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Post by brokenbiscuits on May 30, 2015 14:09:04 GMT
Hello, new poster here and also fairly new to rate setter.
ive seen the new adverts suggesting 6.6% is what the product offers and can see if i invested right now i'd join the queue on exactly that rate... Unless some one just seconds before i submit my request decides to lump 50k in at 6% !!??
anyway, so ive been with ratesetter for about 4 or 5 months. My average rate is 6.4%. for those that have been here a lot longer, is that about right or am i giving it up a bit too easy rates wise.
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spiral
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Post by spiral on May 30, 2015 15:24:26 GMT
I'd suggest you read a few more of the threads on here as there is a wealth of information an opinions posted. ATM anywhere between 6.2-6.8 can be normal depending on where we are within the monthly/weekly cycle. A year or so ago 6.0 was very rare with rates more in the 5.5 - 6.0 range so rates appear to be heading upwards but as you mentioned, RS have started a campaign aimed at bringing in more funds so that will only serve to push rates downwards if successful. In response to your question "Am I giving it up a bit too easy?" My response would be with hindsight yes but with foresight, who can tell. That said, in order to get that little bit extra, you need to devote a little more time to monitoring the markets so it may be that accepting 0.1-0.2 below the best rates is a quick and simple method to lend that doesn't require too much time and effort. I for example have my rates set at 6.8 but it only scrapes at this every week or so and to my knowledge, has not exceeded that recently (cue the posts from those that have matched at 6.9 but I have to be aware that any downward trend would leave my money stranded and as such, I monitor my account daily. There is a section within your account under ratesetter info - rate trends where a log of all the daily rates are trended. Suggest you take a look at that also.
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agent69
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Post by agent69 on May 30, 2015 16:48:36 GMT
Unless some one just seconds before i submit my request decides to lump 50k in at 6% !!?? Don't start, or you'll rouse the great big hairy primate from his slumber
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duck
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Post by duck on May 30, 2015 17:55:48 GMT
as an average I would say that was on target. The amount and frequency that you are investing/reinvesting can also have an effect in as much as you can wait for 6.6 upwards but at certain times of the month (Monday!) this won't be achievable, so do you move money or hold back?
My Mrs has a new account (couple of months) and her 5yr is currently at 6.6% whereas my account that dates back to 2012 currently sits at 5.9% since I have a mixture of early high rates, some loans from when the rate dropped and more new ones from when the rates rose .....
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jonbvn
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Post by jonbvn on May 30, 2015 23:34:24 GMT
Hello, new poster here and also fairly new to rate setter. ive seen the new adverts suggesting 6.6% is what the product offers and can see if i invested right now i'd join the queue on exactly that rate... Unless some one just seconds before i submit my request decides to lump 50k in at 6% !!?? anyway, so ive been with ratesetter for about 4 or 5 months. My average rate is 6.4%. for those that have been here a lot longer, is that about right or am i giving it up a bit too easy rates wise. I would say your average rate is pretty spot on over the last 4-5 months in the 5yr market. It was much lower at Christmas. A few trends I have noticed are as follows: 1. Rates rise towards mid-week (Weds/Thurs). 2. Rates rise towards end of each month and then fall at the beginning of the next due to repayments and people getting paid and transferring funds in. 3. Rates rise towards Xmas then drop like a stone a few weeks before and over Xmas. The above may prove irrelevant if we are swamped with money from new lenders, some of whom may think 5% is like discovering Eldorado.
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Post by westonkevRS on May 31, 2015 7:09:53 GMT
I have to be careful in what I say due to FCA social media regulations, especially with regard to "rates". However @jonbvb is very accurate. I would add that the level of intra-month volatility is much higher in 2015 than in previous years. The range now within the month is more than 2012-2014, and I don't really know the reason for this. Other than the scale of lending now is considerably and consistently higher. @ westonkevRS
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gnasher
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Post by gnasher on May 31, 2015 7:26:00 GMT
I would add that the level of intra-month volatility is much higher in 2015 than in previous years. The range now within the month is more than 2012-2014, and I don't really know the reason for this. @ westonkevRSKev, I would say the reason for the general volatility is pretty damn obvious, it's the huge sums of money that are put on well below the current market rate (for reasons that are completely unfathomable to us normal lenders). These depress the rate for a few days before it rises back up to where it would have been. Last year before this sort of thing started the rates were much more consistant as I recall. However you did say "intra-month" - hmmmmm - I have not studied the MR-.5% bombing runs to see if there is a monthly pattern here. Has anyone?
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Post by westonkevRS on May 31, 2015 10:40:10 GMT
gnasher, I think I disagree. Although some lenders do choose to lend at what appears to be uncompetitive rates. These offers tend to be frequent through the month, and in fact expert lenders here have been complaining about these offers for years (take a look at when various threads started). The shift in MR rates follows a curved path evenly though each month in 2015 and isn't impacted by the odd "rogue" offer. The rogue offers have always been around, but the monthly variation in MR has not been as great as now. These offers might use up some borrower money over a few minutes, but they don't impact the longer trend over a month. The "manipulator" offers can be blamed for lots of things, but not this rate trend. @ westonkevRS
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jonbvn
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Post by jonbvn on May 31, 2015 12:34:57 GMT
gnasher, I think I disagree. Although some lenders do choose to lend at what appears to be uncompetitive rates. These offers tend to be frequent through the month, and in fact expert lenders here have been complaining about these offers for years (take a look at when various threads started). The shift in MR rates follows a curved path evenly though each month in 2015 and isn't impacted by the odd "rogue" offer. The rogue offers have always been around, but the monthly variation in MR has not been as great as now. These offers might use up some borrower money over a few minutes, but they don't impact the longer trend over a month. The "manipulator" offers can be blamed for lots of things, but not this rate trend. @ westonkevRS Sounds like a case of the markets remaining irrational longer than I can remain solvent (JMK)
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gnasher
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Post by gnasher on May 31, 2015 14:20:31 GMT
Fair enough Kev, I am sure you watch the market more closely than I do, and probably have better data. But within a week we have seen the market go from 6.8, down to 5.9 and back up to 6.8 again. For intra-week variability that seems to me to be rather volatile, more so then I remember from previous years, but then again my aged grey-matter may be failing me here. I appreciate that your point is about intra-month volatility, while I am banging on about the shorter term stuff.
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huxs
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Post by huxs on Jun 1, 2015 8:37:02 GMT
Saying all of that today is the first Monday of the month when you would expect rates to be low, it is instead sitting at 6.6 / 6.7 Not that I am complaining of course
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jonbvn
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Post by jonbvn on Jun 1, 2015 11:44:52 GMT
Saying all of that today is the first Monday of the month when you would expect rates to be low, it is instead sitting at 6.6 / 6.7 Not that I am complaining of course I am surprised too. I am waiting for the sub 6% bomber to arrive;)
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markr
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Post by markr on Jun 1, 2015 12:00:09 GMT
anyway, so ive been with ratesetter for about 4 or 5 months. My average rate is 6.4%. for those that have been here a lot longer, is that about right or am i giving it up a bit too easy rates wise. Oh the innocence of youth! When I started seriously investing with RS in 2013, by timing my deposits and being patient I managed a rate of 5.2%. The steady improvement in rates since then means I've now reached the heady heights of 5.9%!
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Post by brokenbiscuits on Jun 1, 2015 17:15:45 GMT
Cheers for the replies re under 6% returns.
this is really what i was looking for, ideas on where average rate might be on the long haul.
I have a 17 year investing plan that includes ratesetter. No one can predict the future, but i think when updating my spreadsheets I'll go with 6% predicted returns rather than 6.4% and above!
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agent69
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Post by agent69 on Jun 1, 2015 18:17:11 GMT
Saying all of that today is the first Monday of the month when you would expect rates to be low, it is instead sitting at 6.6 / 6.7 Not that I am complaining of course My repayments for today went straight back out at 6.7%. Happy days
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