alender
Member of DD Central
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Post by alender on Dec 22, 2017 17:52:25 GMT
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Post by dan1 on Mar 12, 2018 17:02:36 GMT
Tracker rate has been reduced to 3.06% annualised following 3-Month LIBOR reduction to 0.52% (simple interest rate is 3-Month LIBOR + 2.50%) repriced as at 1 Jan 2018.
There appears to be no selling queue at present, at least for modest liquidations.
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macq
Member of DD Central
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Post by macq on Mar 12, 2018 17:21:41 GMT
Tracker rate has been reduced to 3.06% annualised following 3-Month LIBOR reduction to 0.52% (simple interest rate is 3-Month LIBOR + 2.50%) repriced as at 1 Jan 2018. There appears to be no selling queue at present, at least for modest liquidations. A bit confused - my wife's email about the change says the new rate does not apply to old investments only new & auto re-investments (so maybe no need to sell) But if its a tracker don't the rates change on all trackers up & down hence the name?
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puddleduck
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Post by puddleduck on Mar 12, 2018 17:28:38 GMT
Tracker rate has been reduced to 3.06% annualised following 3-Month LIBOR reduction to 0.52% (simple interest rate is 3-Month LIBOR + 2.50%) repriced as at 1 Jan 2018. There appears to be no selling queue at present, at least for modest liquidations. A bit confused - my wife's email about the change says the new rate does not apply to old investments only new & auto re-investments (so maybe no need to sell) But if its a tracker don't the rates change on all trackers up & down hence the name? I had a quick look, new investments made as of now are at the new rate, my original tracker account still seems to be a fair few percentage points higher, so appears to be new money or investments only.
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Post by dan1 on Mar 12, 2018 17:31:39 GMT
Tracker rate has been reduced to 3.06% annualised following 3-Month LIBOR reduction to 0.52% (simple interest rate is 3-Month LIBOR + 2.50%) repriced as at 1 Jan 2018. There appears to be no selling queue at present, at least for modest liquidations. A bit confused - my wife's email about the change says the new rate does not apply to old investments only new & auto re-investments (so maybe no need to sell) But if its a tracker don't the rates change on all trackers up & down hence the name? I don't quite understand why rates on all of your tracker investments don't move in line with the rate change but that's the way they do it... and it suits when rates move down as is the situation here. I meant to sell a month before the end of the tax year to repatriate a flexible ISA. I suspect a few others will be doing the same so wanted to get in before the rush.
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Post by Deleted on Mar 12, 2018 21:11:02 GMT
A bit confused - my wife's email about the change says the new rate does not apply to old investments only new & auto re-investments (so maybe no need to sell) But if its a tracker don't the rates change on all trackers up & down hence the name? I don't quite understand why rates on all of your tracker investments don't move in line with the rate change but that's the way they do it... and it suits when rates move down as is the situation here. I meant to sell a month before the end of the tax year to repatriate a flexible ISA. I suspect a few others will be doing the same so wanted to get in before the rush. I have to admit despite it being a relatively simple platform in terms of lender options this has me bewildered. If I choose the fixed option then clearly my investment remains at that rate until repaid or it reverts to variable after a period. However the variable rate doesnt appear to be variable at all and remains fixed when the variable rate changes so is there any actual difference!
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macq
Member of DD Central
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Post by macq on Mar 12, 2018 21:39:29 GMT
I don't quite understand why rates on all of your tracker investments don't move in line with the rate change but that's the way they do it... and it suits when rates move down as is the situation here. I meant to sell a month before the end of the tax year to repatriate a flexible ISA. I suspect a few others will be doing the same so wanted to get in before the rush. I have to admit despite it being a relatively simple platform in terms of lender options this has me bewildered. If I choose the fixed option then clearly my investment remains at that rate until repaid or it reverts to variable after a period. However the variable rate doesnt appear to be variable at all and remains fixed when the variable rate changes so is there any actual difference! think the difference is that it must change for the borrowers - so do you think we should keep quite? 
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Post by df on Mar 12, 2018 21:44:33 GMT
A bit confused - my wife's email about the change says the new rate does not apply to old investments only new & auto re-investments (so maybe no need to sell) But if its a tracker don't the rates change on all trackers up & down hence the name? I don't quite understand why rates on all of your tracker investments don't move in line with the rate change but that's the way they do it... and it suits when rates move down as is the situation here. I meant to sell a month before the end of the tax year to repatriate a flexible ISA. I suspect a few others will be doing the same so wanted to get in before the rush. This is far too low. I meant to withdraw at anniversary a couple of months ago, but didn't due to laziness and no urgency to place these funds anywhere else. 99% of my money there on 3.52% and 1% on 3.22%, which is already too low for p2p market... I've turned re-invest button off for now, but it is the time for me to sell off and re-invest elsewhere. Also the anniversary figures didn't add up, I was expecting to receive 3.5% interest - received 2.3%.
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sandbrain
Member of DD Central
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Post by sandbrain on Mar 12, 2018 21:52:08 GMT
Previous rate was LIBOR + 2.7% and invested funds will continue to attract that rate (currently 3.22%) unless LIBOR changes. Any new investments or reinvestments will be LIBOR + 2.5% and will show up on the dashboard as a separate investment pot.
What I don't understand is the comment in the notification email:
"As a peer-to-peer lender, our investment rates will always reflect borrower demand and recently we have been seeing a stronger demand for Fixed Rate Mortgages. To ensure that we are able to offer both investors and borrowers competitive products, we have reduced our Tracker Rate."
However, I would have thought that if there is stronger borrower demand, there could be a need to increase lender rates to attract more investors, rather than reduce rates...
EDIT: and yes, I've turned reinvest off too.
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Post by df on Mar 12, 2018 22:06:36 GMT
Previous rate was LIBOR + 2.7% and invested funds will continue to attract that rate (currently 3.22%) unless LIBOR changes. Any new investments or reinvestments will be LIBOR + 2.5% and will show up on the dashboard as a separate investment pot. What I don't understand is the comment in the notification email: "As a peer-to-peer lender, our investment rates will always reflect borrower demand and recently we have been seeing a stronger demand for Fixed Rate Mortgages. To ensure that we are able to offer both investors and borrowers competitive products, we have reduced our Tracker Rate."
However, I would have thought that if there is stronger borrower demand, there could be a need to increase lender rates to attract more investors, rather than reduce rates... EDIT: and yes, I've turned reinvest off too. I've just sold off. Money appeared in my cash account immediately and withdrawal will be processed tomorrow. That is very quick!
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macq
Member of DD Central
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Post by macq on Mar 12, 2018 22:08:40 GMT
Previous rate was LIBOR + 2.7% and invested funds will continue to attract that rate (currently 3.22%) unless LIBOR changes. Any new investments or reinvestments will be LIBOR + 2.5% and will show up on the dashboard as a separate investment pot. What I don't understand is the comment in the notification email: "As a peer-to-peer lender, our investment rates will always reflect borrower demand and recently we have been seeing a stronger demand for Fixed Rate Mortgages. To ensure that we are able to offer both investors and borrowers competitive products, we have reduced our Tracker Rate."
However, I would have thought that if there is stronger borrower demand, there could be a need to increase lender rates to attract more investors, rather than reduce rates... EDIT: and yes, I've turned reinvest off too. would agree about demand but also think they are getting to the point where they will lose lenders as even if it does appeal to people who like to set & forget the lower rate is noticeable
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sandbrain
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Post by sandbrain on Mar 12, 2018 22:25:09 GMT
I guess I'm lucky that 99.5% of my investments are at 3.87% (LIBOR + 3.35%). The rest <£200 is queued at 3.22%. If one wants to withdraw funds from the investment queue, it is necessary to request this via support. I probably won't bother for such a small amount. Definitely won't be putting new money in though.
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