archie
Posts: 1,838
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Post by archie on Dec 6, 2019 9:46:14 GMT
I have a large amount invested. For a long time MT was my favourite platform. Although I have rather a lot in default I wish them well.
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Post by elephantrosie on Dec 6, 2019 9:50:03 GMT
Respect to MT
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greatmarko
Member of DD Central
Posts: 343
Likes: 373
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Post by greatmarko on Dec 6, 2019 9:52:11 GMT
... It starts off as an orderly wind down- but what sources of capital do they have to pursue the defaults ? ... One (and perhaps the main) source of capital will be the loan they just took out - see this thread.
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Post by zengecko on Dec 6, 2019 9:53:01 GMT
I think there's a typo in their 'detailed information': "We will remain omitted to treating all customers fairly."
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Post by zzr600 on Dec 6, 2019 9:54:10 GMT
Unfortunately no surprises here. I was burned by Lendy and learned the hard way that LTVs and guarantees etc are but worthless paper. I took the decision to withdraw from MT a few months ago, even though I was only invested in the pawnshop loans which I viewed as being the least risky.
Whilst I don't think MT were operating in the same way as Lendy, cash flow problems from having to manage lots of non-performing loans will undermine any platform. Hopefully the good loans will see full recovery, but the ongoing operational costs have to be me from somewhere...
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zoll
Posts: 52
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Post by zoll on Dec 6, 2019 9:58:46 GMT
... It starts off as an orderly wind down- but what sources of capital do they have to pursue the defaults ? ... One (and perhaps the main) source of capital will be the loan they just took out - see this thread. Yes- and how do they repay that loan eventually ? There are no free lunches.
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withnell
Member of DD Central
Posts: 550
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Post by withnell on Dec 6, 2019 9:59:49 GMT
I still have a chunk tied up with them in defaults and very concerned. It starts off as an orderly wind down- but what sources of capital do they have to pursue the defaults ? I don't think this is going to end well. Am in Collateral and FS as well- regret the day I began my foray into UK P2P lending. With the last new loan issued in March, the income has been just interest rate margin / exit fees for a while - you're in a better position with the reduced costbase of the wind-down structure, without the origination staffing costs and with a reduced admin function from not having to process deposits/withdrawals from the secondary market. Hopefully a few of the existing performing loans can be sold to another platform to enable the Things to get on with their careers!
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oldtimer
Member of DD Central
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Post by oldtimer on Dec 6, 2019 10:01:29 GMT
I wonder how this leaves people like myself who have withdrawn a substantial amount of funds from the flexible isa as there have been no new loans. Now there appears to be no way of paying the money back and getting it transferred out to retain the tax free status.
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bramhall17
Member of DD Central
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Post by bramhall17 on Dec 6, 2019 10:07:30 GMT
Yes sad and I wish the 'things' well. I think it became inevitable as loan initiation dried up and loan redemption became more problematic. After the RCC debacle I accelerated my overall p2P plan of getting most platform exposure below my total interest received. I'm about 800 quid shy of being there with Moneything with about £3800 outstanding, so all being well should secure at least b/e . I have always thought they were honest and had integrity but IMO the realities of the bottom end of property development they moved into trying to scale up was always going to be a struggle.
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Post by wilf on Dec 6, 2019 10:09:33 GMT
Good luck to the Things.
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averageguy
Member of DD Central
Posts: 1,165
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Post by averageguy on Dec 6, 2019 10:10:06 GMT
All other considerations aside, you always got the impression that MoneyThing were honestly and genuinely trying to do the right thing by lenders. Some of their decision making may not have been perfect, but I've never had any cause to question their integrity. Unlike some of their competitors... that’s exactly how I feel
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mrk
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Post by mrk on Dec 6, 2019 10:12:46 GMT
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11025
Member of DD Central
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Post by 11025 on Dec 6, 2019 10:15:50 GMT
I gave them the benefit of the doubt for a few months , but when I witnessed first hand their behaviour on loan RCC1000 (Ferrari 458) , from the negligence on finance markers to the unexpected and undisclosed sudden sharing of a 50% ltv fixed charge across all loans ,then I decided enough was enough.
They can't treat investors in this way and expect to suffer no consequences.
But I do very much respect them for taking this proactive action.
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invester
P2P Blogger
Posts: 612
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Post by invester on Dec 6, 2019 10:19:41 GMT
It's good of them to do this, although I think this is an industry where doing the decent thing appears to be an exception.
Many other platforms might not have taken out the loan, offered some dubious black-box account to try and get some last-minute capital and end up failing anyway.
Let's hope the wind-down goes well, although I can see some borrowers trying to string it out to the end.
What happens to the wind-down procedure already in place? Does that kick-in after this planned wind-down ends?
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corto
Member of DD Central
one-syllabistic
Posts: 851
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Post by corto on Dec 6, 2019 10:23:18 GMT
I wonder how this leaves people like myself who have withdrawn a substantial amount of funds from the flexible isa as there have been no new loans. Now there appears to be no way of paying the money back and getting it transferred out to retain the tax free status. It may be possible to move funds from standard back into the ISA as they pay back? Or MT may allow refilling the ISA with cash before a transfer out to another provider?
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