How we secure investments
At FOLK2FOLK, every loan is secured against UK land or property. That means if a borrower fails to repay, we have the ability to take legal action to recover funds through the sale of the security property. We don’t rely on projections or unsecured cashflow. Instead, we use real, tangible assets to provide a layer of protection for your capital. Our approach is designed to prioritise investor protection but we also believe in clarity, not false comfort. Here’s how our model works.
How we assess security
Before any loan is approved, we undertake detailed due diligence, including:
- Independent RICS property valuations
- Title checks and legal due diligence
- Assessment of loan-to-value ratio (LTV)
- Verification of security ownership and charges
Every deal is reviewed by our internal credit team — no automated decision-making.
What happens if things go wrong?
If a borrower fails to pay, our first step is to work with them to resolve the issue and we retain the right to enforce the legal charge on the property to try to recover outstanding funds.
