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Post by Badly Drawn Stickman on Jan 15, 2018 13:14:37 GMT
Hi ingwer , Currently we rely solely on investor funding whereas other platforms may have institutional/wholesale funding lines. This may be something we have to look at ourselves in the future. Many thanks, Gordon Have you considered the albeit unlikely scenario that maybe the loan quality is the problem and not your investors?
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ingwer
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Post by ingwer on Jan 15, 2018 13:37:43 GMT
Hi collateral Thanks for joining in. If you can, can you explain how you see the current slow filling loans working. Will Collateral allow the loans (e.g. Ch*******field and Ro****y) to continue filling slowly perhaps for another few weeks to see them over the line? Or are there other options ? (Edit: redacted)
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Post by Collateral Rep on Jan 15, 2018 13:49:53 GMT
Hi ingwer, We are looking at other options, however there will be a cut off point if the loans don't fill. We're monitoring them closely and will make a decision on both of these by the end of the week. Many thanks, Gordon
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oik
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Post by oik on Jan 15, 2018 14:54:05 GMT
Have you considered the albeit unlikely scenario that maybe the loan quality is the problem and not your investors? Afraid that's the factor that limits what I invest on Collateral, not the lack of funds looking for a home. Including, in common with other platforms, those questionable valuations. There are also too many loans going to the same few people (who, in some cases, seem to have no history of previously having completed a development). The risk from picking up a poor quality loan is increased by the way their SM operates, whereby all payment of interest stops as soon as an attempt is made to sell a holding. Which could mean weeks or months of lost interest. So I need to be very certain of holding any Coll loan to term before I buy-in as a change of mind could be costly. Where a loan is as slow-selling as the Stockport loan then it's likely to be equally slow, and therefore expensive, to exit early. Result being that if in any doubt I'll walk away and put my funds somewhere else. Sorry.
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ingwer
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Post by ingwer on Jan 15, 2018 19:23:11 GMT
Hi ingwer , We are looking at other options, however there will be a cut off point if the loans don't fill. We're monitoring them closely and will make a decision on both of these by the end of the week. Many thanks, Gordon Hi Collateral I am not sure if this is 1 of the options, but a lower LTV was mentioned as a suggestion on a previous post regards Ch***********d. I don't see the Collateral SM widely different to slow movers on Lendy as a DFL sale I had there took nearly 4 weeks to sell as, annoyingly, their new(?) policy of issuing multiple new and unfulfilled tranches clogged the SM. Extended loans are different on COL too as interest is then paid.
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7d7
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Post by 7d7 on Feb 3, 2018 14:05:28 GMT
I would invest in a Galaxy Ripple bar right now :-) Thanks for sharing tips too. Too much of a roller coaster for me. For instance FS seem to fill all their property loans - COL is lagging for some reason despite a similar type of loan and better in clarity and communication IMHO. FS seem to fill all their property loans? Really? Not in my experience. I've seen unfilled loans on their site hang around for long periods of time. Loans have equally been cancelled due to lack of investor appetite. Loan quality is an issue that permeates all p2p platforms and I would like to see improvements particularly in valuations, which in my view, favours the borrower. Overvalued property permits borrowers to aim for the skies using the magic maximum 70% ltv. They can happily part with the presented security having received a huge wad of notes in their pockets. If platforms do not act, it may eventually lead to a mass exodus of lenders from the industry. It would be interesting to ascertain the percentage of loans filled via institutional/wholesale funding lines across all platforms. The more funding lines each can access, the less significant an individual investor is to them.
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izigor
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Post by izigor on Feb 3, 2018 20:20:57 GMT
Hi, I've just read this thread and would like to share my little story which I think may (or may not) perhaps provide some info on COL's alledged weakness on filling some loans.
Since 2016 until last year, I was a big, BIG fan of LY. I was into share-trading before that - strangely successful for four years (it started as an experiment, but I became confident over time). Pre-Brexit election date, I liquidated all shares, just to be on the careful side. After the referendum, I didn't have the courage to put money back in stocks and tried to leave a bit of money in P2P while I figure out when to jump back in. That's how I discovered LY. At the beginning I was having my emails with LY were being responded to within minutes, all my questions were being answered in a direct, straight language. It was great service and the 12% alleviated to some extent my absence in share-trading and with much diminished risks. Soon I grew to love it and had a very large portion of my capital in LY. Then as most of you will know, this place transformed completely, turning on its head, killed liquidity, diminished ROI, accumulating defaults etc. I came out big time last year, where I managed to take the majority of my money out of the platform.
I went out and joined two others (FS & RBs). I only managed to trust them with a fraction of the capital I had removed from LY (I had grown sceptical due to my experience at LY) . Over some time, some of the sitting capital found its way, counter-productively back to LY because I couldn't find a better alternative. The thing is, despite my research when I started leaving LY, I didn't look into COL (I don't remember why) until a couple of days ago, when a kind soul (Stuart) gave me a 'charming' pointer. I've only done a little research so far but I can tell already that If I knew about COL 6-10 months ago, I would have invested in a relatively good amount by now. So, my point is, if people who, like me, are actively looking for LY alternative, didn't find COL, (even if the fault might be mine) then there may be others. The one that originally drew me to LY was the "BIG %" return, the liquidity in the secondary market and No loss of capital. I can see COL has two of these already. If it has good enough liquidity in the Secondary Market, then I'm in BIG time.
P.S: Thanks to the posters who post their strategies and give indication on the areas of concern they look for when choosing investments - I find them to be good education and, yes, the onus of doing the research and decisions on investment are entirely mine.
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littleoldlady
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Running down all platforms due to age
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Post by littleoldlady on Feb 3, 2018 20:48:13 GMT
Hi, I've just read this thread and would like to share my little story which I think may (or may not) perhaps provide some info on COL's alledged weakness on filling some loans. Since 2016 until last year, I was a big, BIG fan of LY. I was into share-trading before that - strangely successful for four years (it started as an experiment, but I became confident over time). Pre-Brexit election date, I liquidated all shares, just to be on the careful side. After the referendum, I didn't have the courage to put money back in stocks and tried to leave a bit of money in P2P while I figure out when to jump back in. That's how I discovered LY. At the beginning I was having my emails with LY were being responded to within minutes, all my questions were being answered in a direct, straight language. It was great service and the 12% alleviated to some extent my absence in share-trading and with much diminished risks. Soon I grew to love it and had a very large portion of my capital in LY. Then as most of you will know, this place transformed completely, turning on its head, killed liquidity, diminished ROI, accumulating defaults etc. I came out big time last year, where I managed to take the majority of my money out of the platform. I went out and joined two others (FS & RBs). I only managed to trust them with a fraction of the capital I had removed from LY (I had grown sceptical due to my experience at LY) . Over some time, some of the sitting capital found its way, counter-productively back to LY because I couldn't find a better alternative. The thing is, despite my research when I started leaving LY, I didn't look into COL (I don't remember why) until a couple of days ago, when a kind soul (Stuart) gave me a 'charming' pointer. I've only done a little research so far but I can tell already that If I knew about COL 6-10 months ago, I would have invested in a relatively good amount by now. So, my point is, if people who, like me, are actively looking for LY alternative, didn't find COL, (even if the fault might be mine) then there may be others. The one that originally drew me to LY was the "BIG %" return, the liquidity in the secondary market and No loss of capital. I can see COL has two of these already. If it has good enough liquidity in the Secondary Market, then I'm in BIG time. P.S: Thanks to the posters who post their strategies and give indication on the areas of concern they look for when choosing investments - I find them to be good education and, yes, the onus of doing the research and decisions on investment are entirely mine. IMHO Col is on the same trajectory as Ly, but it started up years later so is further behind on the curve, but I expect them to resemble Ly more and more as time goes by. They are lending to the same borrower set who cannot get loans from traditional lenders for very good reasons and have to pay interest of c20% including costs.
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GeorgeT
Member of DD Central
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Post by GeorgeT on Feb 4, 2018 0:10:24 GMT
Hi, I've just read this thread and would like to share my little story which I think may (or may not) perhaps provide some info on COL's alledged weakness on filling some loans. Since 2016 until last year, I was a big, BIG fan of LY. I was into share-trading before that - strangely successful for four years (it started as an experiment, but I became confident over time). Pre-Brexit election date, I liquidated all shares, just to be on the careful side. After the referendum, I didn't have the courage to put money back in stocks and tried to leave a bit of money in P2P while I figure out when to jump back in. That's how I discovered LY. At the beginning I was having my emails with LY were being responded to within minutes, all my questions were being answered in a direct, straight language. It was great service and the 12% alleviated to some extent my absence in share-trading and with much diminished risks. Soon I grew to love it and had a very large portion of my capital in LY. Then as most of you will know, this place transformed completely, turning on its head, killed liquidity, diminished ROI, accumulating defaults etc. I came out big time last year, where I managed to take the majority of my money out of the platform. I went out and joined two others (FS & RBs). I only managed to trust them with a fraction of the capital I had removed from LY (I had grown sceptical due to my experience at LY) . Over some time, some of the sitting capital found its way, counter-productively back to LY because I couldn't find a better alternative. The thing is, despite my research when I started leaving LY, I didn't look into COL (I don't remember why) until a couple of days ago, when a kind soul (Stuart) gave me a 'charming' pointer. I've only done a little research so far but I can tell already that If I knew about COL 6-10 months ago, I would have invested in a relatively good amount by now. So, my point is, if people who, like me, are actively looking for LY alternative, didn't find COL, (even if the fault might be mine) then there may be others. The one that originally drew me to LY was the "BIG %" return, the liquidity in the secondary market and No loss of capital. I can see COL has two of these already. If it has good enough liquidity in the Secondary Market, then I'm in BIG time. P.S: Thanks to the posters who post their strategies and give indication on the areas of concern they look for when choosing investments - I find them to be good education and, yes, the onus of doing the research and decisions on investment are entirely mine. IMHO Col is on the same trajectory as Ly, but it started up years later so is further behind on the curve, but I expect them to resemble Ly more and more as time goes by. They are lending to the same borrower set who cannot get loans from traditional lenders for very good reasons and have to pay interest of c20% including costs. Spot on which is why it's important to get into the new platforms as fast as possible and then bail out as the loan book ages and the default risk rises and move on to the next shiny new platform. Investing in loans and then leaving your cash there waiting for loan maturity and repayment is a risky business because as we know many loans are not repaid. This is where the do loads of personal dd and then invest, relax and take your eye off the ball strategy falls down. Success requires daily monitoring and trading in my opinion but of course trading is becoming increasingly slow and difficult and therefore I am having to consider whether the time is coming to wave goodbye to what has been a rather lucrative few years.
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Feb 4, 2018 1:12:05 GMT
Col seem to jump on borrowers who are late very quickly. Found them one of the best. The ability to sell at a discount and continue interest on selling parts (someone gets it/or pay it into a rainy day fund) would be fantastic for liquidity. The only thing stopping me investing lots is that it does not have a FISA so interest over £1000 is taxable for taxpayers, I'm sure the team will closely look at the best bits of others and take these on board, The result would be the market leader
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