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Post by Ace on Jul 12, 2018 21:49:24 GMT
I am I the process of jumping ship, but left a few small test bids on the 5 year market to monitor rates.
My 5.6% test bid got matched today after 11 weeks on market.
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lara
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Post by lara on Jul 13, 2018 4:28:04 GMT
In answer to the topic title NO, and I'm not intending to! Whilst I was unhappy with the way the changes were (not) publicised, and the misleading way they were implemented, they have improved my overall Rolling market return by removing cash drag between contracts, and locking me in to higher-paying contracts. I have so far "managed out" all my repayment reinvestments without penalty, although am currently serving my second investment ban after selling out low-rate contracts bought during trials. That doesn't matter because I'll take the opportunity to put those funds into the one and/or five year schemes!
Oh, just noticed a chunk gone into 1 year at 4.9% - much better than 3+% on Rolling if leaving for more than 2 months! Glad it's working for you. Before the change, I very actively managed my account and almost always got matched same day at a rate I was happy with. If it was too low, I'd just wait another day or maybe tweak the rate again knowing that the longest I'd have that low rate would be a month. I've not been following so closely any more, I just pop in every few days out of curiosity, but apart from a short while when I saw rates in the region of 3.3 (which interestingly was at the weekend, when rates used to be at their lowest), they have been more often under 3% (and sometimes well under) than over it. And I realise that you can take your money off the market before it's matched if you are quick enough but the thought of missing it and being left with sub 3% investments and then having to cash out and be banned for 2 weeks, over and over again, ..... nah, that's too much for me!
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happy
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Post by happy on Jul 13, 2018 5:04:01 GMT
In answer to the topic title NO, and I'm not intending to! Whilst I was unhappy with the way the changes were (not) publicised, and the misleading way they were implemented, they have improved my overall Rolling market return by removing cash drag between contracts, and locking me in to higher-paying contracts. I have so far "managed out" all my repayment reinvestments without penalty, although am currently serving my second investment ban after selling out low-rate contracts bought during trials. That doesn't matter because I'll take the opportunity to put those funds into the one and/or five year schemes!
Oh, just noticed a chunk gone into 1 year at 4.9% - much better than 3+% on Rolling if leaving for more than 2 months! Glad it's working for you. Before the change, I very actively managed my account and almost always got matched same day at a rate I was happy with. If it was too low, I'd just wait another day or maybe tweak the rate again knowing that the longest I'd have that low rate would be a month. I've not been following so closely any more, I just pop in every few days out of curiosity, but apart from a short while when I saw rates in the region of 3.3 (which interestingly was at the weekend, when rates used to be at their lowest), they have been more often under 3% (and sometimes well under) than over it. And I realise that you can take your money off the market before it's matched if you are quick enough but the thought of missing it and being left with sub 3% investments and then having to cash out and be banned for 2 weeks, over and over again, ..... nah, that's too much for me! exactlyExactly lara . Overall rates have not been too bad since the changes but this hides some fairly low lows amongst the highs. It is totally wrong to force investors to accept whatever the rate happens to be at the time on what is potentially now a 5 year contract rate and then you get a sharp slap round the backside by way of a 14 day ban if you have the cheek to not like the rate they happened to dish out for you and want to sell out, feels like being treated like a child to be honest. It's my money RS, still not happy with how you did this, still heading towards the exit..
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robski
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Post by robski on Jul 13, 2018 12:55:42 GMT
I moved all my rolling into 5 year, but as i like to keep loan parts down it took some time. I did however complete this just prior to the new rules on the rolling. I read and reread the statement they made, I couldn't decide how they were defining the date switch, so just prior to the date I sold out my remaining rollings.
I then did a bit of a withdrawl, basically I worked out to balance my interest and withdrew the capital to give me the same interest return on having it all in 5 year, as opposed to my old amount in rolling.
Since then I keep reinvesting.
I try to keep loans to around £100.
People may ask why as its not necessary with RS to spread the risk, well its 2 fold
Firstly, if you have really heavy chunks in RS then you can get them paid back in one large chunk, and if rates are poor at that time then you either have to wait or accept poorer rates, I learned this from experience on RS, when I matched a hefty chunk at a very good rate, which then repaid (probably defaulted) some few months later when rates were well suppressed. So taking out more smaller matches means your less likely to be hit with high capital repayment in a short period.
Secondly, and actually my main approach is that should something change and I need to free up some of the capital, if I have say 2000 £100 loans there is a pretty good prospect of a steady drip of repaid/provision fund loans to give me the capital back without needing to pay the early withdrawl penalty. Over time as this has been my approach since the issue I pointed out in 1 above, I think I see a few % or so of loans making these repayments, which is what I am after. Normally I just feed them straight back in, but they are in effect fee free withdrawls should I feel the need to at that point. Some days I have no loans repay, some days a handffull, but the drip is pretty steady.
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Post by befuddled on Jul 13, 2018 13:58:59 GMT
Robski
I like your logic...
How to you create your 1000 loans at £200 (or whatever), do you pitch an offer at £200 at a reasonable rate, one at a time. Seems like a lot of admin - it may be worth it, but is there a better way.
There any many things not to like about RS these days, but one thing in their favour is (I understand) not the same exposure to property as other p2ps.
ie kids paying for their GiffGaff phones is probably safer than property speculators....?!
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Post by Ace on Jul 13, 2018 14:39:10 GMT
I appreciate the logic too, but decided to achieve a similar effect with LW. Some advantages there are: - Higher rate (currently 6%)
- Don't need to mess about selecting lending rates
- Cheaper access if need cash back in an unexpected hurry (0.6% fee opposed to 1.5% with RS)
- Most loans seem to be amortizing, so even if you chuck large sums in to start with they quickly turn in to many smaller loans from monthly capital and interest repayments (initial deposit seems to get split into at least 10 different loans regardless)
- There's a handy list of how much you will get paid each month if you turn relending off to repatriate your cash without paying fees
- A well respected shield/PF
The only disadvantage that I can see is that LW is a smaller platform than RS
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trevor
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Post by trevor on Jul 13, 2018 15:35:26 GMT
5.7% on the 5 yr market. I'm back in.
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mary
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Post by mary on Jul 13, 2018 17:58:13 GMT
I appreciate the logic too, but decided to achieve a similar effect with LW. Some advantages there are: - Higher rate (currently 6%)
- Don't need to mess about selecting lending rates
- Cheaper access if need cash back in an unexpected hurry (0.6% fee opposed to 1.5% with RS)
- Most loans seem to be amortizing, so even if you chuck large sums in to start with they quickly turn in to many smaller loans from monthly capital and interest repayments (initial deposit seems to get split into at least 10 different loans regardless)
- There's a handy list of how much you will get paid each month if you turn relending off to repatriate your cash without paying fees
- A well respected shield/PF
The only disadvantage that I can see is that LW is a smaller platform than RS On that basis, why not Assetz? 6.25% on GBBA, plus current 0.5% bonus to January, and no exit fees (in normal market conditions), and a much bigger platform, which has me currently diversified over 200 loans automatically.
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jlend
Member of DD Central
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Post by jlend on Jul 13, 2018 19:09:53 GMT
I appreciate the logic too, but decided to achieve a similar effect with LW. Some advantages there are: - Higher rate (currently 6%)
- Don't need to mess about selecting lending rates
- Cheaper access if need cash back in an unexpected hurry (0.6% fee opposed to 1.5% with RS)
- Most loans seem to be amortizing, so even if you chuck large sums in to start with they quickly turn in to many smaller loans from monthly capital and interest repayments (initial deposit seems to get split into at least 10 different loans regardless)
- There's a handy list of how much you will get paid each month if you turn relending off to repatriate your cash without paying fees
- A well respected shield/PF
The only disadvantage that I can see is that LW is a smaller platform than RS On that basis, why not Assetz? 6.25% on GBBA, plus current 0.5% bonus to January, and no exit fees (in normal market conditions), and a much bigger platform, which has me currently diversified over 200 loans automatically. Appreciate there have been some changes. But given my experience of the geia and gbba1 accounts I can't say I would recommend putting money there. Am yet to be convinced about the strength of the PF apart from the qaa and 30daa on the assetz capital platform
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ashtondav
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Post by ashtondav on Jul 14, 2018 7:57:40 GMT
But how do you rate the LW PF?
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Post by Ace on Jul 14, 2018 18:18:32 GMT
But how do you rate the LW PF? I get most of my info from reading this forum, common sense, and Google searches for "expert" reviews ( here is a typical one from financialthing.com, whose reviews I have some come to respect). From what I've read, LW's PF seems to generally be considered as one of the best in the business. They also seem to vet their borrowers more thoroughly than most, and insist that they take out various insurances (job loss, sickness, etc) Obviously, there are still no guarantees though!
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travolta
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Post by travolta on Jul 14, 2018 18:45:55 GMT
YES.Jumping. With 5.1% on A****S C*P with one months notice...tie ups for 5 years makes no sense. Reducing my stake as borrowers renegotiate. Generally quitting P2P and back to ducking and diving stocks and shares. Its been a fun 3 years , but waiting to see how defaults and Coll***ral pans out before investing more . Real Estate is still king.
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ashtondav
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Post by ashtondav on Jul 14, 2018 18:56:29 GMT
I think you're allowed to use more than ******* in most posts!
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Post by GentlemansFamilyFinances on Jul 18, 2018 11:50:37 GMT
I've actually just started lending again in RateSetter. The auto withdrawal never worked for me and I was a bit fed up of logging in once a month to find out that a couple of hundred quid was sitting idle. So I am autolending on 5 year income. Rates are not too bad and it's a time saver now too.
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ashtondav
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Post by ashtondav on Jul 18, 2018 15:28:39 GMT
I’m back in! 5.9% hoovered up today, and I’m now just waiting for 6% to be snaffled. RS is back on my radar after months in the wilderness.
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