beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
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Post by beagle on Jun 29, 2020 8:55:16 GMT
I am already walking, I have now only got £46 left to go from £36,000. Over the last year Ratesetter's website has got more complicated and getting higher rates was more difficult which I believe was a deliberate move from Ratesetter themselves. I got my money out early April. I doubt very much I will be going back to Ratesetter any time soon. Spot on! Ratesetter's constant tinkering now back to bite them... max, access, plus, 5yr but really.......... Ratesetter is just one account, always was. Probably somewhere between 1yr ,5yr and never.. Well done Ratesetter, you Royally cocked things up big style. Potential IPO to fire sale! This situation was not their cock up, how would you have done it out of interest?
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
Likes: 322
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Post by beagle on Jun 29, 2020 8:56:15 GMT
I am already walking, I have now only got £46 left to go from £36,000. Over the last year Ratesetter's website has got more complicated and getting higher rates was more difficult which I believe was a deliberate move from Ratesetter themselves. I got my money out early April. I doubt very much I will be going back to Ratesetter any time soon. Ditto. By the time i get my savings they will probably be used for OAP care costs rather than the new car I was planning in February. When i put my money in RS i purposefully avoided the 5 year loan due to my age. Im sure I'm not the only elderly person in this position My original investment was 35.5K, Have to be honest and challenge why savings for a potential immediate need would be invested?
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iRobot
Member of DD Central
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Post by iRobot on Jun 29, 2020 9:42:15 GMT
Ditto. By the time i get my savings they will probably be used for OAP care costs rather than the new car I was planning in February. When i put my money in RS i purposefully avoided the 5 year loan due to my age. Im sure I'm not the only elderly person in this position My original investment was 35.5K, Have to be honest and challenge why savings for a potential immediate need would be invested? Have to be honest and challenge your challenge a) I'm presuming gar is referring to Feb 2021 which is still 7 months away from today's date, and would like have been quite a bit further off than that when the investment was made; so maybe 'immediate' is a bit wide of the mark? b) I'm also presuming a new car is a discretionary purchase. Had it been a sum required for a non-discretionary liability like a tax bill, then absolutely, pretty much the last place you want to put it is P2P!
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Post by Ace on Jun 29, 2020 10:11:49 GMT
Spot on! Ratesetter's constant tinkering now back to bite them... max, access, plus, 5yr but really.......... Ratesetter is just one account, always was. Probably somewhere between 1yr ,5yr and never.. Well done Ratesetter, you Royally cocked things up big style. Potential IPO to fire sale! This situation was not their cock up, how would you have done it out of interest? That depends on which situation you are referring to: If it's covid 19 then obviously not the fault of RS. If it's the fact that the PF was rapidly heading for a crisis before covid hit then it is RS's fault. This was their job to sort out and they were failing miserably. If it's the fact that their platform was becoming increasingly difficult for investors to set their own rates at which they are willing to lend, and making it more difficult for the average lender to understand how to access their cash, then that was a deliberate intention by RS as they were unable to find a way to make money from their original "rate setter" concept.
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
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Post by beagle on Jun 29, 2020 11:16:36 GMT
Have to be honest and challenge why savings for a potential immediate need would be invested? Have to be honest and challenge your challenge a) I'm presuming gar is referring to Feb 2021 which is still 7 months away from today's date, and would like have been quite a bit further off than that when the investment was made; so maybe 'immediate' is a bit wide of the mark? b) I'm also presuming a new car is a discretionary purchase. Had it been a sum required for a non-discretionary liability like a tax bill, then absolutely, pretty much the last place you want to put it is P2P! in the case of 2021 i would certainly agree with you. challenge accepted haha
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
Likes: 322
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Post by beagle on Jun 29, 2020 11:18:34 GMT
This situation was not their cock up, how would you have done it out of interest? That depends on which situation you are referring to: If it's covid 19 then obviously not the fault of RS. If it's the fact that the PF was rapidly heading for a crisis before covid hit then it is RS's fault. This was their job to sort out and they were failing miserably. If it's the fact that their platform was becoming increasingly difficult for investors to set their own rates at which they are willing to lend, and making it more difficult for the average lender to understand how to access their cash, then that was a deliberate intention by RS as they were unable to find a way to make money from their original "rate setter" concept. that is true. Ratesetter are very good but their user experience team are way below standard about some bits and pieces. the rate change part, colour scheme etc horrendous. i would have to say i bet they don't even look at the customer or have their own accounts
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rscal
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Post by rscal on Jun 29, 2020 11:28:35 GMT
That depends on which situation you are referring to: If it's covid 19 then obviously not the fault of RS. If it's the fact that the PF was rapidly heading for a crisis before covid hit then it is RS's fault. This was their job to sort out and they were failing miserably. If it's the fact that their platform was becoming increasingly difficult for investors to set their own rates at which they are willing to lend, and making it more difficult for the average lender to understand how to access their cash, then that was a deliberate intention by RS as they were unable to find a way to make money from their original "rate setter" concept. that is true. Ratesetter are very good but their user experience team are way below standard about some bits and pieces. the rate change part, colour scheme etc horrendous. i would have to say i bet they don't even look at the customer or have their own accounts Running a brand successfully through all the ups and downs of the business cycle is a difficult enough task. But.... that reminds me of Groucho: "How do you manage a small-scale P2P company .."?
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
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Post by beagle on Jun 29, 2020 12:05:25 GMT
i genuinely think RS has done its best now during this time. indeed failings of the past haunt them.
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Post by diversifier on Jun 29, 2020 15:25:12 GMT
Spot on! Ratesetter's constant tinkering now back to bite them... max, access, plus, 5yr but really.......... Ratesetter is just one account, always was. Probably somewhere between 1yr ,5yr and never.. Well done Ratesetter, you Royally cocked things up big style. Potential IPO to fire sale! This situation was not their cock up, how would you have done it out of interest? Different person than OP, but *my* opinion..... Just make the offering as 1yr and 5yr fixed term, with settable rates. You *do* understand that with settable rates, and *automatic* float of today’s rate plus matching, plus interest-rate adjustment of selling-price, there wouldn’t be a liquidity freeze at all, right? Although the *provision fund problems* are caused by Covid, the actual liquidity freeze is zip all to do with Covid. It is only and completely driven by Ratesetter policy, which they had previously correct and changed away from it! You might not like the consequences, but floating the matching rate is a perfectly valid solution. And it could still be done, without changing Ts and Cs. Just, Ratesetter don’t want to do it. Under that scheme, Sellers would have outnumbered buyers; the huge majority of “loans” in the market would actually have been Sellers. The Matching Interest rate would have shot up, to 8-10%+. Sellers would have been faced with the choice of paying the interest-rate adjustment to sell, which is *equivalent* to a capital haircut, but only on those wanting to sell. Under those circumstances, many would have decided to stay put, keeping Sellers and Buyers magically matched by the Invisible Hand. If you really needed the money, or judged the Risk to be higher than others, you’d sell and take the haircut. If you didn’t want to take the haircut, you’d cancel the sale, and remain in the platform continuing to take the same risk as you do today. Either way, everyone is made as little unhappy as possible by their own decision. And zero queue. External loans would probably have ground to a halt, as borrowers wouldn’t like the High interest rate. But.......so what? Why should the wishes of external borrowers be prioritised over investors in the selling queue? At the moment, for reasons best known to themselves, RS are managing that balance manually, setting it to 50%. I have literally no idea what is magic about 50%. If they set it to 100% RYI (which they could, without violating Ts and Cs), you get back exactly to what I suggested. If you set it to 0%, you shut the secondary market. You could also set it to 30%; or 20% in months when the Queen wears a hat. But why set it manually at all?
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Post by gar on Jun 29, 2020 15:48:59 GMT
Ditto. By the time i get my savings they will probably be used for OAP care costs rather than the new car I was planning in February. When i put my money in RS i purposefully avoided the 5 year loan due to my age. Im sure I'm not the only elderly person in this position My original investment was 35.5K, Have to be honest and challenge why savings for a potential immediate need would be invested? Well its quite easy to answer that. As you are aware the Rate Setter model of five years ago and up to relatively recent times offered monthly loans terms, we all know what happened to that. And as for the car purchase I was thinking about in Feb this year, I was a bit slow off the mark on that one and got caught in the Rate Setter money trap. The Trust Pilot five star review and the RS blurb never put you in any frame of mind where you thought you were investing in something like the Aim market. Its a savings scheme thats gone sour, please don't keep referring to it as an investment.
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
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Post by beagle on Jun 29, 2020 18:04:55 GMT
Have to be honest and challenge why savings for a potential immediate need would be invested? Well its quite easy to answer that. As you are aware the Rate Setter model of five years ago and up to relatively recent times offered monthly loans terms, we all know what happened to that. And as for the car purchase I was thinking about in Feb this year, I was a bit slow off the mark on that one and got caught in the Rate Setter money trap. The Trust Pilot five star review and the RS blurb never put you in any frame of mind where you thought you were investing in something like the Aim market. Its a savings scheme thats gone sour, please don't keep referring to it as an investment. I accept that the changes are not the best and it isn't an attempt to insult you. I agree many were slow off the mark but was it slow, some decisions need data and that is ok too. i agree they package it as savings... 10 quid entry and all that, however I can't say I agree it is not an investment. Just my opinion.
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Post by xiao on Jun 29, 2020 20:08:28 GMT
Given all of the news lately, I thought it would be interesting to see what people's actual position was. I for one am staying, maybe I am making a mistake but I have decided that my risk and strategy can sustain this position.
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
Likes: 322
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Post by beagle on Jun 29, 2020 21:08:05 GMT
i dont follow?
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coogaruk
Hello everyone! Anyone remember me?
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Post by coogaruk on Jun 30, 2020 12:13:03 GMT
As you are aware the Rate Setter model of five years ago and up to relatively recent times offered monthly loans terms, we all know what happened to that. And as for the car purchase I was thinking about in Feb this year, I was a bit slow off the mark on that one and got caught in the Rate Setter money trap. The Trust Pilot five star review and the RS blurb never put you in any frame of mind where you thought you were investing in something like the Aim market. Its a savings scheme thats gone sour, please don't keep referring to it as an investment. I don't think RS ever offered monthly loans terms, even though they implied that was the case to the lenders.
Peer to Peer Lending is definitely an investment and not a savings product. It's also nothing like it was at the outset fifteen years ago. The waters have become very muddied since then and in my view p2p is now in its death throes.
Apologies but it looks to me like you are one of the many who just didn't realise what you were getting into but that is not your fault!
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beagle
Investor in ratesetter, funding circle, lendy (lesson learnt) and AC
Posts: 670
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Post by beagle on Aug 3, 2020 21:46:25 GMT
given over half of the votes (55%) were 'wait and see' I wonder how many will have the same view today
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