in ar·rears /əˈrirz/

Interest earned in one month is paid out during the following month.


Example : You transfer money to AlphaFlow on October 23rd and Alphaflow receives the funds on October 26th. AlphaFlow has you fully invested in 75 loans on November 2nd. You begin accruing daily interest on those loans on November 2nd, and receive your November earnings on December 31st.
  • October 23rd
    TRANSFER AUTHORIZATION

    You authorize a transfer of $10,000 to AlphaFlow.

  • October 26th
    RECEIVED FUNDS

    AlphaFlow receives your $10,000 and starts investing it into a few different loans.

  • November 2nd – 30th
    ACCRUAL

    AlphaFlow invests your funds across 75 loans, and you are owed 29 days of interest.

  • December 1st
    BORROWERS DEBITED

    Lenders debit borrowers to collect for November’s interest.

  • December 10th – 20th
    LENDERS PAY ALPHAFLOW

    Lenders distribute earnings to AlphaFlow.

  • December 31st
    PAYDAY

    AlphaFlow distributes earnings to investors on the last day of the month: you receive your 29 days of interest from November, minus a 1% AUM fee.

Note: this is an example to illustrate typical earning cycles, and may change based upon each individual lender.
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