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Post by ablrateandy on Dec 3, 2015 20:00:17 GMT
Dear All, Many thanks to all who participated in today’s loan. As you will have seen, it ended up over-subscribed and we are aware that many investors were left disappointed. Unfortunately, when the platform was developed we were focussed very much on most loans having a longer marketing period than a matter of seconds and that has caused many investors to be left disappointed. It is not our intention to have everything done on a “fastest finger first” basis as we want to develop as a retail platform.<br/><br/> To this end, we have taken the following steps today. - Today’s loan will be credited value tomorrow (4th December) and those who bid successfully will all be filled in full. This is a modest up-size on the posted transaction (100k 121k) and there is no material impact on the LTV, which remains sub-10%
- The next container loan will occur in the next few days but will operate under a new procedure. There will be a three hour window where investors can state the maximum that they are willing to invest. You will be able to “pledge” up to the amount of your Available Funds. After the pledging window is closed, Ablrate will first designate a maximum amount that any one lender can receive and secondly pro rata people based upon the amount that they were willing to commit. You will subsequently be informed of how much of your pledge was drawn down and the balance will be returned to your account
This new procedure will be fully detailed in a subsequent mail and needs some testing as well to ensure that it works as expected. There may, as a result of it, be a 24 hour delay on allocation of loan parts whilst we resolve the issues. It is not, and has never been, our intention for lenders to be frustrated and if all goes according to plan, we should be able to stop the events of today happening in future. Should you have any questions or comments then please do drop us an email or give us a call. Ablrate
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treeman
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Post by treeman on Dec 3, 2015 20:23:54 GMT
Hi ablrateandy - thanks for the welcome update - and for the efforts to give more of us a chance in the next container loan. In the interests of not missing out this time, and to be clear - is it necessary to transfer funds BEFORE making a pledge or will it be possible to pledge and then arrange the transfer? Thanks!
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registerme
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Post by registerme on Dec 3, 2015 20:24:06 GMT
Just received / read the mail and I like the approach. Thanks for listening and evolving your approach .
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Post by ablrateandy on Dec 3, 2015 20:27:22 GMT
Thanks treeman and registerme It was the " " text off a certain client that pushed me over the edge! You know who you are..... Anyway, to pledge you will need to have funds on the system. I can't emphasise enough that to put this in place it is a modification of a tool that is designed for something else on the site. I think that it will work. I hope that it will work. The intention is there for it to work and the server hamsters have received their new instructions. However, the first attempt is experimental and we will cross fingers and see how it goes!
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treeman
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Post by treeman on Dec 3, 2015 20:29:38 GMT
Thanks Andy - would you be able to say when the loan will go up?
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Post by ablrateandy on Dec 3, 2015 20:33:39 GMT
Off the top of my head (I just can't face logging into the site tonight ) repayment is due on the 8th. We will be looking to pay back in a morning and put the new loan up in an afternoon so that prior investors will have the returned funds. We originally were going to launch tomorrow, but it may be Monday now so that I can do some testing. I have unfortunately neglected to call the borrower today as I was busy scraping bits of dismembered server hamster off their little exercise wheel.
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treeman
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Post by treeman on Dec 3, 2015 20:40:13 GMT
I shall look forward to getting the nod! Have a good evening!
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james
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Post by james on Dec 3, 2015 21:12:10 GMT
Some requests for the container and other smallish loans, rough priority order: 1. Please announce the time or at least the day the evening before. If you announce at 10AM and start at say noon I and other evening/night workers will be likely to be asleep for the whole notice and offer period, rather defeating the point of trying to give everyone a chance. If you can it's best to ensure that the open period is something like 4:30-7:30PM because that'll probably give lots of day workers a chance during the business day while also giving a window for the evening for those who can't do it while at work or who just aren't around. Better still would be 4-8 because that increases the overlap time ranges for at work and at home or asleep and awake. Or even one hour morning, lunch, afternoon, early and late evening periods if you can handle multiple. 2. Please cap the pledge amount at something like 50k or maybe 100k or something lower and announce that in advance. No need for software to enforce it, just say amounts over that will be ignored even if in the account then do it that way. This is in part to limit the really big bids but also it's to limit how much money will be paid into Ablrate then withdrawn soon after the process closes. Your bank probably doesn't really want a million in deposits followed next day by 900k of payments. 3. Please say in advance that you'll fulfill the first £100 of all pledges before going on with the allocation process, if you can do that within say 50% of loan value, reducing this "everyone gets up to this" level to stay within that 50% or whatever proportion you choose. This is just to give smaller players and everyone a chance to get something before dealing with the bigger amounts. It'll cut the number who might be unhappy so help the build the customer base objective, avoid lots of smaller amounts being in accounts and generally reduce the potential number of unhappy customers, without hurting the bigger money customers unduly. Anyone unhappy with an overly small allocation can use the secondary market without undue pain. Point 1 will be beneficial to me, points 2 and 3 will probably harm me, depending on the limits used.
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james
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Post by james on Dec 3, 2015 21:15:36 GMT
It was the " " text off a certain client that pushed me over the edge! You know who you are..... Only one? You have really polite customers. No, it wasn't me.
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Investboy
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Trying to recover from P2P revolution
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Post by Investboy on Dec 3, 2015 22:00:55 GMT
ablrate , ablrateandy - great job, thanks for listening to us. I like your proposed approach, seems to be a fair solution and one of the best on the market. I even think I suggested something similar on SS forum...
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Post by ablrateandy on Dec 3, 2015 22:50:26 GMT
Thanks. At least when the system fails tomorrow you will know that we tried...
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treeman
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Post by treeman on Dec 3, 2015 23:19:13 GMT
Ahhhh .......... so ..... tomorrow then !
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Post by ablrateandy on Dec 3, 2015 23:31:57 GMT
Ha. I need to talk to the borrower tomorrow morning. Fortunately he is a nice chap adn won't mind me being "slack" today. Thanks as ever james for the comments. I will endeavour to give deecent notice so definitely NOT tomorrow morning. I would say that the most likely day is either Saturday or Monday. My missus is on nights all weekend though ---> Andy has 3 kids all day Saturday so if I was a betting man I would bank on Monday lunchtime.
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paulgul
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Post by paulgul on Dec 4, 2015 8:30:08 GMT
First I would like to thank Andy and the team for introducing this measure after the problems of the last couple of loans, it should be a great help.
I would have to agree with one or two others in that I don't think the 3 hour window for pre-funding is long enough, ok for those hovering over a computer all day but for those that work or have other commitments its not so easy. You may be committed to 3 hours this time but could you consider a 6 or even 12 hour window for future loans.
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duck
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Post by duck on Dec 4, 2015 8:35:58 GMT
Firstly thanks to ablrate & ablrateandy for listening and taking such swift action.
Whilst yesterday was far from ideal I can see a positive for ablrate, there is cash 'out there' in the retail market looking for a good home.
I have been investing through ablrate for some years now and appreciate the opportunity to invest in good loans in different asset classes over a range of terms - I am like many others over exposed to property. I like the ablrate aftermarket and I have never had issues with the new site. So all good.
However on consulting my 'platform exposure' spreadsheet I note that my exposure to ablrate stands currently at 6.29% (total P2P/P2B exposure is a decent 6 figure sum). This places ablrate in 5th position for exposure out of 10 platforms. I have been investing through several platforms with a higher % for a far shorter time and I have been withdrawing from 3 of the 10 for several years. I would like to see the ablrate % higher.
I realise james has touched on timing and I would like to add a further point. I joked that I was dismantling my sofa when confronted by '2 loans in 2 days' but in reality it felt a bit like that. Selling a few loan parts on other platforms, changing pre-bids on other platforms (don't want a cash flow 'problem') and transferring cash between bank accounts. Now I'm not suggesting cast iron promises (I've seen too much flaming when exact dates are not met) but a 'heads up' a few days earlier that new loans should be appearing would be very useful. Whilst this would be of benefit to me (and I assume others) the real advantage should be to ablrate since investors should be able to get cash ready and more loans could be got away quickly. More traffic on the 'small' loans has to bring more traffic to the large aircraft loans ........
Keep up the good work and help me grow that %
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