|
Post by graham34 on Aug 20, 2016 8:06:26 GMT
The article suggests strongly that the big banks are lobbying against the P2P ISA, but is there any evidence for this?
|
|
jnm21
Posts: 441
Likes: 166
|
Post by jnm21 on Aug 20, 2016 8:48:52 GMT
The article suggests strongly that the big banks are lobbying against the P2P ISA, but is there any evidence for this? On one hand I agree evidence would be nice, but on the other (and yes I may sound like a conspiracy theorist) the delays look like evidence in themselves. Lets face it, the lobbying probably happens well away from public glare.
|
|
|
Post by justdabbling on Aug 20, 2016 10:10:50 GMT
Thanks for posting the link to the article which was interesting. Press articles about P2P are often very negative and I have suspected that the newspapers had one eye on their advertising revenue but this one was more balanced, and reflected more accurately the experiences described on this forum. The suspicion that lobbying by the established financial services industry may be delaying the IF ISA was something I had not though of but does make sense.
As this is of general P2P interest I wonder whether someone with the necessary skills could link it to the general P2P discussion?
|
|
|
Post by westonkevRS on Oct 5, 2016 17:57:00 GMT
|
|
jonah
Member of DD Central
Posts: 2,031
Likes: 1,113
|
Post by jonah on Oct 5, 2016 20:13:38 GMT
Given the 'never lost a penny' and rate comparisons with any high street bank, I suspect RS will be getting quite enough new lenders in at the moment with giving away extra cash.
|
|
|
Post by westonkevRS on Oct 20, 2016 16:10:02 GMT
|
|
jnm21
Posts: 441
Likes: 166
|
Post by jnm21 on Oct 27, 2016 7:52:14 GMT
Not one comment on that - surprised. Will listen to that intently as I have 2 BIG bug bears with the provision fund, or rather changes to it, at present; - How is it fair to change the PF while people are in the middle of contracts with up to 5 years to run? I would have been MUCH less likely to invest, let alone for 5 years, if I had been told that the PF & Resolution Event may change, even may not be there, by the time this investment matures - none of the reading I did even suggested either was possible!
- How is it fair to answer the question "How large is the Provision Fund?" with an answer that more accurately answers "How large do we expect the Provision Fund to get over the next 5 years without any new loans, recoveries or failed payments?"
|
|
jlend
Member of DD Central
Posts: 1,817
Likes: 1,444
|
Post by jlend on Nov 6, 2016 18:45:52 GMT
|
|
|
Post by ruralres66 on Nov 6, 2016 18:58:50 GMT
"In the event that the provision fund runs out, the firm estimates that there is a £30m “interest buffer” sitting beneath the fund. This figure equates to the lifetime interest owed on existing loans, with a discount ("discount"??) applied by predicting how many loans will repay early or not at all." So, how will that be calculated? How can you predict in a crisis? More info needed, but I am pleased the forum and industry pundit concerns at last being debated and responded to by RS. Will westonkev review his running for the hills threat?!
|
|
jlend
Member of DD Central
Posts: 1,817
Likes: 1,444
|
Post by jlend on Nov 7, 2016 19:54:51 GMT
|
|
jlend
Member of DD Central
Posts: 1,817
Likes: 1,444
|
Post by jlend on Nov 8, 2016 9:30:56 GMT
The story got me thinking..... In the event of an issue lenders are being asked to give up some interest to feed into the provision fund. It would be nice if at the same time ratesetter gave up some of their fees to feed into the provision fund. For example, if lenders were asked to give up 20% of their interest then ratesetter could give up 20% of their fees.
|
|
alender
Member of DD Central
Posts: 955
Likes: 645
|
Post by alender on Nov 8, 2016 11:59:07 GMT
I do not believe this is a good thing, it looks as though our money will be taken from us to be placed into a provision fund where we have no control or no legal right where the money goes and how it is used. In effect the money will be taken from us and given to another company with no legal guarantees on the funds. Once in the PF it can be used for anything RS chose including buying its own loans or any other purpose, perhaps propping up RS to keep it going a bit longer with the result that investors could end up with less than if a resolution event was called as soon as the PF was exhausted. In desperate times people do desperate things and in our case it might well be to prolong the life of RS with ultimately worse outcomes for its investors. Unless there are legal guarantees on how PF money is used I feel very uncomfortable about this and it looks like it could well be throwing good money after bad.
With this in place RS have less reason to be cautious with loans they give out and the amount of money allocated to the PF. Also I do not have much confidence in the PF and I do not believe it will cope in bad times (given the current coverage ratio) and regard it as more of a marketing tool for RS.
|
|
|
Post by ruralres66 on Nov 8, 2016 15:57:34 GMT
I contacted Kadhim, thanking him for his article. "Thanks for casting your welcome critical eye on the RS developments. For us mere ordinary lender morals, it helps us show due diligence..." He's replied, "Thank you for the message. Always re-assuring to know people are actually reading this stuff."Who needs a RS rep when we have a "real deal" journalist?!
|
|
jlend
Member of DD Central
Posts: 1,817
Likes: 1,444
|
Post by jlend on Dec 9, 2016 7:40:38 GMT
|
|
SteveT
Member of DD Central
Posts: 6,873
Likes: 7,918
|
Post by SteveT on Dec 9, 2016 10:00:54 GMT
westonkev, have you checked your voicemail for messages?
|
|