arby
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Post by arby on Mar 8, 2019 14:24:15 GMT
The borrower has now requested a renewal. with a 615 overdue loan even if interest is paid up to date do you really think they will pull this stunt again of not paying up in 6 months answers on digital postcard FS been too soft The borrower would never offer to pay a couple of years interest on a loan that they did not intend to eventually pay off. i.e. if they do pay to renew, this proves they are not just chancers trying to string us all along for as long as possible. However, it says nothing at all about how realistic their ambition is to ultimately repay.
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Post by spareapennyor2 on Mar 8, 2019 14:38:36 GMT
update after update
"expecting this loan to be repaid in full "
rental should pay towards interest so why hasn`t it
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rogerthat
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Post by rogerthat on Mar 8, 2019 15:06:07 GMT
Perhaps fundingsecure should apply the 'Penarth' technique to this borrower and instruct receivers. Being strung along for 612 days suggests to me the borrower is being allowed to take the urine..and this loan has dragged on half as long again as Penarth..I doubt my/or any bank would allow me to borrow £195K for 20months and not pay a pennies interest. Im sure £18K in rental would cover the interest !..not
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james21
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Post by james21 on Mar 8, 2019 15:59:21 GMT
Thanks to Adrian for providing the address, zoopla indicates the full market value is about £300k so if we take the loan of £195k plus the interest of 20 months of about £80k that gives £275k owed so there is a bit in it for the borrower. Tricky one this; if they default it and it goes to auction can see the loan money being recovered and a bit of interest (bad for FS and lenders) or they could take his interest and renew it meaning those who are in it will get their capital and interest and importantly for FS they get their interest. Then let a new set of lenders take up the mantle (if they want the risk)
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arby
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Post by arby on Mar 8, 2019 16:02:59 GMT
Thanks to Adrian for providing the address, zoopla indicates the full market value is about £300k so if we take the loan of £195k plus the interest of 20 months of about £80k that gives £275k owed so there is a bit in it for the borrower. Tricky one this; if they default it and it goes to auction can see the loan money being recovered and a bit of interest (bad for FS and lenders) or they could take his interest and renew it meaning those who are in it will get their capital and interest and importantly for FS they get their interest. Then let a new set of lenders take up the mantle (if they want the risk) I think you've just solved the problem rather than explaining it. If they take the interest and renew, then in 6 months time if/when the interest isn't repaid then receivers could be appointed and the outstanding debt would be about £220k vs an asset of £300k, rather than the current £275k debt. That's a much better situation for the lenders.
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rogerthat
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Post by rogerthat on Mar 8, 2019 16:40:06 GMT
Id be very worried if I had 5 figures in this..ive only got 3..if this borrower has any intention of paying anything at all, then fundingsecure need to take immediate action before the debt exceeds the value (if it hasn't already) so at least we know where we stand, so either renew or release the hounds. But is does beg the question why a bog standard terraced property loan, not even deemed worthy of a full valuation has been allowed to stagnate for 20months unchallenged
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adrian77
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Post by adrian77 on Mar 8, 2019 16:55:03 GMT
I don't know the Reading market but I wonder how accurate the Zoopla valuation is - looking at similar properties I would guess that at auction they would be lucky to get £250K- does anybody know the local market - I thank you.
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jcb208
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Post by jcb208 on Apr 5, 2019 15:53:05 GMT
Another month is nearly up an still no sign of the proposed renewal ,come on fundingsecure it has now been active for 644 days and over a year since the borrower promised to pay interest to renew .We need these late loans either repaying or get on and instruct receivers
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jcb208
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Post by jcb208 on May 10, 2019 8:19:12 GMT
Well 2 months pass since the last update it is obvious that the borrower has no intention of paying back this loan,just buying time.Fundingsecure why don't you just get on and default it before all the money is sucked out of it
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adrian77
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Post by adrian77 on May 10, 2019 9:15:49 GMT
looks another disaster to me - as I said before I am staggered such a sum was lent without a proper structural survey and no proof this flat conversion has been signed off by building control...also if we take £200K (rather than 195K) at 20% pa that is £40K pa in gross interest which is less than the rent of 2 x £18K and if there is a problematic tenant...
update : just noticed it is nearly 18 months late so that is about £60K owed in additional interest alone - maybe it should have been taken to auction a year ago...
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jcb208
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Post by jcb208 on May 27, 2019 9:28:06 GMT
fundingsecure We are getting on for 3 months since the last update which stated the borrower wanted a renewal. You have had plenty of time to get a new valuation so can we have a positive update please.This loan has now been running for 697 days and us lenders will no longer stand for these long delaying tactics with excuse after excuse
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ozboy
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Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on May 27, 2019 21:31:22 GMT
fundingsecure We are getting on for 3 months since the last update which stated the borrower wanted a renewal. You have had plenty of time to get a new valuation so can we have a positive update please.This loan has now been running for 697 days and us lenders will no longer stand for these long delaying tactics with excuse after excuse FS replies: " And wot you gonna do about it?"
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rogerthat
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Post by rogerthat on Jun 10, 2019 13:33:04 GMT
3 hours ago (10/06/19) We are continuing discussions with this Borrower, and actively working to gain a positive outcome in the next 2 weeks. We will issue a further update as soon as we have tangible information. 2 weeks !..will FS be buying our esteemed borrower a pair of cotton socks for his 2nd anniversary ?
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michaelc
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Post by michaelc on Jun 10, 2019 14:56:42 GMT
The previous update was this:
08/03/2019
The borrower has now requested a renewal.
To make a decision on whether a renewal is appropriate we will be instructing a valuation to assess the security. We will post a further update in due course.
So what happened to the valuation? Or the renewal?
These updates really give me great confidence I don't think.
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james21
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Post by james21 on Jun 12, 2019 6:52:38 GMT
been running 2 years, borrower drawing good income from tenants. Cant or wont pay back. FS know they should have gone to court a year ago to remove tenant and reclaim the property then auction it but did not do this because its out of their range of knowledge and experience, instead ignored the problem and hoped something would come up, 3 months between recent updates. Disgraceful performance no respect for lenders
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