EdAid is a peer-to-peer lending platform that connects students looking to borrow the funds needed for their Higher Education with the community (Lenders) who are motivated to support the students. EdAid itself does not lend money to borrowers1.
EdAid is a social enterprise and our mission is to build a fairer, more sustainable education funding system, which aims to reduce the cost for students, broaden access to education and enable the community to get behind the students they believe in.
EdAid also acts as a great way for students to surface their profile with potential employers, showcase their talent and take greater control over their financial future.
It is however, important to note that students should only ever borrow what they can afford to repay back. Whilst there are no interest charges added by EdAid, your repayments are linked to inflation and as such may rise or fall in line with the CPI. CPI Indexation Rate will be set monthly in line with the rate of CPI in the UK as reported by the Office of National Statistics (ONS) and 1/12th of this rate will applied to the borrower’s account each month.
In addition, EdAid charges a ‘one-time 5% facilitation fee, equivalent to 5p for every pound you borrow via the platform.
EdAid does not charge any fees to lenders looking to support students, nor is EdAid ever party to a loan. We do administer the loan on behalf of the borrower and lender until the loan is fully repaid.
All loans funded via EdAid are repaid via income based repayments set at 10% of a graduate’s net monthly income. A borrower will only pay when they are receiving income, and repayments are flexible to accommodate all life’s ups and downs. If a borrower is struggling or finds themselves not earning, repayments will be reduced to Zero, until a borrower is earning again. EdAid is even here to help borrowers find employment when they graduate or if their circumstances change.
Below you will find the EdAid Principles document. This outlines the principles behind using the EdAid platform and you will need to read and agree to these Principles fully prior to being authorised to use EdAid.
If you have any questions, or any element of the process is not clear please feel free to reach out to the customer support team via email@example.com
If it is necessary for EdAid to instruct a Collection Agency to collect any outstanding sums the Borrower agrees to pay a Collection Fee as set out in Principle 7.6 and related costs and charges as set out in Principle 7.7.
In these Principles the following words have the following meanings:
"Amount of Credit"
means the capital sum borrowed under the Loan Contract exclusive of any Fees and Charges;
"Annual Lender Fee"
EdAid does not charge an Annual Lender Fee;
“Appeal Closing Date”
means the last date until which the Borrower’s Loan Appeal is active on the EdAid platform
means all laws, regulations, rules and regulatory guidance applicable to the operation of the Lending Platform and/or the Loan Contracts;
means a EdAid Customer who borrows money under a Loan Contract;
means the amount that you, as a potential Borrower, would like to borrow via the Lending Platform and the purpose for which you want to use it;
means the educational course you intend to fund as part of your Loan Appeal
means a collections agency as we or EdAid may use at any time;
means the consumer price index provided by the Office of National Statistics;
“CPI Indexation Rate”
means the simple average of the 12 months CPI data from the previous calendar year and used for the calculation of the monthly Indexation. For the year 2015, the rate was 0.04% and is applicable for Indexation Calculation from 01 April 2016.
means a credit rating supplied by Equifax plc or such other credit reference agency that we may use from time to time in relation to a EdAid Customer for use in connection with the Lending Platform;
"Credit Worthiness Assessment"
means a Credit Worthiness Assessment performed on all borrowers taking into account a number of factors including any existing debts you may have, your course of study, your university of choice, your future salary and ability to repay;
means Information that a Customer uploads, publishes or displays on or through the Lending Platform, EdAid web site(s) or EdAid's blog or discussion boards, or transmits to or shares with other EdAid Customers; and "your Customer Content" means Customer Content that you have so uploaded, published or displayed.
has the meaning given to it in Principle 6.15;
means EdAid Limited, whose details are provided in Principle 19;
means, in relation to each EdAid Customer, the part of our website which can only be accessed using that EdAid Customer's own Passcodes;
"EdAid Customer" (and “Customer”)
means an individual who has completed the registration process in Principle 2 and chosen his or her own Passcodes;
"EdAid Customers' Account"
means any segregated bank account we maintain with GoCardless (or such other UK financial services provider as we may choose from time to time) for the sole purpose of holding funds to which EdAid Customers are beneficially entitled in accordance with these Principles and/or any Loan Contract;
means all Information delivered to you by us during your use of the Lending Platform (including but not limited to the credit report monitoring, personal credit scores and loan pricing Information), including all copyright, database rights and all other intellectual property rights in such Information;
means conditions set out in Principle 2 which you have to satisfy to be registered as a EdAid Customer;
means the fee charged by us for enabling you to borrow on the Lending Platform;
"Fees and Charges"
means the indexation, fees and charges described in Principle 7;
means the indexation applied monthly to account for CPI inflation. The first indexation period being the next full calendar month following the Appeal Closing Date. There will be no partial monthly indexation. The indexation will be applied monthly at a rate of 1/12th of the CPI Indexation Rate.
means any information (including text, numerics and still and moving images).
“Intellectual Property Rights”
means patents, rights to inventions, copyright and related rights, trade marks, business names and domain names, rights in get-up, goodwill and the right to sue for passing off, rights in designs, database rights, rights to use, and protect the confidentiality of, confidential information (including know-how), and all other intellectual property rights, in each case whether registered or unregistered and including all applications and rights to apply for and be granted, renewals or extensions of, and rights to claim priority from, such rights and all similar or equivalent rights or forms of protection which subsist or will subsist now or in the future in any part of the world.
means a EdAid Customer who lends money under a Loan Contract and, for the purposes of enforcing a Loan Contract, includes any person to whom a Lender has transferred his or her rights under that Loan Contract;
means the peer-to-peer lending marketplace which EdAid operates at www.EdAid.com for the purpose of matching Market Offers and Confirmed Bids;
means the Loan Agreement, incorporating the Principles, that is agreed when a Borrower's Loan Appeal is matched with a Lender's loan, recording a loan to the specified Borrower from the specified Lender;
means the current account you have with a UK bank from which you authorise us to collect Repayments under the direct debiting scheme via GoCardless, and/or to which we will make any payments due to you, as the case may be;
means your unique email address, password, answers to security questions, which you specify when you register with us to use the Lending Platform;
means the Information we obtain about you from you, from our enquiries and from other organisations, such as credit reference and fraud prevention agencies. Examples of Personal Information include (1) Information from application and assessment forms; (2) your requests and instructions; (3) details and analysis of how you meet your obligations under this agreement or other agreements you have with us; and (4) other Information we get from making offers to you;
means (1) the production of tobacco products or alcoholic drinks (other than locally based specialist producers of beers, wines and/or spirits); (2) the production, distribution or sale of arms, ammunition, weapons, military equipment and/or pornography; and (3) any activity which, in the reasonable opinion of the Secretary of State for Business, Innovation and Skills (a) poses or could pose a threat to national security or (b) results, or is likely to result in a Reputational Event;
means each instalment due and payable by the Borrower under each Loan Contract, which shall comprise principal and indexation costs, as well as any amount otherwise due and payable by the Borrower under the Loan Contract;
means the publication or broadcast (or proposed or threatened publication or broadcast) of any negative publicity, or publicity which might reasonably be expected to materially damage the reputation of the Secretary of State for Business, Innovation and Skills.
1 CONC 3.3.1R
2 CONC 4.3.4R
3 CONC 5.5.4R
4 CONC 5
5 CONC 7
6 97, 97A CCA
7 CONC 11.2R
8 CONC 4.3.4R
9 CONC 7.17 and CONC 7.2.1R
10 Section 76, 87, 88, 89 CCA
11 CCA 76
12 78A, 93 CCA
13 CONC 7.13