debeast
(o)(o)
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Post by debeast on May 27, 2015 6:48:14 GMT
Just had the Mintos email through and this looks too good to be true All my car loans through then that go bad . They buy back! The downsides as i see them are: Mogo could go bust ? Mogo could not honour the loans? But am i being naive and missing anything else? Thanks /beastie
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Post by wiseclerk on May 27, 2015 9:16:01 GMT
It is a bit like a provision fund provided by the UK services, only there are no dedicated funds set aside for this and it is time-limited as it only covers loans originated until the cut-off date but those for the whole loan term - so everybody now may jump at longer term car loans.
And of course operator risk (and Mogo risk) remains.
But I like it too.
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Post by gmaxkenny on May 27, 2015 10:18:22 GMT
All car loans are prefunded by Mogo so they are not really increasing the risk to themselves by offering this. As they are using our money to fund some of their loans they can increase their market share without increasing their risk. Also they are charging the borrowers more than they are paying us so they have an inbuilt cushion against bad debts. So it makes perfect sense to offer us this guarantee. If it increases the amount we lenders loan out and I am sure it will, then the deadline of july 31st will be extended as it makes perfect business sense. It looks like a win win situation to me. Cant see a realistic downside to this offer.
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Post by martins on May 27, 2015 11:53:18 GMT
Spot on! All car loans are prefunded by Mogo so they are not really increasing the risk to themselves by offering this. As they are using our money to fund some of their loans they can increase their market share without increasing their risk. Also they are charging the borrowers more than they are paying us so they have an inbuilt cushion against bad debts. So it makes perfect sense to offer us this guarantee. If it increases the amount we lenders loan out and I am sure it will, then the deadline of july 31st will be extended as it makes perfect business sense. It looks like a win win situation to me. Cant see a realistic downside to this offer.
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debeast
(o)(o)
Posts: 238
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Post by debeast on May 27, 2015 12:51:16 GMT
In which case time to buy some buggies thanks peoples! /beastie
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Post by gmaxkenny on Jun 4, 2015 20:49:27 GMT
Today I had 5 car loans paid back in full on my account statement. They were listed as "buyback" but all of them were current and one did not have its first payment due until 11th of june. Anyone know the reason for this? Seems a bit odd.
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Post by martins on Jun 8, 2015 7:11:59 GMT
Car loans are bought back also in case the contract with borrower is amended, e.g. the borrower wants to increase loan amount, extend loan term, etc. Basically, whenever there is a change to payment schedule the loan will be bought back so that expected cash flow is not affected after investors have invested in the respective loan. Today I had 5 car loans paid back in full on my account statement. They were listed as "buyback" but all of them were current and one did not have its first payment due until 11th of june. Anyone know the reason for this? Seems a bit odd.
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shimself
Member of DD Central
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Post by shimself on Jun 8, 2015 16:33:40 GMT
can you give me the full name, address for mogo, I want to look at their credit refs etc please?
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Post by martins on Jun 8, 2015 17:05:15 GMT
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shimself
Member of DD Central
Posts: 2,561
Likes: 1,170
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Post by shimself on Jun 9, 2015 10:50:47 GMT
Are they also in Canada?
Pardon my ignorance, I was looking for company info, directors names, previous directorships, and I can't find an english language website with such info, do you know one please?
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Post by martins on Jun 9, 2015 11:47:50 GMT
Here is the information in English about a team - mogofinance.com/team/. Under investor relations section you can find additional information. MOGO is not present in Canada. That is probably another company by similar name.
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Post by Financial Thing on Jul 11, 2015 13:17:14 GMT
Does the buyback include lost interest or just the principal originally invested in the loan?
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Post by martins on Jul 11, 2015 17:53:09 GMT
Mogo will buy the loan back at outstanding principal plus accrued interest as stipulated in Assignment Agreement:
10.5. In case Mogo exercises the buyback rights, the buyback price of the Claim paid by Mogo to the Assignee for buyback is equal to the total amount of the remaining principal amount of the Claim and accumulated and outstanding Interest specified in the Portal as at the time of exercising the buyback rights.
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Post by Financial Thing on Jul 12, 2015 17:29:13 GMT
thanks for the information.
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Post by Financial Thing on Jul 27, 2015 22:59:30 GMT
Is the Mogo buyback offer still ending July 31st?
Also if I buy on the secondary market, does the buy back still stay in place?
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