CredMint Opinion

Cred mint is much much much less riskier than bharatpe 12% like probably 90% less riskier

You have institutions like CRISIL and ICRA rating FDs and bonds in India. These ratings are widely advertised by big and small organisations when they take depositors money and you have a sense of what's a safe investment and what's not by cross checking with the track record of companies and their balance sheets. What's Cred Mint's rating that indicates risk for depositors? The fact is that they are moving into lending business with none of the conventional metrics of risk revealed to depositors. That should be a red line for you. Would you give 10k to your neighbour who promises you 15% return without any access to his balance sheets?

Bharatpe pays 12% Why to take this much risk and earn 3% less

Better take top rated FD such as Sriram finance with interest rate of 8.5% or bajaj finance with 8% . Lending is very risky and you should only put money which you can forgot if lost.

Don't. I have no idea about credmint or what they offer but as a principle, don't.
For an extra 1-2% you have no idea how much risk you're taking. Don't chase yield without knowing the risks. Peace of mind >>>>

Common sense, the person who is in loss, how long he can give you money ?

Having experienced Credmint first hand, I'd say it's a riskier bet, but you will surely get 9% return. Credmint and Bharatpe are doing the same thing. They have a few NBFC's backing them like Liquiloans and LenDen club. These NBFCs work as P2P lenders which means they pool money from you and me and give micro loans to people who need money. Now they need Cred and Bharatpe's help since they have huge reach and customer base.
How risk is managed, you may ask?
They tend to give loans out of your money to many individuals and not to one individual alone. This makes sure if one or two people defaults, your money is still getting repaid by the others.
I have had my money invested in Credmint, 12% club, India P2P and never faced a challenge yet. You, however need to be extra vigilant and keep tracking the news and dynamics of these companies.
How are they giving 9% return? They tend to loan money at a whopping 18%-24% since these are unsecured loans. You and I get a good 9%-12%. Cret and Bharatpe also charge a commission from these NBFCs

One should not lose capital for getting 1.5% higher returns which he/she doesn't understand how it works.

I think you might not have read the terms and conditions part where they mention about solvency scenario. There are lot of red flags.

The Q is why? If for a short term (which is seems like a reason) use debt funds and they will give same return cosindering interest rate hikes.