ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Feb 4, 2019 13:41:58 GMT
Well, being a bold fellow I clicked the NO button which turned to a YES button which then appears to do nothing. There is also no apparent option to move the date further back than the 60 day period offered so that doesnt generate an option to pay the fee for a shorter withdrawal period.
Statements are going to get very long, very quickly with daily interest payments.
Should also be noted that interest is credited to cash account so there will be cash drag until it hits the £10 minimum investment sum. Hopefully the forthcoming preferences will offer a solution to minimise this with some form of auto reinvest.
Loanpad Personally I would prefer the diversification to be an equal % per loan rather than an equal % of each loan amount. The current system heavily distorts the risk profile. If I have a risk tolerance of £100 per loan, I hit that very quickly on the largest loan so cant add any investment even though I would be happy to do so as underinvested in small loans. Looks a major flaw to me as it actually discourages investment. (see discussions regarding AC GEIA/GBBA, OC accounts underdiversification). Current system & loanbook means you only get 60% of the funds I would be willing to invest if you diversified funds equally across all loans.
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Post by Loanpad on Feb 4, 2019 13:47:52 GMT
Loanpad - it would be helpful if you could clarify how often you process deposits - the one I sent at c. 10:45 hasn't been processed yet ... I was assuming that you would do a sweep shortly before the mid-day allocation run. (Of course you may have done so, and it may be my FP got delayed ) Also, could you get your developers to look at the screen for withdrawing from the premium account - this is what I see (Firefox 64.0.2 on Win 10)
What does the NO button do ? (I'm reluctant to press it to find out) And shouldn't it make it clear what the fee is for withdrawals - not that there appears to be a button to select this. (I'm ssuming that is what the blank rectangle is for ??) Final question (for now) - can (free) withdrawal requests from premium be cancelled ?
Thanks for signing up mrclondon Deposits should typically be credited to your account within an hour (during working hours.) Pre-midday we are indeed very conscious to allocate deposits quickly so that they can be invested before the daily cut-off. Please contact support@loanpad.com if you want us to check your own account, alternatively please log in to your account and use live chat. About the screenshot you have uploaded. From time to time early access from the Premium (60-day) account will be possible. This option will appear in the right hand box when it is available and yes of course the fee % is made clear and the actual £ amount based on transfer amount. When it is not available, the box is blank as per your screenshot. So the ‘no’ simply needs to be switched to yes for the option you choose. You will still need to confirm the transfer and enter your password. Thanks for the feedback though because this could be made a little clearer. We are on to that and will update it asap. As to your question about cancelling withdrawal requests. Yes you can do that. All transfers can be cancelled at any time before they have been processed – so if you set up a withdrawal from Premium for 10 July (as an example), you will be able to cancel that at any time prior to midday on 10 July. Simply go to my account>pending history and you will have the option to cancel there. One of the benefits of the date selection (as opposed to 60 days only) and the cancellation ability is to be able to create your own repayment profile – and of course you can change that at any time by cancelling future dated transfers should your requirements change.
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Post by Loanpad on Feb 4, 2019 13:56:15 GMT
Well, being a bold fellow I clicked the NO button which turned to a YES button which then appears to do nothing. There is also no apparent option to move the date further back than the 60 day period offered so that doesnt generate an option to pay the fee for a shorter withdrawal period.
Statements are going to get very long, very quickly with daily interest payments.
Should also be noted that interest is credited to cash account so there will be cash drag until it hits the £10 minimum investment sum. Hopefully the forthcoming preferences will offer a solution to minimise this with some form of auto reinvest.
Loanpad Personally I would prefer the diversification to be an equal % per loan rather than an equal % of each loan amount. The current system heavily distorts the risk profile. If I have a risk tolerance of £100 per loan, I hit that very quickly on the largest loan so cant add any investment even though I would be happy to do so as underinvested in small loans. Looks a major flaw to me as it actually discourages investment. (see discussions regarding AC GEIA/GBBA, OC accounts underdiversification). Current system & loanbook means you only get 60% of the funds I would be willing to invest if you diversified funds equally across all loans.
Hi ilmoro thanks for the feedback In respect of diversification all funds are in fact spread across the entire portfolio (similar to AC QAA) every day so as soon as new loans are added your funds will be spread across those loans too. Currently as we have only just launched there are a small number of loans (5) but we do expect this to grow very quickly. As there are a small number of loans currently we have ensured that there is a very large amount of skin in the game on each loan and far higher than the 25% minimum.
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Post by Loanpad on Feb 4, 2019 14:17:26 GMT
Thank you Loanpad . Why don't you offer parts of the junior tranche to your lenders? I suspect there are many here who would like a bite at the higher returns available. Hi Ukmikk thanks for the suggestion. This is something that will be considered further in due course.
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Greenwood2
Member of DD Central
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Post by Greenwood2 on Feb 4, 2019 14:58:12 GMT
Thank you Loanpad . Why don't you offer parts of the junior tranche to your lenders? I suspect there are many here who would like a bite at the higher returns available. Hi Ukmikk thanks for the suggestion. This is something that will be considered further in due course. In some ways I quite like the fact I can't be tempted by the higher junior tranche rates (at least until there is some platform track record). Been there on other platforms. Is it really necessary to use your password for internal transfers? It will get a bit tedious (I have a long password), fair enough for transfers out.
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Greenwood2
Member of DD Central
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Post by Greenwood2 on Feb 6, 2019 12:09:31 GMT
It would also be helpful to have a 'Total Interest Paid' on the summary screen, keeping track of this in the transaction history is rapidly going to get impossible with interest credited every day.
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Post by mrclondon on Feb 6, 2019 19:42:34 GMT
I've been having problems sending (4 figure) sums to Loanpad, and neither my bank (first direct) nor their bank (Barclays) are offering acceptable explanations, so if others are having issues with sending payments to Loanpad it would be helpful to know which bank you are sending from to help narrow down where the issue is.
First direct put a trace on my payment made at 10:45 Monday (4th), and confirmed it was "accepted into the beneficiary's account at 21:15 on 4th Feb 2018"
A subsequent payment made by me at 10:15 Tuesday was received by Loanpad within 1 hour.
Around 19:15 this evening I tried to send another payment, but first direct are simply saying "unable to send to this beneficiary today", with an option to send tomorrow. I've cancelled that, as I'll try manually after midnight. (EDIT: Payment accepted ok at 00:08 Thur 7th )
First direct are being evasive with their responses to my questions, so its possibly a HSBC issue, but the 'unable to send 'message normally implies the receiving bank is refusing FP transactions. I've raised a complaint with first direct as their delayed handling of my queries on Monday was unacceptable.
I've sent 4 and 5 figure payments to other destinations each day this week (including multiple payments to one destination, mirroring what I have sent to loanpad) and have had no other issues.
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Post by nooneere on Feb 7, 2019 21:19:47 GMT
Signed up with Loanpad yesterday, and their website says they currently have 39 lenders - there is a 20% interest rate boost till the end of May for the first 100 lenders to sign up... Rates are 4% for the instant access 'Classic Account' (4.8% with the above bonus) and 5% for the 60-day notice 'Premium Account' (6% with bonus). They have residential property loans (max LTV 46%) totalling £1.1M live at the moment, with £2.1M 'upcoming'. Lenders' investments are 'spread across all performing loans'. Loans all seem to be originated via a finance company based in Bermondsey that has been operating since 1980. I invested for P2P diversification - it is my first venture into property loans, about which I am VERY cautious thanks to all the threads about property P2P on this forum. Incidentally I mean THANKS - aggrieved posters about property sites should know that novice investors are learning from you. interested, what caused you to decide on this for property, in that case? Thanks. At my stage of life (65) I want my capital in liquid investments that pay immediate interest - most P2P property platforms require a medium term commitment that pays at completion of the project. Moreover, the evidence of relevant threads suggests the chances of delays or defaults are so high I have wondered whether P2P is a suitable vehicle for property investment at all. The Loanpad proposition, if it works out in practice, seems to minimize all these problems. Landbay is the closest precedent for liquidity and security, but its interest rate is too low for me. The main thing I am going to watch with Loanpad is whether its loanbook can grow enough to cope with demand - at the moment they seem to have filled their available loans and I will only add funds when new loans come online. Among other P2P accounts offering similar liquidity to Loanpad, the AC QAA has nearly the same interest rate and is a relatively mature and proven platform, but I wanted a property dimension for diversification.
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zlb
Member of DD Central
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Loanpad
Feb 7, 2019 21:52:25 GMT
via mobile
Post by zlb on Feb 7, 2019 21:52:25 GMT
interested, what caused you to decide on this for property, in that case? Thanks. At my stage of life (65) I want my capital in liquid investments that pay immediate interest - most P2P property platforms require a medium term commitment that pays at completion of the project. Moreover, the evidence of relevant threads suggests the chances of delays or defaults are so high I have wondered whether P2P is a suitable vehicle for property investment at all. The Loanpad proposition, if it works out in practice, seems to minimize all these problems. Landbay is the closest precedent for liquidity and security, but its interest rate is too low for me. The main thing I am going to watch with Loanpad is whether its loanbook can grow enough to cope with demand - at the moment they seem to have filled their available loans and I will only add funds when new loans come online. Among other P2P accounts offering similar liquidity to Loanpad, the AC QAA has nearly the same interest rate and is a relatively mature and proven platform, but I wanted a property dimension for diversification. thanks. Defaults appear in most contexts after a while, so the shock absorption on loanP is attractive. Someone told me it took more or less 50 days to sell out of LB. You might be aware but AC is property based, that intent was announced some time ago.
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Post by khampson on Feb 8, 2019 12:58:41 GMT
I have registered, I am offered 4.8% and 6% for the 60 day notice account.
Platform looks clean enough, I do have some concerns. you can not reinvest the interest that goes into your cash account until you reach 310, this is not really good tbf. you need large amount to get £10 in interest. only 5 loans currently. I did deposit and withdraw to test the system and both happened on the same day.
I'm not sure if this is better than my current platforms that have a provision fund though AC and growthstreet.
the idea of daily interest is a good option but only a couple of pence a day .
I will continue to watch the platform to see where it goes.
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zlb
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Post by zlb on Feb 11, 2019 14:00:18 GMT
If the figures given by nooneere are correct ("Rates are 4% for the instant access 'Classic Account' ... and 5% for the 60-day notice 'Premium Account'", why should Lenders sign up with you given they can get 4.1% in AC's QAA (normally instant access) and 5.1% in AC's 30DAA (normally 30 days notice)? Hi cb25 . We do not think we can directly compare our products to other platforms for regulatory reasons. However, there are many differences between the accounts you mentioned and Loanpad accounts, not least the lending structure. As we cannot provide any advice you will need to make your own assessment of the benefits of each platform. Rates are just one of the considerations to be made, albeit a very important one Hi would you be able to clarify what the relationship is of the "established third party member" is with the "lending partners"? as mentioned here: www.financialthing.com/get-to-know-loanpad/I'm trying to look at things that could go wrong. What if your relationship with this third party member breaks down? Are you actually the third party member? A little bit like Downing Crowd is to Downing? Also, could you clarify whether p2p lenders are invested in all loans equally?
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IFISAcava
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Post by IFISAcava on Feb 11, 2019 14:17:13 GMT
I registered but only have 4.0% and 5.0% offered.
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Post by Loanpad on Feb 11, 2019 15:18:44 GMT
It would also be helpful to have a 'Total Interest Paid' on the summary screen, keeping track of this in the transaction history is rapidly going to get impossible with interest credited every day. Hi Greenwood2 Thanks for the feedback and that will be discussed internally. In the meantime you can download a statement for any period (My Account>Statement) and it will show the total amount of interest earned during that period.
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Post by Loanpad on Feb 11, 2019 15:19:37 GMT
I registered but only have 4.0% and 5.0% offered. Hi IFISAcava Sadly the early bird offer is no longer available as it was limited to the first 100 investors. We do hope to have some bonus offers in time for the new ISA year (2019/2020).
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Post by Loanpad on Feb 11, 2019 15:25:03 GMT
Hi cb25 . We do not think we can directly compare our products to other platforms for regulatory reasons. However, there are many differences between the accounts you mentioned and Loanpad accounts, not least the lending structure. As we cannot provide any advice you will need to make your own assessment of the benefits of each platform. Rates are just one of the considerations to be made, albeit a very important one Hi would you be able to clarify what the relationship is of the "established third party member" is with the "lending partners"? as mentioned here: www.financialthing.com/get-to-know-loanpad/I'm trying to look at things that could go wrong. What if your relationship with this third party member breaks down? Are you actually the third party member? A little bit like Downing Crowd is to Downing? Also, could you clarify whether p2p lenders are invested in all loans equally? Hi zlb Thanks for the question about the relationship with lending partners. One of the principles of p2p is that investors are only exposed directly to borrowers/security and not to any intermediate party. So, there is no credit risk in relation to lending partners (or to Loanpad for that matter). Loanpad Security Trustee has direct control of (and first call on) all security on behalf of our investors. In relation to the loans on the platform, investors are spread across all loans every day on a volume weighted basis (so that means the same % of each loan as opposed to the same £ amount in each loan). Of course, as we grow so will our investors diversification and on that front we are hoping to add some more loans this week.
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