sl75
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Post by sl75 on Apr 16, 2019 12:15:51 GMT
I have asked for an account of these large retentions by Lendy and Lendy have refused.
You may be content with that position.
I am not. Having unfounded accusations about what Lendy may have done with the money flung around doesn't help me feel any more content. We don't know for certain, for example, that the additional proceeds in those cases either existed in the first place or that they were retained by anyone connected to Lendy. Even if they were, we don't know whether that is purely so that other party can profit, or an interim retention so that the other party can pursue a better recovery on our behalf.
Yet, somehow you appear absolutely certain specifically that "Lendy has taken most of the proceeds" - a potentially libellous statement as I understand it, if it turns out to be untrue, so I figured you might have actual evidence to back it up!
I'll potentially be content when the end of the process is reached with a better recovery than you seem to assume, so that Lendy finally feel able to explain what steps have been taken and why it was necessary to maintain "radio silence" at this stage of the process.
In particular, we already had a further repayment yesterday from one of the loans in the "claims underway" section, demonstrating that this isn't solely a can-kicking arena.
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revvy
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Post by revvy on Apr 16, 2019 20:00:29 GMT
Am I missing something here? So if the borrower has given up and folded and has no access to funds, how will Lendy recover their own legal costs (must be over £500k by now). In any normal situation the costs are paid by the claimant but given that she is 21 years old and wasn’t able to pay costs into court you have to think she will be unable to pay Lendys legal costs. On top of that you have Lendys own recovery costs. Then you have the costs of disposing off the asset. On top of that you have Lendys interest charged throughout all this mess. We really think we are going to get a meaningful sum back against what we lent? How do you arrive at 500k? I don’t - I think it will be higher than this.
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Mucho P2P
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Post by Mucho P2P on Apr 16, 2019 20:42:57 GMT
How do you arrive at 500k? I don’t - I think it will be higher than this. Lendy declared circa £300k to the Judge for the costs to date. Anymore, and they will be skimming, which I am sure lendy would never do.
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rocky1
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Post by rocky1 on Apr 17, 2019 3:35:03 GMT
We are going round in circles again here.lendy and receivers pay their own costs,just as any lender who took on H*R will be still paying their own costs.we are not even in the film up to now.lendy should not be taking anything from lenders regarding their legal costs for this case.we should be shown were any of our monies are going on the previous and all future recoveries.are lendy following FCA guidelines in the way they are running down this loan book?
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quidco
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Post by quidco on Apr 17, 2019 7:23:15 GMT
I don’t - I think it will be higher than this. Lendy declared circa £300k to the Judge for the costs to date. Anymore, and they will be skimming, which I am sure lendy would never do. I wonder if Lendy has some form of indemnity insurance, if you operate in a environment in which there's a possibility you get into litigation it would probably be advisable.
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Mucho P2P
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Post by Mucho P2P on Apr 17, 2019 9:18:58 GMT
Lendy declared circa £300k to the Judge for the costs to date. Anymore, and they will be skimming, which I am sure lendy would never do. I wonder if Lendy has some form of indemnity insurance, if you operate in a environment in which there's a possibility you get into litigation it would probably be advisable. Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us?
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quidco
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Post by quidco on Apr 17, 2019 9:40:04 GMT
I wonder if Lendy has some form of indemnity insurance, if you operate in a environment in which there's a possibility you get into litigation it would probably be advisable. Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us? Yes it's really cheap in some industries but not this one one suspects...
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Garage246
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Post by Garage246 on Apr 17, 2019 10:12:31 GMT
Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us? Yes it's really cheap in some industries but not this one one suspects... I asked once, and guess what - they wouldn't respond....
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rocky1
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Post by rocky1 on Apr 17, 2019 10:47:27 GMT
I guess that the £100+million in this toxic loan book is plenty enough insurance for them not to worry for a long time yet.
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bugs4me
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Post by bugs4me on Apr 17, 2019 18:12:15 GMT
I wonder if Lendy has some form of indemnity insurance, if you operate in a environment in which there's a possibility you get into litigation it would probably be advisable. Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us? As far as I'm aware, all FCA authorised firms/companies/etc are required to have Professional Indemnity Insurance.
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Mucho P2P
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Post by Mucho P2P on Apr 17, 2019 18:38:38 GMT
Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us? As far as I'm aware, all FCA authorised firms/companies/etc are required to have Professional Indemnity Insurance.
I am aware that D and O insurance is required. The question is: would it cover Lendy, knowing that they brokered a loan from a serial litigant, either knowingly or not having done their DD?
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bugs4me
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Post by bugs4me on Apr 17, 2019 21:16:18 GMT
As far as I'm aware, all FCA authorised firms/companies/etc are required to have Professional Indemnity Insurance.
I am aware that D and O insurance is required. The question is: would it cover Lendy, knowing that they brokered a loan from a serial litigant, either knowingly or not having done their DD? In this case, a grey area no doubt as LY along with just about every other P2P platform I would have thought, would deny having any adverse knowledge regarding this loan, plus all other loans of course, be it the asset or borrower.
Whether or not that was the case, I feel anyone would be hard pressed to prove there was a lack of duty of care towards lenders and as we all know, proving negligence is a very high bar.
It's highly regrettable that what we (all) know is not necessarily what can be proven.
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reinvestor
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Post by reinvestor on Apr 18, 2019 8:03:29 GMT
Several years ago I researched indemnity insurance availability+costs of this type for financial companies, its is rare and pricey, so as a guess, I would say that Lendy does not have it, but maybe they would like to confirm for us? As far as I'm aware, all FCA authorised firms/companies/etc are required to have Professional Indemnity Insurance.
This is only for firms where FSCS protection applies. This does not apply to P2P companies.
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Mucho P2P
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Post by Mucho P2P on Apr 18, 2019 8:51:39 GMT
I am aware that D and O insurance is required. The question is: would it cover Lendy, knowing that they brokered a loan from a serial litigant, either knowingly or not having done their DD? In this case, a grey area no doubt as LY along with just about every other P2P platform I would have thought, would deny having any adverse knowledge regarding this loan, plus all other loans of course, be it the asset or borrower.
Whether or not that was the case, I feel anyone would be hard pressed to prove there was a lack of duty of care towards lenders and as we all know, proving negligence is a very high bar.
It's highly regrettable that what we (all) know is not necessarily what can be proven.
Firstly, Ignorance is no excuse in law for Lendy. Secondly, the fact that the FCA have placed special restrictions and additional reporting requirements on Lendy, indicates that there is something [seriously?] amiss. Notice how Lendy no longer indicate [update/advertise] the number of lenders nor amount of capital that the lenders place through their platform?
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travolta
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Post by travolta on Apr 23, 2019 17:02:07 GMT
Seems there is a copycat on Unbolted.... anyone else involved in this?
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