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Post by df on Feb 24, 2023 18:01:36 GMT
Another loan (2DFDCA04B) repayment from auction proceeds today where the capital and interest repayments combine to equal the initial capital. The loan description page describes an interest loss and no capital loss. This seems to contradicts the transactions on my account which suggest full interest payment and a capital repayment shortfall. I don't mind which way the loss is described as long as there is consistency or a valid explanation. UB's valuations used to be perfect, not any more.
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toffeeboy
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Post by toffeeboy on Feb 27, 2023 16:34:45 GMT
They have made up losses on three loans in the past month that I am aware of, £10, £1550, £1795. In the same period, investors have lost £6514.19 in interest due to poor valuations auction returns. Not sure how you can lose something that you never had. Do I lose millions every time I play the lottery? I think you mean to say investors received £6,141.19 less interest than they had hoped to receive. Saying you lost interest suggests that you think that you are a saver rather than an investor.
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Ukmikk
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Post by Ukmikk on Feb 28, 2023 15:53:28 GMT
They have made up losses on three loans in the past month that I am aware of, £10, £1550, £1795. In the same period, investors have lost £6514.19 in interest due to poor valuations auction returns. Not sure how you can lose something that you never had. Do I lose millions every time I play the lottery? I think you mean to say investors received £6,141.19 less interest than they had hoped to receive. Saying you lost interest suggests that you think that you are a saver rather than an investor. Unnecessarily pedantic. Probably brought on by your position in the league.
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mrdc
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Post by mrdc on Mar 6, 2023 12:16:39 GMT
Overdue loan on a manuscript sold through forum auctions on 26/01/23 but still not credited to cash balance. Is this normal for Unbolted?
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jonno
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nil satis nisi optimum
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Post by jonno on Mar 6, 2023 13:21:56 GMT
Not sure how you can lose something that you never had. Do I lose millions every time I play the lottery? I think you mean to say investors received £6,141.19 less interest than they had hoped to receive. Saying you lost interest suggests that you think that you are a saver rather than an investor. Unnecessarily pedantic. Probably brought on by your position in the league. Aye aye...that was below the belt.
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Post by Penny Pincher on Mar 6, 2023 19:43:18 GMT
Overdue loan on a manuscript sold through forum auctions on 26/01/23 but still not credited to cash balance. Is this normal for Unbolted? The only reference that I can find to a manuscript that was sold at Forum Auctions was one for loan 2DFDC9B59 which I bought on 27/01/22 and which repaid on 30/11/22, complete with 8% interest.
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ilmoro
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Post by ilmoro on Mar 6, 2023 22:22:40 GMT
Overdue loan on a manuscript sold through forum auctions on 26/01/23 but still not credited to cash balance. Is this normal for Unbolted? The only reference that I can find to a manuscript that was sold at Forum Auctions was one for loan 2DFDC9B59 which I bought on 27/01/22 and which repaid on 30/11/22, complete with 8% interest. 2DFDC7D86 Probably to do with auction settlement terms, though seems to be outside those stated on the auction website 3 +15 or 21 working days (depending on where you look)
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mrdc
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Post by mrdc on Mar 7, 2023 7:12:15 GMT
The only reference that I can find to a manuscript that was sold at Forum Auctions was one for loan 2DFDC9B59 which I bought on 27/01/22 and which repaid on 30/11/22, complete with 8% interest. 2DFDC7D86 Probably to do with auction settlement terms, though seems to be outside those stated on the auction website 3 +15 or 21 working days (depending on where you look) Yes that's the one. It was due to be repaid April 21 so a very long process to get it sold at auction. I'll give them another month and then try to find out whats going on. Thanks for the reply.
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Post by Ace on Mar 7, 2023 10:43:49 GMT
2DFDC7D86 Probably to do with auction settlement terms, though seems to be outside those stated on the auction website 3 +15 or 21 working days (depending on where you look) Yes that's the one. It was due to be repaid April 21 so a very long process to get it sold at auction. I'll give them another month and then try to find out whats going on. Thanks for the reply. Taking a closer look at this borrower's activity, he's certainly a prolific Unbolted borrower, and has been since he started borrowing in 2018. He has 18 outstanding loans totalling roughly £54k. 13 of these are Active and 5 (including the one we're discussing) defaulted. These defaulted loans total roughly £23k. In addition to the Acitve loans he has another 90 settled loans, 8 of which defaulted. This got me thinking as to why anyone would borrow so frequently from what has to be a very high cost lender. The following is pure speculation, but would explain what's going on. I suspect that the borrower has hit on an almost foolproof business model. He buys items that he specialises in at what he knows to be cheap prices. If he doesn't have an immediate place to move the item on for a profit, he pawns the item with Unbolted for at least as much as he paid for it while he advertises the item for sale. If, in the next 6 months, he gets an offer for the item above the total redemption price he redeems and sells it on for a profit. If it doesn't sell he let's it lapse at Unbolted. He makes no loss as he pawned it for at least as much as he paid for it. Unbolted (actually it's lenders) take all the risk as to whether Unbolted can recover the debt. I said that it was "almost" foolproof for one reason. He is relying on being able to pawn the item at Unbolted for at least as much as he paid for it. The only way he could be certain of that would be if he knew what the Unbolted valuer would value the item at! I was tempted to speculate further here, but... Should we be worried about this? Well, given that we haven't lost money on the 90 settled loans so far, I guess not. It seems to be a situation that benefits us all. As I said, pure speculation, but it's the only scenario I could think of that made sense to me.
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registerme
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Post by registerme on Mar 7, 2023 16:15:05 GMT
Yes that's the one. It was due to be repaid April 21 so a very long process to get it sold at auction. I'll give them another month and then try to find out whats going on. Thanks for the reply. Taking a closer look at this borrower's activity, he's certainly a prolific Unbolted borrower, and has been since he started borrowing in 2018. He has 18 outstanding loans totalling roughly £54k. 13 of these are Active and 5 (including the one we're discussing) defaulted. These defaulted loans total roughly £23k. In addition to the Acitve loans he has another 90 settled loans, 8 of which defaulted. This got me thinking as to why anyone would borrow so frequently from what has to be a very high cost lender. The following is pure speculation, but would explain what's going on. I suspect that the borrower has hit on an almost foolproof business model. He buys items that he specialises in at what he knows to be cheap prices. If he doesn't have an immediate place to move the item on for a profit, he pawns the item with Unbolted for at least as much as he paid for it while he advertises the item for sale. If, in the next 6 months, he gets an offer for the item above the total redemption price he redeems and sells it on for a profit. If it doesn't sell he let's it lapse at Unbolted. He makes no loss as he pawned it for at least as much as he paid for it. Unbolted (actually it's lenders) take all the risk as to whether Unbolted can recover the debt. I said that it was "almost" foolproof for one reason. He is relying on being able to pawn the item at Unbolted for at least as much as he paid for it. The only way he could be certain of that would be if he knew what the Unbolted valuer would value the item at! I was tempted to speculate further here, but... Should we be worried about this? Well, given that we haven't lost money on the 90 settled loans so far, I guess not. It seems to be a situation that benefits us all. As I said, pure speculation, but it's the only scenario I could think of that made sense to me. Nice analysis, and yes, we should be worried about it.
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dave4
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Post by dave4 on Mar 7, 2023 16:42:31 GMT
3 years ago in a growth market, no worries, now yes we should be worried about it, our risk as lenders has increased considerably and i believe will increase.
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scooter
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Post by scooter on Mar 9, 2023 19:36:31 GMT
Forgive the resurrection I've just come back from holiday. So my transactions shows two amounts of "loan fees". Intuitively that sounds like something I pay, but the amounts are positive and applied to neither capital nor interest. Have I received this money and does it represent (partial) loan repayments? Yes, we were paid the "Loan fees". A strange name, but, from memory, I think this was a payment from UB to us lenders to compensate us for what would otherwise have been a loss of capital. Hopefully, someone with a better and more definitive response will be along soon. UNBOLTED said: " The 'loan fees' were paid by Unbolted to all lenders on this loan as the sale price was below the loan principal amount and we made the payment so that lenders got their principal amount back.
This is unusual and in the transactions page you are right the amount showing under interest isnt clear. You are right on this loan you have not received interest only the principal amount back.
Transactions page is a snapshot and end of year tax statement will show the simple transaction with no interest received."It bothers me more to have reports that don't reconcile to each other and management who think that is ok, than it would to have suffered the small loss. They will probably not cover a big loss and then I will have losses and duff reporting.
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Ukmikk
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Post by Ukmikk on Mar 10, 2023 15:49:49 GMT
Yes that's the one. It was due to be repaid April 21 so a very long process to get it sold at auction. I'll give them another month and then try to find out whats going on. Thanks for the reply. Taking a closer look at this borrower's activity, he's certainly a prolific Unbolted borrower, and has been since he started borrowing in 2018. He has 18 outstanding loans totalling roughly £54k. 13 of these are Active and 5 (including the one we're discussing) defaulted. These defaulted loans total roughly £23k. In addition to the Acitve loans he has another 90 settled loans, 8 of which defaulted. This got me thinking as to why anyone would borrow so frequently from what has to be a very high cost lender. The following is pure speculation, but would explain what's going on. I suspect that the borrower has hit on an almost foolproof business model. He buys items that he specialises in at what he knows to be cheap prices. If he doesn't have an immediate place to move the item on for a profit, he pawns the item with Unbolted for at least as much as he paid for it while he advertises the item for sale. If, in the next 6 months, he gets an offer for the item above the total redemption price he redeems and sells it on for a profit. If it doesn't sell he let's it lapse at Unbolted. He makes no loss as he pawned it for at least as much as he paid for it. Unbolted (actually it's lenders) take all the risk as to whether Unbolted can recover the debt. I said that it was "almost" foolproof for one reason. He is relying on being able to pawn the item at Unbolted for at least as much as he paid for it. The only way he could be certain of that would be if he knew what the Unbolted valuer would value the item at! I was tempted to speculate further here, but... Should we be worried about this? Well, given that we haven't lost money on the 90 settled loans so far, I guess not. It seems to be a situation that benefits us all. As I said, pure speculation, but it's the only scenario I could think of that made sense to me. I thought this was the basis of all the business loans, and is basically a form of leveraging for the trader.
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mrdc
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Post by mrdc on Mar 31, 2023 6:53:52 GMT
2DFDC7D86 Probably to do with auction settlement terms, though seems to be outside those stated on the auction website 3 +15 or 21 working days (depending on where you look) Yes that's the one. It was due to be repaid April 21 so a very long process to get it sold at auction. I'll give them another month and then try to find out whats going on. Thanks for the reply. This has now been paid.
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registerme
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Post by registerme on Jun 2, 2023 11:28:25 GMT
I took a loss on something yesterday / today - 2DFDC9FDF. Looks like Unbolted stepped in to cover the principal loss, but we lost out on the interest.
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