dave2
Member of DD Central
Posts: 171
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Post by dave2 on Feb 5, 2024 1:57:27 GMT
"Despite the smoke and mirrors the XIRR is the same whether you choose compound or monthly."
What, gasp. A 1 year loan would pay exactly the same amount of interest for either 12 monthly payments or 1 annual compounded payment ? Or maybe I don't understand XIRR. No. The compound payment would be more than the sum of the 12 monthly payments. However, if the 12 monthly payments were invested in loans at the same rate the total interest would be the same. Hence the XIRRs of the two options would be the same. However the monthly interest payments will sit in your "Kuflink general wallet" not earning any interest, until there is at least £500 accumulated for re-investment. Unless you trust Auto-Invest...
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Post by Ace on Feb 5, 2024 8:34:18 GMT
No. The compound payment would be more than the sum of the 12 monthly payments. However, if the 12 monthly payments were invested in loans at the same rate the total interest would be the same. Hence the XIRRs of the two options would be the same. However the monthly interest payments will sit in your "Kuflink general wallet" not earning any interest, until there is at least £500 accumulated for re-investment. Unless you trust Auto-Invest... Not for me, as all my Kuflink funds are in the past year ISA account. So minimum investment is very small.
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jcb208
Member of DD Central
Posts: 821
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Post by jcb208 on Feb 5, 2024 16:45:07 GMT
I wish they would do away with the silly £500 minimum investment I have to withdraw £40-50 every month of Interest. With my ISA I can reinvest small amounts so OK .Also I would be quite happy to put £100-200 in a lot of those new offerings but not £500
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dave4
Member of DD Central
Cynical is a hobby not a lifestyle
Posts: 1,012
Likes: 581
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Post by dave4 on Feb 5, 2024 19:05:32 GMT
As per e mail received 5/2/24. We have made some changes to the platform when re-terms are agreed upon with our borrowers.
When loans are re-termed, you will see that the rates offered may change as we will now pass on the proportional rate increase from the borrower to our investors in the deals.
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scooter
Member of DD Central
Posts: 363
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Post by scooter on Feb 5, 2024 20:03:15 GMT
As per e mail received 5/2/24. We have made some changes to the platform when re-terms are agreed upon with our borrowers. When loans are re-termed, you will see that the rates offered may change as we will now pass on the proportional rate increase from the borrower to our investors in the deals. If you are referring to S******n R**d B*12 an increase in rates was given, but there doesn't seem to be anything new on offer. They have just got very good at cut & paste emails, appropriate or not. I invested in this one from the start. The first update was today. Read the valuation site visit reports. Admittedly, they don't allow me to view any beyond Tranche 9, but that one makes it clear that the properties were going to be finished by the loan end date of December and the properties were on the market in Aug 23. Why did they pretend that everthing was going ok in Sept 23? Complete sales were never going to happen by the end of the loan. There was never any time built in to do that even though the exit strategy was sale. Now they need 6 extra months to sell the properties. Why didn't they realise that in Sept. There was no update about actual sales. And the actual rate increase was a little over one percent. And this is one of the best managed loans i have come across so far.
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Post by overthehill on Feb 15, 2024 9:32:55 GMT
Something I noticed the other day is that in your portfolio the loan end date is constantly changed to the date of the next promised update. I suppose the original end date is available somewhere and you never have a late loan or get distracted by thoughts of penalty interest...
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scooter
Member of DD Central
Posts: 363
Likes: 347
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Post by scooter on Feb 15, 2024 9:38:27 GMT
Something I noticed the other day is that in your portfolio the loan end date is constantly changed to the date of the next promised update. I suppose the original end date is available somewhere and you never have a late loan or get distracted by thoughts of penalty interest...
No, i don't think you will find the original date anywhere unless they mention it in the loan comments.
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