elliotn
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Post by elliotn on Jan 29, 2018 4:06:09 GMT
Technically they are 3 separate loans secured on 3 different buildings, but I treat them as one for my diversification strategy. As you said, in case of default all three most likely to have the same fate. Some time ago I invested in a series of railway toys loans on FS thinking that it will be okay as they all secured on different items... now they make up a very large proportion of my FS "unredeemed" funds. If I treated them all as one single loan, my loss wouldn't be so upsetting. Wondering if these have been set up as separate loans with separate security, even if to the same borrower, if say all 3 defaulted but only 1 or 2 of the securities covered the fees, capital and interest for those loans, whether any surplus could be used to compensate a loss on the others? If not, individual assessment of the security for each is warranted Hope not as there has been no mention of it (although the borrower may use surplus on one to clear his debts on another). Individually, the farm may offer most uplift through planning gain although I've dipped some sales into the hall for liquidity, doesn't appear to be the appetite for recent crop of 7 fig loans on Coll.
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Brainer
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Post by Brainer on Jan 29, 2018 13:31:47 GMT
Not sure it's possible at all, let alone possible now that one loan has filled, but would have been sensible to have the loans cross-collateralised, such that disposal of one paid down and reduced the LTV of the others. (Again emphasis on not being sure.) Somewhat similar situation to the Six Scottish Pubs (MTBE924) loan on MT and they have stated that if one sells at MV then all of this will pay down the loan, reducing the LTV. I don't know whether this is written into the existing legal structure or a separate agreement MT has insisted upon though.
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GeorgeT
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Post by GeorgeT on Jan 29, 2018 15:29:21 GMT
This loan/these loans are incredible. Not only 14% interest + 2% cashback, but the initial 6 months interest will be deducted at drawdown - something that doesn't always happen now.
It just goes to show how the 'man in the street' saver type of investor has deserted the P2P sector now the defaults have started on certain platforms and he/she has got burnt fingers. Even with these amazing loan terms , it's still not filling.
This would have flown off the shelf 2 years or even 18 months ago. It would have been oversubscribed on an SS prefund and people would have been moaning about only getting 30% of what they wanted. The times they are a changing.
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michaelc
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Post by michaelc on Jan 29, 2018 16:34:21 GMT
This loan/these loans are incredible. Not only 14% interest + 2% cashback, but the initial 6 months interest will be deducted at drawdown - something that doesn't always happen now. It just goes to show how the 'man in the street' saver type of investor has deserted the P2P sector now the defaults have started on certain platforms and he/she has got burnt fingers. Even with these amazing loan terms , it's still not filling. This would have flown off the shelf 2 years or even 18 months ago. It would have been oversubscribed on an SS prefund and people would have been moaning about only getting 30% of what they wanted. The times they are a changing. Are the borrowers squeaky clean?
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ingwer
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Post by ingwer on Jan 29, 2018 17:28:20 GMT
This loan/these loans are incredible. Not only 14% interest + 2% cashback, but the initial 6 months interest will be deducted at drawdown - something that doesn't always happen now. It just goes to show how the 'man in the street' saver type of investor has deserted the P2P sector now the defaults have started on certain platforms and he/she has got burnt fingers. Even with these amazing loan terms , it's still not filling. This would have flown off the shelf 2 years or even 18 months ago. It would have been oversubscribed on an SS prefund and people would have been moaning about only getting 30% of what they wanted. The times they are a changing. I wonder if the "Big Hitters" have gone too from p2p? The Ly loan where some investors got as much as 30k was also unheard say a year ago.
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Jan 29, 2018 18:09:09 GMT
Good point ingwer, if the whales have departed, it's probably time to reflect. They're often privy to information us lesser mortals only find out when it's too late.  But I had already virtually stopped investing anyway and am only currently entering one or two Loans a month. I'd rather have the cash in the bank languishing than have FOMO (Fear Of Missing Out) and whack it in haste into an unsuitable loan. |
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Post by d_saver on Jan 29, 2018 19:11:37 GMT
In a way, I'm glad to see some of this happening. Perhaps it will lead to better risk/reward as the 'easy' money disperses from platforms. Once loans begin to not fill, market will force either better loan quality, better platform service, higher rewards, or hopefully, all three. Platforms cannot continue to fill loans otherwise.
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GeorgeT
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Post by GeorgeT on Jan 30, 2018 11:51:29 GMT
Helpful email about these loans has just landed from Collateral. Worth a read.
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poppyland
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Post by poppyland on Feb 1, 2018 11:49:24 GMT
Good point ingwer, if the whales have departed, it's probably time to reflect. They're often privy to information us lesser mortals only find out when it's too late. But I had already virtually stopped investing anyway and am only currently entering one or two Loans a month. I'd rather have the cash in the bank languishing than have FOMO (Fear Of Missing Out) and whack it in haste into an unsuitable loan. FOMO is our worst enemy on P2P. All three of the Lendy loans I've got 5K a piece stuck in were bought in haste when there wasn't anything better available. Now I kick myself regularly for lowering my criteria all because I didn't want to miss out on a few quid. I still don't want to believe that the P2P sector is headed in a bad direction, but maybe that's wishful thinking too. Like you say, if the whales are gone, perhaps the writing really is on the wall.
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empirica
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Post by empirica on Feb 4, 2018 14:48:12 GMT
Did CashBack get paid on this? I've had capital and interest (re)paid according to the email, but no mention of it.
It did fill, unlike the other two, but I don't think it drew down, although can't be sure as access to the website is proving problematic at present (poor hotel wifi signal not helping, I guess).
Surprised no one has mentioned it.
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SteveT
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Post by SteveT on Feb 4, 2018 14:51:52 GMT
Did CashBack get paid on this? I've had capital and interest (re)paid according to the email, but no mention of it. It did fill, unlike the other two, but I don't think it drew down, although can't be sure as access to the website is proving problematic at present (poor hotel wifi signal not helping, I guess). Surprised no one has mentioned it. No cash-back, since it didn’t draw down
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