10 Min. Read

NEO Finance Review (10/2022)

NEO Finance

NEO Finance

A. Vivulskio g. 7, 3162 Vilnius

Test result

3.25 of 5

10 € NEO Finance Bonus Code

Interest and costs


Flexibility and conditions




Support and service


We have tested the P2P platform NEO Finance.

If you want to know:

  • if we would recommend NEO Finance to investors,

  • how NEO Finance arranges loans,

  • what kind of experiences investors have had with the platform,

  • how you can automatically invest in P2P loans on NEO Finance,

then you will find all the information you are looking for in this test.

Let's get started.

Table of contents

Neo Finance review

Introducing NEO Finance as a P2P platform

NEO Finance (NEO Finance, AB) was founded in 2015 by Evaldas Remeikis. The platform is based in Vilnius, Lithuania and is supervised by the Lithuanian Financial Market Authority.

NEO Finance, AB at a glance

  • More than 13,000 registered investors

  • Approx. €70 million in loans granted

  • All consumer loans are issued in Lithuania

  • Investors can invest fully automatically and manually

  • Investors can expect an average return of 12% p.a. before taxes

  • Minimum amount of €10 to start investing

  • Secondary market is offered

  • Investors have to pay a withholding tax of 15% on the income from loans, which pushes the expected return to below 11% p.a.

  • A tax certificate is offered

Who can invest in NEO Finance?

Only private individuals residing in a country of the European Union can invest on NEO Finance.

How P2P loans are offered on NEO Finance

Infographic about P2P platform NEO Finance

The P2P platform NEO Finance grants its loans directly. After a loan is approved by the platform and a rating is assigned, investors can invest in the loan. This means that the loans are not pre-funded, as is the case, for example, with P2P platforms that work with loan originators.

However, borrowers from Lithuania cannot apply for a loan directly on NEO Finance. Lending is done under the Paskolu Klubas brand.

Example: Lending on the Lithuanian website Paskolu Klubas

Loan origination on NEO Finance

If you want to take a look at how the loans on NEO Finance are granted, it is best to visit the Paskolu Klubas website. On the website, you can see exactly how loans are offered in Lithuania.

Ratings on NEO Finance

NEO Finance offers A+, A, B, C and C- ratings. A loan with an A+ rating has the highest credit score, while the opposite is true for a loan with a C- rating.

Collateralization of loans on NEO Finance

Only unsecured consumer loans are offered on NEO Finance.

Experiences of investors with NEO Finance

Since the platform has been on the market, no major problems or other difficulties have occurred. Also, no major bankruptcies or sudden accumulation of loan defaults occurred. This is typical of platforms that issue their loans directly. Unlike P2P marketplaces, there is no risk of a loan originator speculating, which could result in many loans defaulting at the same time.

Stability is important to the founders and management of NEO Finance. In this context, the platform has created the Provision Fund. Put simply, investors can voluntarily invest a portion of their return into the Provision Fund to protect themselves from loan defaults and missed interest payments. NEO Finance is the only P2P platform that offers such additional protection to its investors.

However, in the past, the platform had some technical weaknesses and signing up as an investor was very complicated and took a long time. However, the platform has been working on this and now it only takes a few minutes to register as an investor on NEO Finance as well.

How did NEO Finance perform during the Corona crisis?

NEO Finance did well to very well during the Corona crisis. Since the platform grants its loans directly, it was able to react quickly to the crisis and did not have to negotiate with loan originators about necessary measures.

NEO Finance during Corona crisis

The fact that the Corona crisis had hardly any impact on the platform can be well demonstrated by the loans brokered. The crisis can hardly be observed in the figures. It can only be seen that the platform brokered fewer loans for a short period at the beginning of the Corona crisis.

This is a typical picture that can be seen with platforms that either broker their loans directly or broker loans from loan originators owned by the parent company as part of a corporate structure.

Other P2P marketplaces, such as Mintos, had to work closely with the loan originators to overcome the crisis. Because Mintos does not have direct control over the loan originators, the platform ultimately relies on its ability to work with the loan originators to find appropriate measures to prevent harm to investors.

Many investors have resented this to Mintos, for example, but in our opinion, investors in P2P marketplaces must expect exactly this risk. On NEO Finance, investors are not exposed to the risk that loan originators can go bust.

Advantages and disadvantages of NEO Finance


  • On NEO Finance, you can manually select the loans you want to invest in, or you can invest automatically.

  • If you are a conservative investor, you can additionally hedge your investments with the Provision Fund.

  • Investments on the primary market are free of charge for you as an investor.


  • For withdrawals from your account at NEO Finance, you have to pay a fee of €0.29.

  • On NEO Finance, the loans are issued with repurchase guarantees. As with other platforms, the value of the guarantees depends on the creditworthiness of the lender. If the platform gets into financial difficulties, it will probably not be able to keep the guarantees. As a result, the buyback guarantees can give you a false sense of security.

  • If NEO Finance goes bankrupt as a platform, you risk the total loss of your investments.

Register as an investor with NEO Finance

On NEO Finance, you can easily register as an investor online. The registration itself takes only 5 minutes.

1. Register as a user on NEO Finance

On the NEO Finance website, click on the "Sign up" button in the upper-right corner. Then click on the "Investors" button.

NEO Finance register mobile number

In the first step, you have to enter your cell phone number.

NEO Finance registration: email and password

After that, you have to enter your e-mail address and choose a password.

2. Open an account with IBAN number

On NEO Finance, you will get an account with a personal account number (like your current account).

NEO Finance create account with IBAN

In the overview, you press the button "CONTINUE".

NEO Finance personal details

After that, you will be asked for more information about yourself, including your first name, last name and citizenship.

3. Verify your identity and deposit money

The registration as an investor is completed by verifying your identity. To achieve this, simply follow the instructions on the page.

Unlike other platforms, you do not need to verify your account because NEO Finance opens an account for you. But, when you deposit money to your account for the first time, the account you transfer from should be in the same name as the user account at NEO Finance.

Deposits and withdrawals to NEO Finance

If you want to deposit money into your NEO Finance account, you only need to deposit the amount into the account that NEO Finance has opened for you.

Deposit money

To deposit money, click on the amount next to "ACCOUNT BALANCE" in the top menu. After you have opened the account, it will correctly show €0.00. Then click on "DEPOSIT" in the menu.

NEO Finance deposit money

After that, you will be shown which information you have to enter for a bank transfer in order to deposit money to your NEO Finance account. As recipient and IBAN, you enter what is displayed under "Recipient" and under "IBAN".

A deposit by bank transfer usually takes only 1 to 2 days.

You can also deposit money via other providers, for example via Revolut, then it is a bit faster.

Withdraw money

If you want to withdraw money, click on the amount next to "ACCOUNT BALANCE" in the top menu. Then click on "WITHDRAWAL" in the menu.

NEO Finance withdraw money

Now you just have to specify the amount you need to withdraw. The money will be credited to the account from which you first transferred money to your NEO Finance account.

Investing in P2P loans on NEO Finance

On NEO Finance, you can invest in P2P loans automatically with a few clicks.

You can invest in P2P loans either automatically or manually.

Auto Invest

With the Auto Invest function, you can invest in P2P loans on NEO Finance in a fully automated way.

NEO Finance Auto Invest

The Auto Invest function provides you with standard and advanced settings that allow you to invest specifically in P2P loans. For example, you can go so far as to invest only in loans given to men (which is somewhat uncommon).

The most important settings are:

  • Investment amount per loan

  • Ratings in which to invest

  • Minimum and maximum interest rate

  • Loan term (in months)

  • Use of the Provision Fund (only for ratings from A to C)

NEO Finance is especially practical in that it immediately shows you the volume of loans brokered in the last 30 days with the settings you have made. If you set some settings too narrow, you can then immediately see that only a few loans (or even none) will match your settings.

For P2P loans, the rule of thumb has proven to invest a maximum of €10 to €20 per loan to limit the risk, which emanates from individual loans. It is also recommended not to invest in too long maturities, even if there is a secondary market on NEO Finance because you cannot be sure that you will always find a buyer for your loans.

Manual investing

On NEO Finance, you have the possibility to choose every single loan you want to invest in. However, this is not recommended, as it would require a lot of regular effort. Imagine you would invest €5,000, divided into €10 per loan, then you would have to select 500 loans individually at the beginning and constantly reinvest the due loans.

Provision Fund

NEO Finance offers a Provision Fund, in which you can invest a part of your return. If unexpected difficulties arise with the loan, the Provision Fund steps in for the borrower. However, the Provision Fund does not cover the entire remaining term of the loan. After a loan is delayed for 60 to 130 days, NEO Finance will call in the loan at a certain point, and you will get back your invested capital and any interest still due.

With the Provision Fund you can only secure investments in loans that have a rating of A, B or C. Loans with a rating of A+ are already fully covered by the buyback guarantee.

Secondary market on NEO Finance

NEO Finance offers a secondary market where you can sell your loans to get your money in the short term.

What returns can investors expect on NEO Finance?

As an investor on NEO Finance, you can expect an average return of 12% per year.

What costs and fees does NEO Finance charge investors?

Investing on NEO Finance is free of charge for you as an investor. But for withdrawals from your account you have to pay €0.29.

For purchases and sales on the secondary market, NEO Finance charges a fee of 1%.

Can you automatically invest in P2P loans on NEO Finance?

Yes, on NEO Finance you can invest in P2P loans fully automatically with the Auto Invest feature.

Can you select individual loans on NEO Finance?

Yes, on NEO Finance you can invest in individual loans, but it will likely take a lot of effort and time to make sure you spread your investments.

Risks of investing on NEO Finance

With P2P lending, you always have to consider various risks. A particularly important risk in this context is the credit default risk. The credit default risk is about the fact that loans can default if the borrowers can no longer pay, as an investor you must then expect losses.

The credit default risk can be limited by investing a large portion in P2P loans with better ratings, on NEO Finance this would be P2P loans with ratings A+, A and B. Better ratings are given to loans that are less likely to default.

How reputable is NEO Finance?

Since NEO Finance is supervised by the Lithuanian Financial Market Authority, we would rate the platform as very reputable.

Are  detailed statistics about the loans on NEO Finance available?

Yes, NEO Finance offers a statistics page with comprehensive information on the loans brokered.

Does the NEO Finance platform publish its annual report?

Yes, the annual report of NEO Finance can be viewed on its website.

How does the buyback guarantee on NEO Finance work?

After a loan is delayed for at least 60 days, or a maximum of 130 days, the buyback guarantee on NEO Finance kicks in. Depending on the rating of the loan, you as an investor have the possibility to return the loan with a discount. If you have a VIP status on NEO Finance, you will receive a 10% surcharge on the return price for all loans.


No VIP status (up to €5.000)

VIP status (from €5.000)

A+ rating



A rating



B Rating



C Rating



If you have invested in a loan and secured it with the Provision Fund, you cannot sell the loan back to NEO Finance. Instead, you will be compensated from the Provision Fund.

What are the default rates on NEO Finance?

NEO Finance does not publish default rates. But, NEO Finance states how many loans have experienced delays of more than 720 days (2 years), which is basically a loan default. Approximately 3.58% of all loans on NEO Finance are more than 2 years late.

Compared to other platforms where default rates range from 5% - 10%, default rates on NEO Finance are much lower.

Are the loans on NEO Finance protected by the deposit insurance?

No, the loans on NEO Finance are not protected by deposit insurance such as the FDIC insurance.

Paying taxes on income from P2P loans on NEO Finance

When you invest in loans on NEO Finance, you have to pay withholding taxes on the earnings. While on other platforms you can avoid the taxes by obtaining a residency certificate, on NEO Finance you can only reduce the withholding taxes from 15% to 10% by obtaining a residency certificate.

This is a bit annoying for you as an investor, but even after deducting the withholding taxes you can still expect a return of 10% p.a. on average.

Prepare your tax return on NEO Finance

On NEO Finance, you can easily get the information you need for your tax return. First click on the menu item "Settings", then on "TAX DATA" in the menu.

NEO Finance tax report

After that, you only have to enter the desired year, and then you will get a list of all the income you received during that year.

Unfortunately, it is not possible to download the overview as a PDF file. However, you can print the page or simply save the page as a PDF file, which should suffice as proof.

Result of our NEO Finance Review

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NEO Finance is a good platform, but it is very different from other P2P platforms. For example, the buyback guarantees work completely differently than on other P2P platforms. The Provision Fund is also unusual, but very advantageous, especially for conservative investors.

NEO Finance is officially regulated and is very transparent as a P2P platform. There is very detailed reporting on the loans and the annual report is also publicly available. There is no doubt at all about the seriousness of the platform.

The Auto Invest feature allows investors to efficiently invest in the P2P loans offered, with various settings to suit their return and risk profile. The only thing that bothers us about the platform is the withholding taxes of 15% that have to be paid on interest income.

Overall, we would recommend NEO Finance as a P2P platform.

If you want to sign up as an investor on NEO Finance, you should use our exclusive promo code to get a 1% bonus on your investments.


You can only find out for yourself if you like NEO Finance. The best way is to register on the platform now.

After you have tested the platform, we would be happy if you share your experiences with us.

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Last updated on 30 September 2022