WiseAlpha charges members an annual 1% Services Fee based on all amounts invested. We deduct this fee on a proportionate basis from interest payments made on the Notes. The Services Fee is deducted from the interest payment proceeds at the same time (or immediately after) they are deposited into your account. The Services Fee is rounded to the nearest whole penny in your account.
In this way we only receive our Services Fee when interest has been earned by our members. In the event that a borrower suspends its interest payments or misses a capital repayment WiseAlpha does not charge the Services Fee until payments are resumed.
If members sell their Notes on the matched bargain "secondary market", WiseAlpha charges the member a 0.25% Sale Fee based on the principal amount of the Notes that are sold. We only charge the Sale Fee if your Notes are purchased by WiseAlpha on the basis described here, and we deduct this Sale Fee from the proceeds of the sale.
The final sale price of the Note may not always reflect the price at which WiseAlpha Limited acquires its interest in the relevant underlying loan. WiseAlpha Limited may on occasion acquire the underlying loan at a discount to the price at which it offers the Note for sale to members. An example of this would be WiseAlpha Limited purchasing an underlying loan from a selling bank at 99 during an early syndication round and then placing it for sale on the WiseAlpha platform at 100.