shimself
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Post by shimself on Sept 12, 2018 10:06:51 GMT
A couple of my loans on Bondmason (BM) have actually reported that insurance has paid out when the loan defaulted (sort of). They won't actually tell me which platform this relates to (Sancus??), but well, wow.
The borrowing corporate went into receivership and was unable to repay its debts. The lending partner sought insurance for this loan in order to protect investors in the event of default. As noted, 90% of this has been repaid via claim by the lending partner for this loan. Further recoveries will be sought to recover the remaining 10%, but in the event that all avenues for recovery have been exhausted, the lending platform will cease to recover funds and the remaining exposure will be crystallised as a loss.
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rick24
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Post by rick24 on Sept 12, 2018 10:28:23 GMT
Could be Archover
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shimself
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Post by shimself on Sept 12, 2018 12:26:36 GMT
Someone told me that so far that's never happened, do you know different?
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rick24
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Post by rick24 on Sept 12, 2018 12:39:40 GMT
Someone told me that so far that's never happened, do you know different? No. All I know is that there is credit insurance. I have a couple of defaulted loans but these are still in recovery. I know there are other defaulted loans, but I don't know what stage of recovery these are at and whether the credit insurance was invoked. Unlike a discretionary provision fund, I see no reason to doubt that it will be invoked when and where applicable.
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shimself
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Post by shimself on Sept 13, 2018 11:37:04 GMT
Someone told me that so far that's never happened, do you know different? No. All I know is that there is credit insurance. I have a couple of defaulted loans but these are still in recovery. I know there are other defaulted loans, but I don't know what stage of recovery these are at and whether the credit insurance was invoked. Unlike a discretionary provision fund, I see no reason to doubt that it will be invoked when and where applicable. Well it's easy enough to make a claim on the insurance. Much harder to get past all the small print which says they don't have to pay out after all
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shimself
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Post by shimself on Sept 13, 2018 13:29:20 GMT
Actually I think it has to be Sancus, because the 90% figure matches with their smallprint
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rick24
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Post by rick24 on Sept 13, 2018 14:58:02 GMT
No. All I know is that there is credit insurance. I have a couple of defaulted loans but these are still in recovery. I know there are other defaulted loans, but I don't know what stage of recovery these are at and whether the credit insurance was invoked. Unlike a discretionary provision fund, I see no reason to doubt that it will be invoked when and where applicable. Well it's easy enough to make a claim on the insurance. Much harder to get past all the small print which says they don't have to pay out after all Fortunately, I won't have to pursue it myself. It is in the interests of Archover to recover as much as possible so I would think they will pursue it with suitable vigour.
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shimself
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Post by shimself on Sept 13, 2018 18:58:14 GMT
Well it's easy enough to make a claim on the insurance. Much harder to get past all the small print which says they don't have to pay out after all Fortunately, I won't have to pursue it myself. It is in the interests of Archover to recover as much as possible so I would think they will pursue it with suitable vigour. Apart from the reputational hit (overcome by changing their customer acquisition strategy, and in the meantime delaying any write off for as long as possible) ARC don't much care
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cwah
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Post by cwah on Sept 16, 2018 10:55:42 GMT
What clause u need to have insurance paying out? Does mis valuation a casefor that?
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rick24
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Post by rick24 on Sept 18, 2018 8:18:43 GMT
What clause u need to have insurance paying out? Does mis valuation a casefor that? No, I wouldn't think so. As far as I know, the insurance covers the revenue stream of the borrower.
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