Lendy Action Group // Refusing 11-07-18 terms // JOIN Here
May 23, 2019 12:26:35 GMT
robberbaron, Balder, and 19 more like this
Post by wuzimu on May 23, 2019 12:26:35 GMT
*** Invitation to join an action group for lenders who have REFUSED current Lendy terms ***
Please read below for why lenders might want to do that, what LAG wants to do
Without announcement Lendy regularly amends the lender terms and attaches these to every listed loan on the Lendy platform (apart from the non-P2P loans DFL001, DFL002, PBL027, PBL056). The terms amended in 2018 including the current 11/07/18 terms materially disadvantage lenders compared to terms in force prior to 2018:
The effect in brief:
a. Creating many new instances where Lendy can raise fees and charges as they like.
b. In the event of defaulted loans Lendy’s fees of whatever nature and ‘interest’ will be recovered first before lenders capital.
c. Lendy remove from themselves any obligation to manage loans or any obligation under the Loan Contracts and Lendy deny any liability for any information they present to lenders.
d. Lendy and Savingstream Security Holding Ltd irrevocably appoint themselves as agent / trustee over lenders and the loan contracts, meaning they cannot be removed.
e. Clause 24.1 of these terms states: ‘For the avoidance of doubt, any changes to the Terms shall be deemed to apply to pre-existing loans where you continue using the Lendy Platform after the effective date of such changes, unless you expressly notify us otherwise in writing.’
These 11/07/18 terms are substantially unfair and unlawful but in any event…. … Clause 24.1 allows lenders to refuse the terms for every loan part they hold where that loan was bought prior to 11/07/18. For many lenders that would be their entire portfolio of loan parts. After refusal, the terms that apply are the terms extant when each loan part was promoted on the Lendy platform.
Terms extant before March 18 (apparently the current 11/7/18 terms are an update of a major revision 5/3/18) are much preferable to lenders as they do not allow Lendy to deduct more than reasonable direct costs of enforcement from partial recoveries of defaulted loans and lender capital needs to be returned before other deductions are made (and many other things).
How to refuse 11/07/18 terms.
Simply email or write Lendy and tell them!
What will happen.
Experience of myself and others is Lendy just effectively ignore you. – Lendy most likely plan to take the same large deductions from partial recoveries to those who refuse the 11/07/18 terms as those who accept them. Fixing that is the first aim of the group. This will create alot of pressure on Lendy and is important to steering events in a way that benefit lenders.
****** UPDATE 24.5.19 ******
the new Lendy response to an email refusing the 11/7/18 terms is to require you to write in with a 'wet signature'. (see jfh82 post below)
This is obstruction. Lendy try to bind us with new terms regularly without Liams wet signature on a peice of paper. Email is a legal form of written instruction. HOWEVER Lendy are within their rights to be sure the instruction is coming from the lending member, so be clear about your ID in the email.
And if you can, why not send a letter too?
THIS IS PROGRESS AS LENDY ARE ALREADY NOT IGNORING REFUSAL OF TERMS
Lendy also say you can't refuse the 'enhanced' terms if you have bought loan parts since 11/7/18 (and maybe since the 'enhanced' terms offirst came on 5/3/18). Whatever Lendy say, LAG's position is that you CAN refuse the terms for all loan parts you bought PRIOR to 11/7/18 (and 5/3/18) as per Clause 24.1 and law of contract. It is the act of investing in each loan part that is your acceptance of terms for that loan part. So you need to look at your portfolio and make a note of the dates, there will be a number of versions of terms that apply on a loan by loan basis.
Mission Statement of Lendy Action Group.
1. Lendy to accept lenders right to refuse the 11/07/18 terms and to treat these lenders fairly in accordance with the terms that do apply on a loan by loan basis.
2. Lendy to properly account to lenders for partial recoveries and only to deduct reasonable direct costs ahead of the return of lenders capital.
3. Liam Brooke be required by FCA to step aside as Director of Lendy Ltd and SSSH Ltd, in favour of an independent board who will prioritize Lendy / SSSH fiduciary duty to lenders.
4. Lendy to wind down the existing loan book in a competent and efficient way. All borrowers should be pursued for recovery to lawful limits for the benefit of lenders.
5. Liam Brooke’s own conduct be investigated and recovery of payments made to himself and his companies. We feel the 'profit' for those was generated from breaches of trust owed to lenders.
The voice of lenders who have refused Lendy terms, needs to be heard by FCA as we are not presently directly represented.
FCA will hear a group and we need to be involved with the next stage for Lendy.
How express your interest to join.
* If you are interested in joining this group, please post your interest on this thread.
* Or simply ‘like’ this message. * you can PM me, but my inbox gets very full, I might miss you
* I will message you how this is moving forward shortly.
We need about 20 or so members to start. You should refuse the 11/07/18 Lendy terms to join.
Regards, Wuzimu.
