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Post by marx on Nov 20, 2017 14:47:18 GMT
I can't say that it's exactly filling me with enthusiasm, but I've had a nibble anyway. Same here, a nibble without relish. Judging by the number of loans to the same and related companies available on the SM, this would seem to be a pretty intense relationship for ABL.
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stevio
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Post by stevio on Nov 20, 2017 14:54:55 GMT
ablratePrevious borrowing proposals stated "Maximum 70% LTV of loans made"More recent borrowing proposals state: "The product is a revolving credit facility whereby the Company provides funding (via the direct purchase of the asset) to the borrower at up to 90% of the trade valuation of each motor car purchased by the customer for resale."Please can you clarify the LTV here?
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blender
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Post by blender on Nov 20, 2017 15:11:09 GMT
The 70% is against retail (selling) value. The 90% is against trade (purchase) valuation.
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stevio
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Post by stevio on Nov 20, 2017 15:41:52 GMT
The 70% is against retail (selling) value. The 90% is against trade (purchase) valuation. Where does it say that? So if TRADE was 10k, then 90% is 9k If RETAIL was 13k, then 70% is 9.1k Is that right?
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Post by df on Nov 20, 2017 17:27:52 GMT
I can't say that it's exactly filling me with enthusiasm, but I've had a nibble anyway. Same here, a nibble without relish. Judging by the number of loans to the same and related companies available on the SM, this would seem to be a pretty intense relationship for ABL. Not much enthusiasm from me. Just a nibble to show some support. I already have enough in four other loans. So far (5.25pm) 45% is still to be filled.
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blender
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Post by blender on Nov 20, 2017 17:39:22 GMT
The 70% is against retail (selling) value. The 90% is against trade (purchase) valuation. Where does it say that? So if TRADE was 10k, then 90% is 9k If RETAIL was 13k, then 70% is 9.1k Is that right? Sorry I did not read your post properly and did not notice you spoke about earlier loans. In the details of this new one it says 'The business is owned by *** and monitored by Ablrate to ensure that the loan represents no more than 70% of the current retail value (according to CAP Retail Value) of the underlying vehicles'. You have quoted a statement about trade valuation being 90% LTV. These are approx. the same thing, and in those Leeds loans it LTV 70% on retail and I assume the same in the old loan. I cannot read it because the trade link on the SM is broken. As far as I am concerned the proper LTV is 90% on the book value. This particular loan is one of the better car loans from that borrower, imo, but I am already over-exposed. Edit. Have now seen 73 and the 'details' say the same thing, 70% of retail etc.
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ceejay
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Post by ceejay on Nov 20, 2017 18:12:18 GMT
Nothing against this loan per se, but I already have a chunk of this business via other loans here and don't feel like taking any more.
More diversification, please - there are way too many related loans on this platform for my liking.
I like the way the site works and I have money burning a hole in my pocket to invest, but they're not getting any more until this is corrected.
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kaya
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Post by kaya on Nov 20, 2017 18:53:49 GMT
Then you go to another place ceejay coz that is the way it is around these parts
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Post by thewizard on Nov 20, 2017 19:53:38 GMT
I don't have anything in the previous loans. Although it is concerning when a company takes out more than a few loans, that's a lot of money to earn a month to pay back.
Is this a concern of anyone, especially if you have invested previously
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stevio
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Post by stevio on Nov 20, 2017 19:57:18 GMT
I don't have anything in the previous loans. Although it is concerning when a company takes out more than a few loans, that's a lot of money to earn a month to pay back. Is this a concern of anyone, especially if you have invested previously Their business model is to borrow money to lend out, they actually make more profit the more they borrow and subsequently lend. We assume they know their business and know how much they need to lend out
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blender
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Post by blender on Nov 20, 2017 21:21:35 GMT
Agree with Stevio. The borrower is not more risky because it is larger - perhaps the opposite. But you have to limit how much you risk with one borrower and one type of asset (car finance).
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78
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Post by 78 on Nov 20, 2017 21:56:06 GMT
Only recent loan that we have passed on.
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Post by investorman on Nov 21, 2017 7:38:25 GMT
This made me realise how over-exposed I was to this borrower, did not partake and sold half of what I had.
Bring on the yacht later this week and the planes soon after!
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shuff27
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Post by shuff27 on Nov 21, 2017 7:44:32 GMT
I'm also up to my limit in car loans. Will be taking an extra hard look at the yacht - still stuck in the FS powerboat so wary about floating assets!
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ceejay
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Post by ceejay on Nov 21, 2017 9:49:03 GMT
Then you go to another place ceejay coz that is the way it is around these parts Well, indeed, and I am in other places. However DD on a platform is at least as important as DD on loans, and there aren't many platforms I like. Additionally, I've set my IFISA for this year in ablrate and, as things stand, I won't be able to use anything like as much of my ISA allowance as I would have liked. I may end up having to put some into a Cash ISA just to use my allowance for the year, and then move it on from there, which is a pain.
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