience is, how they would handle your specific financial situation, and what their fees are.
6. Consider credentials
When looking at financial professionals, it's important to consider their credentials. Check to see if they have any certifications or designations that could indicate they're qualified to help you with your finances.
7. Compare fees
Not all financial professionals charge the same fees, so be sure to compare before making a decision. You'll want to find someone who charges a fee that you're comfortable with and who is transparent about their pricing.
8. Get a second opinion
A financial decision should not be made lightly. If you're unsure about something, get a second opinion from another financial professional or even a trusted friend or family member.
9. Read the fine print
Before making any decisions, be sure to read all the fine print. This includes contracts, disclosures, and other important documents. You don't want to make a financial decision without fully understanding the terms and conditions.
10. Trust your gut
At the end of the day, you need to go with your gut feeling. If something doesn't feel right, it probably isn't. Be sure to listen to your intuition when making financial decisions.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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4 Ways to Overcome Financial Woes As an Entrepreneur
Guest Post | Aug 2, 2022
Image: Unsplash/Garrhet Sampson
Entrepreneurs are motivated go-getters who start businesses and willingly risk losses to make money. While many are fortunate to have robust business models to limit financial failures, some struggle in their early days to make enough money to get by.
It might not be that way forever, but getting over those significant financial hurdles during the early days can be challenging. If you know you’re on the right track but are still struggling financially, here are a few things you might like to try.
Getting Payday Loans
Money can be tight when you’re waiting on clients to pay you, even when their payments aren’t overdue. While you wait, consider payday loans from reputable providers like My Canada Payday. These companies can offer short-term, small loans, regardless of your credit rating, to tide you over until you get paid. Most don’t charge fees for paying them back early, and you can only borrow as much as you can comfortably repay. They might be the short-term solution you’ve been looking for.
Shortening Your Payment Window
You don’t always know the best payment practices when you first start your own business or side hustle. Such knowledge comes with time, experience, and, sometimes, making a few mistakes.
While many large corporations offer customers an entire month to pay their bills, you don’t have to follow their lead. There’s no reason why you can’t request partial payment upfront for your services and full payment within one week. Since studies have shown that one in 10 invoices are paid late, a shorter time frame might be much better for ensuring you maintain a consistent cash flow.
Reassess Your Pricing
Pricing products and services is possibly one of the most complex parts of launching and managing a new business. If you underprice, you risk not making enough money to stay afloat, but if you overprice, potential customers might visit your competition, leading to the same outcome as if you had underpriced.
Finding a balance can be crucial for business sustainability and growth, and you might need to utilize many different methods to find the ideal pricing structure. Know your customer, including how much they’d be willing to pay and ensure you have a firm understanding of all related costs. Having a revenue target and knowing how much your competitors charge for the same products and services is also crucial.
Have a Safety Net
Even if you crowdfunded to get your business off the ground, having a safety net of funds for troubling times might be worth considering. When you first begin thinking about starting your own business, open a savings account that you contribute to each week.
Rather than use this money for everyday operations, rely on it as a backup for when you’re not in a position to cover your essential bills. Where possible, repay that money when consistent income starts to flow in once more.
Entrepreneurship can be financially rewarding, but it can also be challenging, especially when you’re just finding your feet in the business world. If you’re experiencing financial woes as a new startup, you might be able to enjoy some relief and set yourself up for future success by doing some of the things above.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Smart Hacks For Real Estate Investors That’ll Quickly Turn You Into a Pro
July 12, 2022
There are a lot of myths about real estate investing. People think that you need to be wealthy to get started or that you have to be an expert in property management and law. But the truth is, there are many ways to get into real estate investing without spending a fortune or having years of experience. This article will explore some of the smartest hacks for real estate investors that will quickly turn you into a pro.
1. Look for Motivated Sellers
One smartest hack for real estate investors is looking for motivated sellers. When a seller is motivated, they'll be more likely to accept a lower offer, which means you can get a good deal on the property. There are a few ways to find motivated sellers.
First, look for signs that the seller is in financial trouble. This could be things like late mortgage payments, high levels of debt, or even bankruptcy filings. If you can find a seller in financial trouble, they'll likely be motivated to sell their property quickly and for a low price.
Another way to find motivated sellers is by looking for properties listed at a discount. These could be properties that need repair or properties that are in a less desirable location. If you can find a property offered at a discount, there's a good chance the seller is motivated to sell quickly.
2. Get Pre-Approved for a Loan
If you're serious about real estate investing, one of the best things you can do is get pre-approved for a loan. This will give you a clear idea of how much money you can borrow and show sellers that you're serious about buying their property. The Orlando hard money lenders can be a great option for getting pre-approved for a loan. Many hard money lenders pre-approve you for a loan without requiring a credit check.
There are a few different types of loans that you can get pre-approved for, but the most common is a conventional mortgage. You'll need a good credit score and a steady income to get pre-approved for a conventional mortgage. You'll also need documentation, such as tax returns and bank statements.
3. Use Technology
Many great real estates investing software programs are available to make your life easier and help you close more deals. Using technology is a great way to work smarter, not harder.
Some of the best software programs for real estate investors include:
- Zillow: This website is a great resource for finding properties for sale and estimating a property's value.
- Real Estate Investor Websites: These websites allow you to find motivated sellers and buyers and access property data and market information.
- Transaction Management Software: This software helps you track your real estate transactions from start to finish.
See: How Proptech is changing the real estate industry
Using technology is a great way to save time and close more deals. You're missing out on a huge opportunity if you're not using technology in your real estate business.
4. Join a Real Estate Investment Club
Joining a real estate investment club is a great way to meet other investors, learn from experienced investors, and get access to deals. Real estate investment clubs typically have monthly meetings where members share information about deals they're working on and market news and trends.
Most real estate investment clubs also have an online presence, which allows you to connect with other members and get information about deals 24/7.
5. Get a Real Estate License
If you're serious about becoming a real estate investor, one of the best things you can do is get a real estate license. Having a real estate license will allow you to access the Multiple Listing Service (MLS), a database of all properties for sale in your area.
Access to the MLS is critical for real estate investors because it allows you to find properties not yet listed on the market. This gives you a huge advantage over other investors who don't have access to the MLS. Getting a real estate license is a smart hack for real estate investors because it gives you an unfair advantage over your competition.
6. Hire a Property Management Company
If you're an investor who owns rental properties, one of the best things you can do is hire a property management company. A property management company will take care of all the day-to-day tasks associated with owning a rental property, such as finding tenants, collecting rent, and handling repairs. Hiring a property management company is a great way to free up your time to focus on other aspects of your business. It's also a great way to reduce your stress level.
By following these hacks, you'll be well on your way to becoming a successful real estate investor. Just remember to do your research, take your time, and don't be afraid to ask for help when you need it. You can quickly become an expert in this field with little effort.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Alternative Lending Options For Businesses
Jun 29, 2022
Image Credits: Pexels
With the rise in inflation and constantly changing market trends, no business can depend on personal finances or short-term investments. Instead, they have to look for additional funding at one point in their corporate life.
However, sadly, banks aren’t famous for lending ‘required money’ to start-ups and small businesses anymore.
No longer can you have a stellar credit report and be on your way to applying for a business loan. Why? Because so many other experienced owners think the same and thus banks are entitled to grant loans to absolutely risk-proof applicants.
So, it makes sense why so many small-scale businesses resort to alternative lending options to resolve the crisis in their steady cash flow. Need to know more? Here’s short yet comprehensive research:
What Is Alternate Lending?
The phrase "alternative lending" refers to a broad range of loan choices available to individuals and businesses in addition to standard bank loans. Alternative lending encompasses a wide range of finances, including:
- Direct lending
- Equity funding
- Debt financing
Alternative lending firms specialize in commercial funding and financing alternatives rather than all services a regular bank provides. Additionally, alternative lenders offer more latitude regarding criteria for loans, such as creditworthiness, annual income, and good credit score.
See: Fastest Way To Raise Your Credit Score
Alternative lenders are often more accommodating to modifications in repayment plans. However, one thing to understand is that every good thing comes with a price! So, alternative financing typically has higher interest rates than traditional banks or lenders.
Common Alternative Lending Options
Alternative lending can be a better pick for businesses that can’t fulfill the loan requirements of standard banks. The reason is the flexibility when it comes to deciding the money you need and the repayment plan you wish to have.
So, here are some of the alternative lending options you can consider for your business:
1. Term Loans (Short / Long)
Commercial term loans are types of credit that provide you with a large sum of money, which you normally repay over a predetermined period and in fixed amounts. Term loans provided by alternative lenders resemble those provided by traditional lenders in many ways.
The majority of alternative lenders provide short-term loans. However, some of them may also offer long-term possibilities.
- Short-term loans are simple to qualify for, typically disburse within a day or two, and last for one or two years.
- Long-term alternate loans can have a five-year maximum repayment time and are good for expanding business and stabilizing cash flow.
However, keep a look at the interest rates for long-term alternative lending before making the decision.
2. MicroLoan
Alternative lenders developed these loans because many commercial banks deem them too short to issue. In fact, the low-value funding (microfinancing) is often below the figure of $50,000.
However, for a small business owner, the sum can be sufficient for a small business owner to pay for new machinery and employees or to increase production.
According to clear co, the goal of microfinancing or microloan is to provide the small yet needed money to start-ups or new companies that don’t qualify for large loans or can’t afford to repay the huge loan. Although there may be limitations on how you can use the funds, microloans often cover operational expenditures, supplies, and other similar resources.
3. Line Of Credit
It is just like a typical line of credit allotted by a traditional bank to consumers. However, it might be easy to qualify for it and actually get it from an alternative lender than a standard bank.
- It is a set sum of money that you can use as you need it and either pay back right away or over a specified repayment time with a decided interest rate.
- You only pay what you’re using as it is a fixed amount as your business line of credit.
A line of credit can serve as a security for a business. It is a great alternative financing option for a firm that doesn't need a certain sum of money but needs access to additional capital to cover emergency expenses.
4. Crowdfunding
Some firms can raise money online from their peers by using crowdfunding. Instead of looking for one financing source, enterprises can combine small investments from a number of people via crowdfunding platforms.
- The borrower typically establishes a goal and pitches their campaign to draw in possible funders.
- Crowdfunding has the advantage of looking for funds without going through the application process.
Success is not assured, though; it depends on how effectively you sell your cause and how many lenders support it. Additionally, not every type of business will benefit from it, so do your research first before choosing this option.
5. Invoice Financing
It's not often provided by a traditional bank, unlike other alternatives. When unpaid invoices limit a company's cash flow, B2B and service-based companies frequently turn to invoice financing.
- A company sells its unpaid accounts receivable to the lender (known as the "factor") for a small discount.
- A company can typically anticipate receiving upfront payment for 90% of the worth of its accounts receivable.
- After that, the factor is in charge of collecting the payments.
- The factor's projected profit equals the 10% it saves on the lower purchasing of the company's accounts receivable.
Bonus: Bibby Financial is an alternative lender in Canada that offers invoice financing to small or large-scale businesses.
Final Thoughts
Getting capital for a small business can be extremely challenging. Most banks demand excellent credit, a good reputation, and long experience from the applicants to qualify for the loan. However, still, there's no assurance you'll be approved, especially if you're a start-up competing with the big sharks to secure the funding.
Here comes alternative lending to the rescue!
Due to the convenience, flexibility, and practicality, alternative lenders are a better option for small business owners than banks. The reason why more and more businesses are opting to look for alternative lending options.
Are you one of them? We have curated 6 choices for you. Read them above!
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Will Top of Digital Wallets Threaten Traditional Credit Card Markets?
Financial Brand | Bryan Yurcan | Jun 27, 2022
Digital wallets are an increasingly competitive space for card issuers. In fact, without 'top-of-wallet' status cardholder activity can plummet. Not only is competition growing among card issuers to be “top of wallet” at the point of sale with these digital wallets, but because of the way consumers tend to use them — keeping fewer digital cards in their mobile wallet than they keep plastic cards in their physical wallets — the balance of power in the card business is shifting.
See: Bitcoin wallet Nunchuk scolds Ontario court over order to freeze crypto assets
Spurred on by habits created during the pandemic, consumers globally, and in the U.S. particularly, sharply increased their usage of digital wallets in the last 12 months, according to a survey from Marqeta. The payments company surveyed more than 4,000 consumers in early 2022 — 2,000 from the U.S., 1,000 from Australia, and 1,000 from the U.K. — on their usage of digital wallets, which the survey described as “a virtual wallet that stores payments information on a mobile device.”
75% of those who were surveyed globally said they have used a digital wallet within the past year. While the U.S. is slightly behind the global average, where 71% reported using a digital wallet within the last 12 months, the rate of adoption is still up from the previous year (64% in 2020).
Convenience Is a Big Plus
Ease of use is another big factor in the increased adoption of mobile wallets. Even those that may consider themselves technophobes find them simple and convenient to use. Cards certainly are not difficult to use, so the convenience bar is high. Yet, payments made with mobile wallets, when used in conjunction with facial recognition, can be very fast.
See: PayPal Finally Allows Users to Transfer Crypto to Other Wallets and Exchanges
In fact, a majority of consumers are so comfortable with using mobile wallets that they say they would be confident only taking their phone with them out shopping and leaving their physical wallet at home. 81% of people surveyed globally said they could make mobile wallet purchases everywhere they wanted to. In the U.S., more than three quarters (78%) of respondents agreed with this, up from 62% in a different Marqeta survey of U.S. consumers in 2020.
Moving Toward An ‘Everything is Currency’ Mindset
Perhaps the biggest differentiator in the quest to be top of wallet will be issuers that enable consumers to use any store of value they own to pay for purchases. This can include loyalty points and crypto holdings. The consumer, says Mitchell, is increasingly thinking of the concept that “everything is currency” and wants a digital wallet experience that enables this.
Continue to the full article --> here
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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