Restricting Service in High Risk Countries

Team Loanbase routinely conducts risk analysis in order to decrease defaults and provide the best service for our customers. One of the areas of concern we’ve been researching has been the occurrence of fraudulent activity and we have identified several countries with higher levels of fraudulent activity. In light of our findings, we regretfully had to terminate lending operations in a number of high risk countries.

The following countries have had an unusually elevated risk of defaults and/or fraudulent document submissions, so we’re no longer allowing the submission of verification documents from them:

Bangladesh
Belarus
Colombia
Croatia
Dominican Republic
Ghana
Hungary
Indonesia
Iran
Ireland
Kenya
Latvia
Nigeria
Philippines
Romania
Russian Federation
Turkey
Ukraine
Vietnam

We have also had to terminate operations in countries where our 3rd party verification partner,  Jumio, doesn’t have coverage. Previously we manually rejected all verification requests which Jumio didn’t support, but we’ve now automated the process. Here is the full list of countries we no longer accept verification requests from:

Åland Islands
American Samoa
Antarctica
Aruba
Bangladesh
Belarus
Bonaire, Saint Eustatius and Saba
Bouvet Island
British Indian Ocean Territory
Central African Republic
Christmas Island
Cocos (Keeling) Islands
Colombia
Congo
Cook Islands
Croatia
Curaçao
Dominican Republic
Eritrea
Falkland Islands (Malvinas)
Faroe Islands
French Guiana
French Polynesia
French Southern Territories
Ghana
Greenland
Guadeloupe
Guam
Heard Island and Mcdonald Islands
Holy See (Vatican City State)
Hungary
Indonesia
Iran, Islamic Republic of
Ireland
Kenya
Kiribati
Korea, Democratic People’s Republic of
Latvia
Martinique
Mayotte
Nauru
New Caledonia
Nigeria
Niue
Norfolk Island
Northern Mariana Islands
Philippines
Pitcairn
Réunion
Romania
Russian Federation
Saint Barthélemy
Saint Helena, Ascension and Tristan Da Cunha
Saint Martin (French Part)
Saint Pierre and Miquelon
Samoa
Sint Maarten (Dutch Part)
Solomon Islands
Somalia
South Georgia and the South Sandwich Islands
Svalbard and Jan Mayen
Tokelau
Tonga
Turkey
Turkmenistan
Tuvalu
Ukraine
United States Minor Outlying Islands
Uzbekistan
Vanuatu
Vietnam
Virgin Islands, U.S.
Wallis and Futuna
Western Sahara
Yemen
Zambia

8 thoughts on “Restricting Service in High Risk Countries”

  1. Hi! It seems to be, all countries are in here. May be your next step is to close the site and scam members. Why? Whats the use of all information sent to you guys. Doesn’t make sense fraud are every where but it doesn’t mean no one is true and honest.

    Like

  2. I appreciate the added security for investors. Don’t get me wrong, I am happy to profit. I estimated the population this change affects and it saddened me a little bit. These 77 countries have a population totaling about 4,004,472,774 people.

    Here’s how I did it: I copied the columns Country and Population from the table at https://en.wikipedia.org/wiki/List_of_countries_and_dependencies_by_population and pasted this data into Excel. I placed the list of countries from this blog post into Excel, removed duplicates, and used vlookup in Excel to match countries to populations. Then I summed the looked up values: about 4,004,472,774 people.

    Like

  3. i understand this new decision, however i have a question.
    how will this affect already registered users from these countries?
    some have an ok reputation, and if we are willing to continue to invest in them based on past history, would be awesome.
    I am however worried about a repeat of whats going on in btcjam, where a lot of US borrowers now being restricted are not bothering to repay their loans since they can not use the platform anymore.
    It would be nice to at least continue services with those that have built up a history.

    Like

  4. The number of opening listings is getting drastically lower after the new rules (Higer rates for borrower and restricting rules for high risk countries).This platform can not survive with 10 open listings only.

    Like

  5. I certainly welcome this change. Previously I requested a feature in Autoinvest to exclude certain countries, because I observed the same. Espeicailly from Romania, there hasn’t been a single user with more than 50 USD worth of loans which didn’t default at some time. Often after a couple of small loans to build trust.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s