registerme
Member of DD Central
Posts: 6,196
Likes: 6,006
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Day 21
Aug 21, 2015 22:52:22 GMT
Post by registerme on Aug 21, 2015 22:52:22 GMT
Makes me feel a little Wonga-ish. I'll take the premium if I can get it but I suspect that if RS did the analysis they'd find that the reason for the spike was that it was the "last day before pay day". To be honest, the way RS is working at the moment reminds me of when I was playing online poker, when the US was still allowed to do so.
Sober, calm, bored, awake and alert, the time is right to play our cousins getting in from the clubs.......
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Day 21
Aug 22, 2015 6:47:48 GMT
Post by closetotheedge on Aug 22, 2015 6:47:48 GMT
Anyone bored / clever enough to work out the difference between investing each day 21 as opposed to spread across each month at MR.
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Post by westonkevRS on Aug 22, 2015 7:19:01 GMT
I've done the analysis, but I'm not really supposed to "advice" on rates, Compliance are concerned someone could act on my instruction and then complain if a better rate was attained! The day 21 peak is slightly driven by lenders getting paid, and having money to lend. But more so by borrowers who have the functionality to choose their repayment date. A larger proportion choose to have this at end or start of month (hence lots of reinvestments). This isn't a payday issue, prime borrowers choose imilar payments date to keep their finances organized. And it's true for banks, and other products such as cards and mortgages. So nothing unique to Rate Setter or P2P, its just our business model is reliant on daily activity by lenders and borrowers, whereas a bank treasury function will smooth things. @ westonkevRS
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registerme
Member of DD Central
Posts: 6,196
Likes: 6,006
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Post by registerme on Aug 22, 2015 9:40:38 GMT
Thank you for taking the time to explain that .
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Post by closetotheedge on Aug 22, 2015 11:31:30 GMT
I've done the analysis, but I'm not really supposed to "advice" on rates, Compliance are concerned someone could act on my instruction and then complain if a better rate was attained! The day 21 peak is slightly driven by lenders getting paid, and having money to lend. But more so by borrowers who have the functionality to choose their repayment date. A larger proportion choose to have this at end or start of month (hence lots of reinvestments). This isn't a payday issue, prime borrowers choose imilar payments date to keep their finances organized. And it's true for banks, and other products such as cards and mortgages. So nothing unique to Rate Setter or P2P, its just our business model is reliant on daily activity by lenders and borrowers, whereas a bank treasury function will smooth things. @ westonkevRSThanks for the explanation. It makes perfect sense when explained. A little like the crossword when my wife explains the answers to me but without the patronising voice
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