Solo Lender advice

I’ve used solo a few times and was helpful in my time of need even though it’s a little expensive to borrow. I want to start lending to make a little extra cash. The insurance that solo offers seems like a bad deal for the lender and you could potentially be losing money on lending. I saw somewhere that if I don’t get the insurance and the borrower doesn’t payback on time, solo charges the lender a recovery fee. Can someone explain what really happens? I don’t mind it being a little late but why would solo punish me when I’m funding the whole transaction. Also are there fees for lending if everything goes smoothly?