When a LOAN is granted, it is purchased and acquired by CrossLend Securities SA and securitised by issuing a series of NOTES. NOTES are debt securities which can be purchased by investors. A series of NOTES is made up of a number of NOTES, each having a denomination of 25 euros. The total nominal value of a series of NOTES is equivalent to the amount of the LOAN.
When a borrower makes their loan repayments, CrossLend Securities SA makes the corresponding payments of interest and principal pro rata to the holders of the NOTES. Insofar as a borrower neglects to make their loan instalment payments, CrossLend Securities SA owes the holders of the NOTES no payments. Costs for the collection of overdue loan amounts may arise, which may be deducted from any payments to the noteholders.
*A detailed description and explanation of the Borrower Payment Contingent Notes (Notes), the payments under which (consisting of interest and principal) are contingent upon the corresponding payments by the borrower, as well as the Terms of the Notes, are contained in the Base Prospectus, approved by the Luxembourg Commission de Surveillance du Secteur Financier (CSSF), and in the English summary of the Base Prospectus (available here). The supplementary terms and conditions of the single issues are set out in the respective Final Terms, which may be viewed here, as well as in the Documents section of your CrossLend account. Investors should base their investment decision on a review of the entire Base Prospectus and the respective Final Terms as well as the issue-specific English summary, and obtain individual advice, if necessary, before making any investment decisions. We also recommend that you read our Information Brochure.