benaj
Member of DD Central
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Post by benaj on Dec 14, 2017 10:48:09 GMT
It was much higher than 4.1% yesterday. Now, it is being slashed to 4.1%. Could this be the result of MARKET RATE manipulation?
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Post by skint4achange on Dec 14, 2017 11:14:55 GMT
Not as far as I can see. It appears to be the result of passive investors who have probably set their reinvestment levels a while ago and not been keeping up to date with what the market %'s have been doing.
The rate will drop to the lowest % rate of available investor funds. If you look though, it only requires £120k of loans to get the rate back to 5%.
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TheDriver
Member of DD Central
Slightly bonkers
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Post by TheDriver on Dec 14, 2017 21:49:24 GMT
TBH I'm quite happy that there are many content with low rates; it makes RS more attractive to borrowers and more profitable, which can only be good for active investors playing for higher rates!
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benaj
Member of DD Central
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Post by benaj on Dec 15, 2017 11:33:15 GMT
It's getting worse. 3.8% matched @ 11:17
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oldgrumpy
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Post by oldgrumpy on Dec 15, 2017 11:55:32 GMT
Panic ye not saith the Lord. All of a sudden it will come to pass that RS will discover a "borrower" who wants many hundreds of grand - and careful placing of thy bets will be rewarded with 5-6%. Keep thine eyes open, though. Verily, I have missed 5.8/5.9% twice in the last fortnight.  |
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Post by stevepn on Dec 15, 2017 14:34:06 GMT
It's getting worse. 3.8% matched @ 11:17 Just be patient, it will soon go up.
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Post by skint4achange on Dec 15, 2017 16:22:30 GMT
It's getting worse. 3.8% matched @ 11:17 Are you new to Ratesetter?? 
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happy
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Post by happy on Dec 15, 2017 16:57:04 GMT
Panic ye not saith the Lord. All of a sudden it will come to pass that RS will discover a "borrower" who wants many hundreds of grand - and careful placing of thy bets will be rewarded with 5-6%. Keep thine eyes open, though. Veriy, I have missed 5.8/5.9% twice in the last fortnight. As wise as he is grumpy. I wont mention the old part 
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ashtondav
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Post by ashtondav on Dec 15, 2017 18:14:34 GMT
'Tis the season to be jolly, but not lending. It's always slow and low in December, so enjoy the mince pies, rub yer hands and get ready for the borrowers to pile in in January.
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sapphire
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Post by sapphire on Dec 15, 2017 18:29:39 GMT
It's getting worse. 3.8% matched @ 11:17 As others have alluded, patience can be rewarding on this platform. Rushing and investing immediately to try and avoid cash drag may not be the best strategy....e.g. the return on an investment @ 3.8% for 365 days is surpassed by a return of say @ 5.5% for 253 days i.e. in this instance it can be worth waiting 112 days....there is of course a possible risk that the rates may decline ...seems low in the currently economic climate.
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TheDriver
Member of DD Central
Slightly bonkers
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Post by TheDriver on Dec 15, 2017 20:54:08 GMT
I've matched at 5.6 - 6.1 in then past month, the latest just 4 days ago. Happy to hold on for richer pickings, although not yet sure if 5+% contracts will be sustained for the full term.
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sapphire
Member of DD Central
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Post by sapphire on Dec 15, 2017 22:47:38 GMT
I've matched at 5.6 - 6.1 in then past month, the latest just 4 days ago. Happy to hold on for richer pickings, although not yet sure if 5+% contracts will be sustained for the full term. Presumably Ratesetter regularly monitors the loans and *prematurely* pays off those lenders with a 'high' contractual rate and matches it to someone willing to accept a lower rate?
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dorset
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Post by dorset on Dec 15, 2017 22:52:20 GMT
I've matched at 5.6 - 6.1 in then past month, the latest just 4 days ago. Happy to hold on for richer pickings, although not yet sure if 5+% contracts will be sustained for the full term. Presumably Ratesetter regularly monitors the loans and *prematurely* pays off those lenders with a 'high' contractual rate and matches it to someone willing to accept a lower rate? Exactly. I had 18 separate loans made in September all at 6%+ which were all paid back last week. Save your time and effort RS will dump you as soon as they can refinance at a lower rate.
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sapphire
Member of DD Central
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Post by sapphire on Dec 15, 2017 23:05:56 GMT
Presumably Ratesetter regularly monitors the loans and *prematurely* pays off those lenders with a 'high' contractual rate and matches it to someone willing to accept a lower rate? Exactly. I had 18 separate loans made in September all at 6%+ which were all paid back last week. Save your time and effort RS will dump you as soon as they can refinance at a lower rate. Thanks. What a waste of time and providing false hope...it may be legal but surely not in the spirit of things....may generate RS extra profits in the short term but surely it doesn't build customer loyalty.
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smezz
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Post by smezz on Dec 16, 2017 7:30:49 GMT
Assuming it's the borrowers refinancing and not RS they are of course entitled to do it.
What is missing is some penalty for early redemption going to the the lender.
If for some reason this can't be charged directly to the borrower (I read somewhere that certain loans can't charge for early redemption) it should come from the extra profit made by RS from the second loan.
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