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Post by df on Mar 7, 2018 17:12:40 GMT
Loan amounts: £100,000 x3
Asset Value: £2,400,000
Max LTV: 50%
Interest rate: 12%
Estimated term of the loan: 24 months.
Max. Bid per 24 hours: £400
Bid Restriction Duration: 24 hrs
Good news. "The assets used in the LTV calculation includes jewellery, precious metals and stones, high-end handbags and watches" - not property!
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treeman
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Post by treeman on Mar 7, 2018 17:22:13 GMT
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toast
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Post by toast on Mar 7, 2018 17:23:59 GMT
I understand there will be up to 12 advances in this series to allow for different (expected) end dates. These initial 3 advances all have the same end date. Is this intentional, MoneyThing ? |
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SteveT
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Post by SteveT on Mar 7, 2018 17:30:32 GMT
My recollection is that PP were the introducer for those loans, rather than the borrower themselves. Indeed, I think PP provided a buy-back guarantee for the 2 cars.
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Post by dan1 on Mar 7, 2018 17:56:56 GMT
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Post by df on Mar 7, 2018 18:03:42 GMT
I like the word "repaid"  . Will be there at 12 tomorrow, don't want to miss this
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oik
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Post by oik on Mar 7, 2018 18:47:05 GMT
I notice "The security is a debenture over the company where the current assets total value is £2,600,000, where the assets used for calculating the LTV total £2,400,000 giving a maximum LTV of 50%*".
That's the retail value (and I don't know how that relates to trade values) but also I'm not too clear on what requirement there is for the borrower to maintain the stock at the current level. Even if there is a requirement, I assume any routine audit won't include a third party valuation of all £2.4m of stock, and if it did, and the new valuation was clearly less than the loan valuation, then what action would/could be taken? Are we relying on a self valuation by the borrower or something more? What have I missed?
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Post by Duane Dibley on Mar 7, 2018 19:02:05 GMT
These are exactly the sort of loans MT should be focusing on.
Rather than dodgy hotels and never-ending developments.
Back to basics.
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jlend
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Post by jlend on Mar 7, 2018 19:17:30 GMT
These are exactly the sort of loans MT should be focusing on. Rather than dodgy hotels and never-ending developments. Back to basics. They have had some successes e.g. BPF 679 M********r H**l amongst others
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stub8535
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personal opinions only. Not qualified to advise on investment products.
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Post by stub8535 on Mar 7, 2018 19:43:12 GMT
These are exactly the sort of loans MT should be focusing on. Rather than dodgy hotels and never-ending developments. Back to basics. Please do take the rose tinted bling glasses off when reading the information on the loan. The 12% rate is not guaranteed. Still excited??
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kermie
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Post by kermie on Mar 7, 2018 20:16:43 GMT
I'd like to see some clarification that even if the borrower does not receive interest on the loan (assets held for security), that the interest will simply accrue until the point where the borrower does receive interest on the asset.
Also like to see confirmation that this does not get caught under the umbrella of "wholesale lending" (is that the right term?) - i.e. whereby P2P lenders are lending money to intermediaries who then lend it out - I thought that legislation did not permit this?
I'd also like to understand how a check-and-balance is put in place to ensure that the borrower's interests remain aligned with lenders' - lending someone else's money secured on someone else's asset can introduce all sorts of predictable consequences.
Otherwise I quite like the loan(s).
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jlend
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Post by jlend on Mar 7, 2018 20:26:55 GMT
MoneyThingInteresting how much value they put against the stock in the latest accounts at CH vs the stock value in the loan particulars. They are quite different. Perhaps they now have more stock. They also had quite a bit of cash in the business at the time of the last published accounts that could be used for expansion perhaps. It would be interesting to know how this has been used. I would be comfortable if they used the same stock valuation method in the company accounts and the loan particulars, and then calculated the LTV. Of course they may have done that. Stock in the company accounts will have been valued at cost I assume.
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Post by mike1963 on Mar 7, 2018 22:12:09 GMT
MoneyThing, SophieThing Due to the slightly unusual clause " Lenders will receive interest as a monthly payment provided that the interest has been received by the borrower"..can MT confirm that if no interest is paid, the asset will be sold and interest accrual will be paid out of the proceeds? Also, does the clause absolve the Guarantor/Debenture from the Interest element of this loan in the event of a shortfall?
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metoo
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Post by metoo on Mar 8, 2018 0:17:22 GMT
Stock in the company accounts will have been valued at cost I assume. From the 31 May 2017 accounts:
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elliotn
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Post by elliotn on Mar 8, 2018 1:52:02 GMT
MoneyThing, SophieThing Due to the slightly unusual clause " Lenders will receive interest as a monthly payment provided that the interest has been received by the borrower"..can MT confirm that if no interest is paid, the asset will be sold and interest accrual will be paid out of the proceeds? Also, does the clause absolve the Guarantor/Debenture from the Interest element of this loan in the event of a shortfall? Most MT loans are serviced by the borrower, they've just made the wording clearer, so no change. MT provide forbearance on late payments as deemed necessary and will initiate recovery if they believe arrears will not be made up. Recovery will be for all outstanding interest (probably then at a default rate) and all remaining capital from the loan security provided.
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. Will be there at 12 tomorrow, don't want to miss this 
