|
|
Post by norfolkblue on Apr 16, 2015 21:32:59 GMT
I think for me it's also a matter of knowledge and skills - with a background in both underwriting and accounting, SME loans make a lot of sense to me and I'm happy appraising the risk (rather than having to rely on risk bands or very simple metrics like an LTV).
There seem to be a few out there with similar models to FC that I'm looking into (any suggestions are welcome), but it looks like I'll need to diversify into differing models which may mean investing time to understand.
|
|
markr
Member of DD Central
Posts: 766 
Likes: 426
|
Post by markr on Apr 16, 2015 21:53:45 GMT
There seem to be a few out there with similar models to FC that I'm looking into (any suggestions are welcome), but it looks like I'll need to diversify into differing models which may mean investing time to understand. Definitely have a look at Rebuilding Society. Their model is like the early days of FC; no property loans, no whole loans, no institutional money. There's far fewer new loans compared to FC and the number of auctions that subsequently don't turn into loans can be frustrating given the long auction times, but the company seems to engage with their borrowers and lenders (for example sourcing publicity material from a printing business borrower and sending lenders cake made by a borrower) and IMHO it's a platform that deserves to succeed. There's a small (0.5%) cashback promotion at the moment as well.
|
|
Investor
Member of DD Central
Posts: 662
Likes: 590
|
Post by Investor on Apr 17, 2015 10:19:36 GMT
I'm having trouble interpreting the above. Is it wishful thinking, or do the FCA have plans to make such visits/inspections, so that it's just a matter of time before FCA membership becomes more meaningful? The FCA intend visiting all regulated companies, not just P2P, at some time. This has been their policy since day one. The problem with FCA approval is that whilst there are obviously compliance issue requirements it is only when these are actually checked on that you can be sure the company is indeed fully operating within the FCA required framework at the time of the visit. Just look at the record fine handed out yesterday by the FCA for not treating client account monies properly and that was a bank with all their compliance experts in place. Could do with some help on this calculation. For example only, but if someone (let's say me) happened to be holding at peak 1.3 trillion dollars in one account and 236 billion dollars in another account, both of which should be ring-fenced 'client' accounts and then got caught in breach of the regulations mixing this with my own 'personal' money. Having been caught I get fined 126 million dollars, does this equate to me 'borrowing' that money at 0.00082% over the 6 year term , or roughly 0.00013% APR. If my calculations are correct, could I ask for a couple of kind fellow forum members to BACS over to me 1.3 trillion and 236 billion respectively. I will of course promise to hold this in a separate client account for you. Many thanks Investor
|
|
|
|
Post by norfolkblue on Apr 17, 2015 20:04:32 GMT
Thanks Mark,
I have indeed taken a good look at Rebuilding Society, but I'm a put off by concerns about the Platform - for instance, looking at their latest accounts their assets are tiny, and the website is simply a wordpress website which doesn't fill me with confidence.
The interest rates are tempting , so might go in small, but even a relatively amount of money would make me nervous at present.
|
|
bugs4me
Member of DD Central
Posts: 1,841
Likes: 1,466
|
Post by bugs4me on Apr 17, 2015 21:15:39 GMT
The FCA intend visiting all regulated companies, not just P2P, at some time. This has been their policy since day one. The problem with FCA approval is that whilst there are obviously compliance issue requirements it is only when these are actually checked on that you can be sure the company is indeed fully operating within the FCA required framework at the time of the visit. Just look at the record fine handed out yesterday by the FCA for not treating client account monies properly and that was a bank with all their compliance experts in place. Could do with some help on this calculation. For example only, but if someone (let's say me) happened to be holding at peak 1.3 trillion dollars in one account and 236 billion dollars in another account, both of which should be ring-fenced 'client' accounts and then got caught in breach of the regulations mixing this with my own 'personal' money. Having been caught I get fined 126 million dollars, does this equate to me 'borrowing' that money at 0.00082% over the 6 year term , or roughly 0.00013% APR. If my calculations are correct, could I ask for a couple of kind fellow forum members to BACS over to me 1.3 trillion and 236 billion respectively. I will of course promise to hold this in a separate client account for you. Many thanks Investor You can bet your bottom $ that if one of the smaller P2P's is found mixing client funds with company funds then a holiday at taxpayers expense may await them. But I've yet to hear of a banker mixing these things up and going on holiday. Plus they can offset fines against corp. tax although it has been promised by the politicians that this would no longer be allowed - a start I suppose but politicians turning things into reality - I'll go and talk to the squirrels, get more sense from them 
|
|
mikes1531
Member of DD Central
Posts: 6,452
Likes: 2,320
|
Post by mikes1531 on Apr 18, 2015 17:31:24 GMT
Plus they can offset fines against corp. tax although it has been promised by the politicians that this would no longer be allowed - a start I suppose but politicians turning things into reality - I'll go and talk to the squirrels, get more sense from them Sounds like a vote-winner for the politicians, but it looks to me like all it will do is further penalise shareholders for the misdeeds of the management, whereas what we really need is for the punishment to affect the perpetrators more directly.
|
|
james
Posts: 2,205
Likes: 955
|
Post by james on Jul 27, 2015 8:47:15 GMT
With voting now effectively over here's how the vote counts for 139 voters stand:
26.62% 37 RateSetter
22.30% 31 Assetz Capital
11.51% 16 Saving Stream
8.63 12 MoneyThing
7.19 10 ThinCats
6.47 9 Ablrate
5.04 7 Funding Circle
2.16 3 Funding Secure and Rebuilding Society
1.44% 2 Wellesley
0.00 0 Zopa
6.47% 9 Other
|
|
arbster
Member of DD Central
Posts: 810
Likes: 426
|
Post by arbster on Jul 27, 2015 13:27:16 GMT
I'd be interested to see the results of this poll every few months. My suspicion is that the numbers may have changed a bit since April.
|
|
james
Posts: 2,205
Likes: 955
|
Post by james on Jul 27, 2015 13:47:55 GMT
|
|
pikestaff
Member of DD Central
Posts: 2,136
Likes: 1,484
|
Post by pikestaff on Jul 27, 2015 14:42:37 GMT
|
|
james
Posts: 2,205
Likes: 955
|
Post by james on Jul 27, 2015 18:58:24 GMT
Thanks, fixed.
|
|
