FundingSecure, a regulated Peer-to Peer (P2P) firm, has been placed into administration and has appointed CG Recovery as administrators.

Funding Secure operates a P2P lending platform through a website facilitating crowdfunded loans which are used to fund the purchase and development of property, as well as pawn-broking style loans secured on items of value.

In a statement on the company’s website, Fundingsecure said its board of directors had resolved to place the firm into administration.

The administrators, CG Recovery Ltd, are now responsible for the business of Funding Secure Ltd. Among other things this means that they will seek to operate the P2P platform and credit investors with return of capital.

The Buckinghamshire-based company ran into trouble after an increased number of borrowers struggled to pay back their loans.

Funding Secure is thought to have 3,500 investors after providing 486 loans worth £80 million.

Funding Secure is the second peer-to-peer player to go into administration this year. Property lender Lendy collapsed in May.