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Understanding Deal Statuses on Percent

Percent offers a number of deals that are ready for investment at any moment in time, and we are dedicated to making the investing process easy and transparent from start to finish. Investors looking for their next opportunity should look for deals that are funding – and finding those deals is as simple as going to our Deals page and ticking the Funding box in the status dropdown.

The dropdown status menu shows the different stages of a note, from when a deal is first made available to invest, to when it’s closed, to when the deal matures or is repaid. This blog provides a brief overview of what happens in each of the different stages.

Funding: This shows that the deal is open for investment.The deal will remain in the funding period until the funding end date. After the funding end date, no new investments will be accepted.

Allocating: After the funding end date, allocation begins. The underwriter reviews the orderbook, finalizes investments (ensuring all subscription and service agreements are executed), and determines the final deal size and APY rate. Amounts are allocated to investors based on their requests. If a deal is oversubscribed, investors will receive less than their initial request amount.

Launched: A deal is launched once the allocations are finalized. The day after launch, the deal status will generally change to Outstanding.

Outstanding: This reflects a deal that has closed and is generating returns based on the deal’s payment structure and the performance of underlying assets.

Matured: This status shows a deal that has reached the maturity date or is successfully called. Once payment is made, the status will change to Re-paid.

Re-paid: This reflects a matured or called deal that has been paid back in full.

Every investment carries a certain degree of risk. As such, from time to time an offering might underperform and the borrower or underwriter will not be able to comply with the scheduled interest and principal payments on time. If this is not resolved shortly thereafter, then the deal will move into a work-out state.

Work-Out: This status represents deals that have defaults and an outstanding note principal balance that has not been charged off or repaid. It shows that the underwriter is working on avenues for recovery with the underlying borrower.

Recovery for asset-based deals and for corporate loans can have different outcomes and processes. If no recovery is made during the work-out phase, the underwriter may charge off the outstanding note principal balance.

Charged-Off: The deal is in default and a portion or the entire amount of the note principal balance has been written off because no further recovery is expected.

Every deal on Percent shows its status, giving investors a quick way to stay informed about where a particular deal is in its lifecycle and – by selecting Funding in the drop-down box – a simple way to identify the deals currently open for investment.

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