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in ar·rears /əˈrirz/

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


Example : You transfer money to AlphaFlow on October 30th and Alphaflow receives the funds on November 2nd. AlphaFlow has you fully invested in 75 loans on November 9th. You begin accruing daily interest on those loans on November 9th, and receive your November earnings on December 31st.
  • October 30th
    TRANSFER AUTHORIZATION

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

  • November 2nd
    RECEIVED FUNDS

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

  • November 9th – 30th
    ACCRUAL

    AlphaFlow invests your funds across 75 loans, and you are owed 22 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 22 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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