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Post by skint4achange on Dec 20, 2017 13:11:31 GMT
This is really not very good. My wife's account needs to remain invested for a year to get her bonus. Her £5k has been repaid after 12 days! This could take up a lot of time, or I might just shut both of our accounts down and go elsewhere.
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Post by stevepn on Dec 20, 2017 14:11:37 GMT
This is really not very good. My wife's account needs to remain invested for a year to get her bonus. Her £5k has been repaid after 12 days! This could take up a lot of time, or I might just shut both of our accounts down and go elsewhere. I wouldn't be too hasty, keep trying and hopefully the new investments make the full year.
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sapphire
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Post by sapphire on Dec 20, 2017 14:27:51 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. Having regard to the number of recent experiences from poster's of the loans being prematurely repaid much sooner - a number of times the very next day - I think it is worth revisiting the question as to who is doing the refinancing - the borrower or RS. I have not been a borrower on RS so not sure if a borrower is able to refinance the loan the very next day after it has been matched or if there is a minimum holding period expected? As a lender on the Rolling market I am unable to withdraw from the loan the same day as being matched....and if I do so the next day then I get nil interest so effectively being penalised for loss of day's interest. Any idea if there there are similar restrictions or disincentives for the borrower to repay and refinance very soon after a match?
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Post by fiatlender on Dec 20, 2017 14:37:12 GMT
Currently two borrower offers for 682k @ 4.7% and £668k @ 4.4%, so may see rates push above 5.5% this afternoon sometime.
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sapphire
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Post by sapphire on Dec 20, 2017 14:47:51 GMT
Currently two borrower offers for 682k @ 4.7% and £668k @ 4.4%, so may see rates push above 5.5% this afternoon sometime. Just to make sure I understand correctly how this works. Is it the case that the borrower has agreed a certain rate with RS (say 10%) and RS is trying to finance this in the cheapest way possible and pocket the difference (between 10% and the rate it matches these loans against a lender)? So if a lender isn't found at the current bid rates of 4.4% and 4.7%, RS will increase these bid rates and match it with the least one(s) on offer in the next matching run?
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oldgrumpy
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Post by oldgrumpy on Dec 20, 2017 14:57:06 GMT
I would expect around 5.5% for one year this afternoon (5.6% looks borderline at this moment). Being a greedyoldgrump I don't usually enter the room at less than 5.7%.
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mary
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Post by mary on Dec 20, 2017 15:11:17 GMT
Currently two borrower offers for 682k @ 4.7% and £668k @ 4.4%, so may see rates push above 5.5% this afternoon sometime. Just to make sure I understand correctly how this works. Is it the case that the borrower has agreed a certain rate with RS (say 10%) and RS is trying to finance this in the cheapest way possible and pocket the difference (between 10% and the rate it matches these loans against a lender)? So if a lender isn't found at the current bid rates of 4.4% and 4.7%, RS will increase these bid rates and match it with the least one(s) on offer in the next matching run? I believe that you are correct. However predicting exactly how high rates go is a challenge, this is because RS will match a portion and pause as the email notifications go out, as this often causes money to flow in as investors realise that their target rate is now available. And when rates go much higher than usual it is often the case that those matches are magically repaid in days.
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Post by fiatlender on Dec 20, 2017 15:30:49 GMT
Just to make sure I understand correctly how this works. Is it the case that the borrower has agreed a certain rate with RS (say 10%) and RS is trying to finance this in the cheapest way possible and pocket the difference (between 10% and the rate it matches these loans against a lender)? So if a lender isn't found at the current bid rates of 4.4% and 4.7%, RS will increase these bid rates and match it with the least one(s) on offer in the next matching run? I'm not sure how the borrower side works when RS agree a loan, whether RS put the money on the market or the borrower themselves. I guess it's RS, as it seems to follow a patten of time left on the market at a lowish rate, then pushed up later to fill it. My only interest is trying to calculate how much money is waiting to be lent, how far rates will push up and at what time that is likely, thus maximising the interest rate I get.
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sapphire
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Post by sapphire on Dec 20, 2017 15:34:42 GMT
I would expect around 5.5% for one year this afternoon (5.6% looks borderline at this moment). Being a greedyoldgrump I don't usually enter the room at less than 5.7%. "Greed is Good"....by you know who :-) Seriously, having regard to other's experiences, aren't you concerned with being matched at a 'high rate' but then being very bumped off and repaid very quickly at the next earliest opportunity RS/borrower gets to refinance it? In your experience, has it been worth waiting to lock in at a 'high rate' but then find that you been repaid quickly? Or have you been amongst the lucky ones and have usually enjoyed the 'high rate' for a long period?
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Post by stevepn on Dec 20, 2017 15:44:24 GMT
I've just got 4.7% on 1 year but it will probably be paid back by January.
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Post by skint4achange on Dec 20, 2017 15:46:14 GMT
Well, you probably should have waited! It is now at 5.6%, AND CROSSED!
Edit: Not crossed, some people dropped their rates as the loan was being formed.
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Post by fiatlender on Dec 20, 2017 15:51:01 GMT
Did reach 5.6% at around 3:10pm.
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Post by stevepn on Dec 20, 2017 16:03:10 GMT
Well, you probably should have waited! It is now at 5.6%, AND CROSSED!
Edit: Not crossed, some people dropped their rates as the loan was being formed. At 5.6% they will be paid back by weekend.
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Post by skint4achange on Dec 20, 2017 16:17:41 GMT
Well, you probably should have waited! It is now at 5.6%, AND CROSSED!
Edit: Not crossed, some people dropped their rates as the loan was being formed. At 5.6% they will be paid back by weekend. The thing is, I reinvested my wife's money as it was repaid earlier. It was on loan at................................................. 5.2%
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oldgrumpy
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Post by oldgrumpy on Dec 20, 2017 16:22:16 GMT
I would expect around 5.5% for one year this afternoon (5.6% looks borderline at this moment). Being a greedyoldgrump I don't usually enter the room at less than 5.7%. "Greed is Good"....by you know who :-) Seriously, having regard to other's experiences, aren't you concerned with being matched at a 'high rate' but then being very bumped off and repaid very quickly at the next earliest opportunity RS/borrower gets to refinance it? In your experience, has it been worth waiting to lock in at a 'high rate' but then find that you been repaid quickly? Or have you been amongst the lucky ones and have usually enjoyed the 'high rate' for a long period? I don't actually wait for the high rates. If they are there at the time I happen to be looking and I have some repayment money which has been hanging about (max two days) I jump in. I often miss the good ones on one year because I've already gone into "rolling"* 4.2%-5.4% or a (now rare) 5 year deal at 6.2%+. I only had three one year deals, all recent. Two at 5.8%/5.6% early November are still running. One at 5.8% in Nov paid back 8 days later. If I can't get 4%+ on repayments I withdraw, and use funds elsewhere. Basically this is just repayments money which is "marking time". The only reason I usually can monitor platforms is because the computer is online most of the day for other purposes and it only takes a few minutes to keep aware of what is going on via the forum and the platforms themselves. * only 4.1% today
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