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How to invest, earn and grow your home deposit


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In 2017, Gal Margalit, 32, left Israel for Sydney to take up a  business analyst role in the IT industry. She immediately started looking for a sensible way to invest her money in the hopes of buying a property. We spoke to Gal about how using RateSetter has helped her stay in control of her finances and prepare for the future.

Why did you choose to invest with RateSetter?

My partner was familiar with the concept of peer-to-peer (P2P) lending, but neither of us understood it super well. So, we did a bit of research with Google to learn more and quickly found RateSetter. We liked that we could see its statements online and see the market rate history for investors.

We knew we didn't want to invest in a bank because the interest just wouldn't have been enough. By contrast, RateSetter seemed like a reputable company, and the interest rates on the 3- and 5-Year Income Lending markets were really good.

deposit for home

What was your objective when you started investing in P2P?

While I awaited my permanent residency, I needed to invest the money I earned from the sale of a previous property. So, my objective was to earn a return on the money until I figured out what to do with it. Eventually, the goal is to use the money to re-invest in real estate. We initially invested around $350,000, and that number has grown steadily since then.

What do you like about investing with RateSetter?

It's really, really easy because it's all online. You don't need to see anyone or talk to anyone, because you manage everything online: investing money, re-investing, and so on. That's a huge upside. It's such an easy way to invest my money and it continues to earn a return before I invest it back into a property. I also find the company to be stable and trustworthy.

How do you monitor your RateSetter investments?

I work with a laptop every day, so it's easy for me to check my RateSetter investments, which I do about twice a week. I check if there's money to re-invest and make sure there's nothing just sitting in my holding account. I don't have the automatic reinvestment option turned on, because I'm a bit of a control freak and like to do it myself. I have some money in the 1-Month Income lending market, and also some money in the 3-Year Income lending market.

How RateSetter's returns compare

To sign up and invest with RateSetter visit RateSetter.com.au/money.

This information should not be taken as financial product advice and has been prepared as general information only without consideration for your particular investment objectives, financial circumstances or needs. Provision Fund is not a guarantee, capital at risk. Consider the Product Disclosure Statement available at RateSetter.com.au/pds before investing. RateSetter Australia RE Limited ABN 57 166 646 635 holds AFSL 449176/ ACL 449176.


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Daniel Foggo is the chief executive officer of RateSetter. He has a Bachelor of Commerce (Honours) and a Master of Business in Economics and Finance. Daniel was named FinTech Leader of the Year at the 2016 Australian Fintech Awards, and Fintech Entrepreneur of the Year at the 2017 Australian FinTech Business Awards.
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