upperdeane
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Post by upperdeane on Apr 9, 2020 13:50:20 GMT
Congrats to benaj who seems to be the last seller on this thread (on 27th March 2020). It appears @ criston was next in the queue and missed out
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supyk
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Post by supyk on Apr 9, 2020 14:46:15 GMT
"If your lending is turned off you will typically receive 3-5% back of your outstanding portfolio every month." What's left unsaid is that I can also expect to find a further 6-8% of my outstanding portfolio downgraded every month. Also that if FC agree payment holidays / interest-only schemes etc. with many borrowers to avoid defaults, even the repayments will dry up. Will the Coronavirus Business Interruption Loan Scheme help such troubled borrowers? Though I am uncertain the accredited lenders in that scheme would take kindly to their cheap money being used to pay off dearer FC loans.
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benaj
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Post by benaj on Apr 9, 2020 15:01:19 GMT
Congrats to benaj who seems to be the last seller on this thread (on 27th March 2020). It appears @ criston was next in the queue and missed out I still have 4 "live" fish for sales on FC paused secondary market, and plenty other eggs stuck in other platforms. The only thing I can do is fasten the seat belt and try to survive the roller coaster rides.
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Post by rainydaze on Apr 9, 2020 17:55:00 GMT
Absolute dog act from FC. And not what I signed up for. BTW I feel it's best this thread remains open. Really can't see a benefit to anyone other than FC themselves for it to close. Especially now they have dealt us another blow to keep our money on their grubby books just so they can pat themselves on the back. Wouldn't surprise me if this act was planned or talked about way before the virus.
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blender
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Post by blender on Apr 12, 2020 8:11:52 GMT
Yes, this situation is a real opportunity for FC directors. Great to have a natural disaster on which to blame the terrible position which was already a result of their own failure. They will get a restart on the same basis as those who were doing well, can put the failures down to the virus, and can make radical changes going forward to base the platform on a more workable model. Watch out for a new CEO with a recovery mandate.
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Post by rainydaze on Apr 12, 2020 23:55:58 GMT
One thing I don't really understand, and I've read their explanation, why really close the option to sell? It's quite ridiculous..
It's like saying, 'I'm closing my shop now, because we might only get 10 customers today...'
It's the worst business acumen you may ever encounter!
What does it really matter to FC if among us we sell 1 loan part or 10,000 loan parts in a day, week, month ? It's automatic. We're told they make nothing from it anyway until we withdraw... So, why the big fuss to close something that makes no difference to them if it stays up or not.
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Post by Badly Drawn Stickman on Apr 13, 2020 6:42:29 GMT
One thing I don't really understand, and I've read their explanation, why really close the option to sell? It's quite ridiculous.. It's like saying, 'I'm closing my shop now, because we might only get 10 customers today...' It's the worst business acumen you may ever encounter! What does it really matter to FC if among us we sell 1 loan part or 10,000 loan parts in a day, week, month ? It's automatic. We're told they make nothing from it anyway until we withdraw... So, why the big fuss to close something that makes no difference to them if it stays up or not. I suspect the bottom line is to protect buyers, or maybe unlucky recipients is a better term. I broadly support them in that desire. The people selling are fairly unlikely to be future investors, those buying are. I happily accept all arguments that loans should not be 'toxic' and FC have done a poor job, but they are which is why people want to offload them. Is it really fair in any way that a buyer with no choice should get them?
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blender
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Post by blender on Apr 13, 2020 7:10:31 GMT
"The businesses you have lent to are good, creditworthy businesses and we expect returns to remain resilient over the coming period. However, given the current environment we have decided to be prudent and pause all loan part sales on the secondary market.". - FC secondary market update.
Surely we have no reason to distrust such a statement from this Fine Company?
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Post by Badly Drawn Stickman on Apr 13, 2020 7:17:43 GMT
"The businesses you have lent to are good, creditworthy businesses and we expect returns to remain resilient over the coming period. However, given the current environment we have decided to be prudent and pause all loan part sales on the secondary market.". - FC secondary market update.
Surely we have no reason to distrust such a statement from this Fine Company? I had not seen that, clearly I am in error with my rash assessment.
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Post by mrsnicb on Apr 13, 2020 7:56:57 GMT
Does anyone know whether there are any independent bodies to complain to /ombudsman type places that cover institutions like FC? I complained directly to FC when the new selling tool came in but got nowhere, but now the 'pause' of the secondary market is really bad - I feel it's almost like a breach of advertising standards as I put my money in with the understanding I could get it back through the secondary market (obviously not instantly and dependent on supply demand etc). Although they were clear that loans would run for several years, they were not clear that I may have no chance of accessing my money for several years. I really don't see them reactivating the secondary market
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blender
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Post by blender on Apr 13, 2020 8:24:49 GMT
"The businesses you have lent to are good, creditworthy businesses and we expect returns to remain resilient over the coming period. However, given the current environment we have decided to be prudent and pause all loan part sales on the secondary market.". - FC secondary market update.
Surely we have no reason to distrust such a statement from this Fine Company? I had not seen that, clearly I am in error with my rash assessment. Quite so. Personally I am pleased to see the general return of good old-fashioned paternalism at this time (with apologies for the lack of a gender-inclusive replacement term). I am sure that if I had any live FC loans left, which I do not, then I would not mistrust their recent statements, the 'under-performing cohort' being long gone, and would like to think of the FC management as the guardian angels of lenders.
mrsnicb - you could try prayer.
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Post by tungsten on Apr 13, 2020 11:03:19 GMT
Seems clear that 3-5% repayment of outstanding loan book over a month is not achievable at the moment, whether that's due to a spike in defaults or repayment holidays
I would suggest 1-2% will be more likely for the time being, maybe worth using this thread to report weekly returns instead (which will vary by lender, of course)
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Post by rainydaze on Apr 15, 2020 1:01:02 GMT
Agreed. A % return per week or something would be handy to view.
As I wouldn't trust any stat FC could slam into our faces ever again.
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Post by dogeared on Apr 15, 2020 7:08:56 GMT
Seems clear that 3-5% repayment of outstanding loan book over a month is not achievable at the moment, whether that's due to a spike in defaults or repayment holidays I would suggest 1-2% will be more likely for the time being, maybe worth using this thread to report weekly returns instead (which will vary by lender, of course) Mine is almost exactly 2% since April 1st.
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Post by donaldtux on Apr 17, 2020 10:16:52 GMT
Hi - Do you know if the new email we received from FC today / statement they just made means that :
1 -- there is no "new" origination for all retail investors ? Meaning that all the investors who is still in "lending" mode will only be buying existing loans from here ?
2 -- there will be no new or existing loans sold to retail investors, for the time being . It looks like they are saying they are "pausing all new lending", so might mean both.. Thanks!
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