registerme
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Post by registerme on Jan 6, 2018 11:34:52 GMT
I think I've managed to locate the loans in question, simply because I was in loans with serial numbers either side of those listed in a post above. As yet there appears to be nothing on the loan pages themselves updating investors, and by my observation it appears that these are "bespoke" security loans, not "secured & insured"? It would be helpful if an involved party could confirm (without breaching forum borrower id policy etc.). hugoarchover - I would urge you to make some public acknowledgement on the platform (not just to those invested, as defaults can feed into broader platform risk and are therefore everyone's concern) as quickly as your lawyers permit as these things don't stay quiet for long and speculation is often more damaging to confidence than the facts. I couldn't agree more. How a platform approaches default situations is critical to lender confidence.
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Post by ribble on Jan 12, 2018 16:00:26 GMT
I suspect that if you lent to them, I wouldn't have seen it coming either. DeafEater I was wondering if you had had a chance to look at the details and do your own DD? If so, did you find anything that would have put you off investing?
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DeafEater
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Post by DeafEater on Jan 12, 2018 23:36:25 GMT
On the surface they were looking OKish when S&I project 5215 launched but it turned out that was a refinance of 4140 so they didn't appear to be making headway with paying off the finance. Furthermore 5215 paid less interest than the loan it was replacing and given that company profit was going in the wrong direction, giving them a cheaper loan seemed a bit odd. Nevertheless I might have taken a punt on it. By the time 5216 and 5218 were launched, it was clear they were in serious trouble and anyone who bought 5215 was probably already kicking themselves. I can only assume the people buying into 5216 and 5218 were eternal optimists because the security was desperately thin.
There are rather a lot of loans on Archover that refinance previous ones which is OK if the company is making profits but if they aren't, it becomes a rather explosive game of pass the parcel and a nervous ear on the music. This of course happens in a lot of P2P lending but at least on Archover it's fairly visible because the companies have generally been around for a bit.
My biggest worry at the moment is P2P property lending which is full of special purpose vehicles (companies) created for a specific development with no company history or assets. Doing DD on them is tortuous as you have to go back through everything the company officers have been involved in for ages to find the skeletons in their respective cupboards. Add to that the criminal LTVs we are given by RICS 'professionals' which are sometimes obviously nonsense and other times only PROVED to be nonsense when the loan defaults and the security realises less than half of the declared value.
It ain't dull that's for sure.
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Post by stevepn on Jan 17, 2018 20:38:06 GMT
It will be interesting to watch Archover in action on what may be their first problem loans #5216 #5218 How did you find out about these problems on the loan?
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Steerpike
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Post by Steerpike on Jan 18, 2018 11:39:43 GMT
It will be interesting to watch Archover in action on what may be their first problem loans #5216 #5218 How did you find out about these problems on the loan? A sharp eyed fellow investor noted the appointment of administrators and the charges lodged by Archover.
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mary
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Post by mary on Jan 18, 2018 13:58:01 GMT
It will be interesting to watch Archover in action on what may be their first problem loans #5216 #5218 How did you find out about these problems on the loan? Apparently, all investors were emailed directly to inform them of the default. However, there is nothing on the platform, no default tab or even notes appended to the loan description, to indicate any problem. This is a concern, as anyone unsuspecting would assume that all loans are performing, giving an incorrect impression. Archover need to step up and be honest. Defaults are to be expected, but transparency is crucial to maintaining investor confidence.
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Post by stevepn on Jan 18, 2018 16:53:59 GMT
How did you find out about these problems on the loan? Apparently, all investors were emailed directly to inform them of the default. However, there is nothing on the platform, no default tab or even notes appended to the loan description, to indicate any problem. This is a concern, as anyone unsuspecting would assume that all loans are performing, giving an incorrect impression. Archover need to step up and be honest. Defaults are to be expected, but transparency is crucial to maintaining investor confidence. At the moment nobody has lost any money so strictly speaking there doesn't need to be anything on Archover website. Recovery of debts could take many months so why would they put potential lenders off?
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Steerpike
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Post by Steerpike on Apr 24, 2018 12:44:52 GMT
I wonder if lenders in these loans to M* S******** are satisfied with progress to date?
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