paulg
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Post by paulg on Mar 13, 2016 16:47:16 GMT
MoneyThing - The loan details say "MoneyThing may advance additional funds during the loan to assist development of the project." This question is very premature but how will that work? You say the 60% LTV will be maintained, so would those additional funds form part of the 1st charge or would they form a second charge?
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Mar 13, 2016 17:08:28 GMT
MoneyThing - The loan details say "MoneyThing may advance additional funds during the loan to assist development of the project." This question is very premature but how will that work? You say the 60% LTV will be maintained, so would those additional funds form part of the 1st charge or would they form a second charge? Expect it will be same as F*****r H loan with further tranches rankin pari passu under a first change within a max LTV
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Post by MoneyThing on Mar 13, 2016 17:28:08 GMT
MoneyThing - The loan details say "MoneyThing may advance additional funds during the loan to assist development of the project." This question is very premature but how will that work? You say the 60% LTV will be maintained, so would those additional funds form part of the 1st charge or would they form a second charge? Afternoon, ilmoro is correct. Regards, Ed.
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paulg
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Post by paulg on Mar 13, 2016 17:37:21 GMT
MoneyThing - The loan details say "MoneyThing may advance additional funds during the loan to assist development of the project." This question is very premature but how will that work? You say the 60% LTV will be maintained, so would those additional funds form part of the 1st charge or would they form a second charge? Afternoon, ilmoro is correct. Regards, Ed. Thanks Ed, and ilmoro. This is looking to me like a really good loan to get into, and at £1m+ an interesting time for MT. I'll be there at 4.00pm tomorrow to claim my slice
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Post by bracknellboy on Mar 13, 2016 18:38:35 GMT
MoneyThing: Ed, my apologies if this has been discussed or explained elsewhere, but I could not see it on the MT loan particulars, or immediately see it on either this thread or under loan updates. a) What is the rationale for splitting it into a £750k and £250k tranche ? b) What happens if the full £1m of funding is not forthcoming (perhaps related to why it is split this way) ? For example, if the first tranche is filled but the second is not: does the first one represent the minimum that the borrower will accept and still secure a first charge for lenders ?
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pom
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Post by pom on Mar 13, 2016 18:46:39 GMT
MoneyThing : Ed, my apologies if this has been discussed or explained elsewhere, but I could not see it on the MT loan particulars, or immediately see it on either this thread or under loan updates. a) What is the rationale for splitting it into a £750k and £250k tranche ? b) What happens if the full £1m of funding is not forthcoming (perhaps related to why it is split this way) ? For example, if the first tranche is filled but the second is not: does the first one represent the minimum that the borrower will accept and still secure a first charge for lenders ? Based on how MT have operated in the past, and the size of the loans, I'm assuming it's down to how much MT can underwrite themselves before needing to sell it to us quickly so they can then do the second tranche..
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Post by MoneyThing on Mar 13, 2016 20:39:35 GMT
MoneyThing : Ed, my apologies if this has been discussed or explained elsewhere, but I could not see it on the MT loan particulars, or immediately see it on either this thread or under loan updates. a) What is the rationale for splitting it into a £750k and £250k tranche ? b) What happens if the full £1m of funding is not forthcoming (perhaps related to why it is split this way) ? For example, if the first tranche is filled but the second is not: does the first one represent the minimum that the borrower will accept and still secure a first charge for lenders ? Evening bracknellboy, a) This is a simple case of the limitation of our 'float' model as we were able to fund the £750,000 in one go but not quite the £1m. (Although admittedly, a lender has subsequently come forwards to kindly offer to underwrite the 2nd tranche.) b) We will be able to fund the full £1m, it will just be a case that if it is slow to sell down on the platform it would tie up our float for longer. I am hoping that there is the appetite for this one as there is another strong Broadoak £1m loan imminent (not yet mentioned on the Pipeline). Kind regards, Ed
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jonah
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Post by jonah on Mar 13, 2016 21:03:33 GMT
MoneyThing : Ed, my apologies if this has been discussed or explained elsewhere, but I could not see it on the MT loan particulars, or immediately see it on either this thread or under loan updates. a) What is the rationale for splitting it into a £750k and £250k tranche ? b) What happens if the full £1m of funding is not forthcoming (perhaps related to why it is split this way) ? For example, if the first tranche is filled but the second is not: does the first one represent the minimum that the borrower will accept and still secure a first charge for lenders ? Evening bracknellboy, a) This is a simple case of the limitation of our 'float' model as we were able to fund the £750,000 in one go but not quite the £1m. (Although admittedly, a lender has subsequently come forwards to kindly offer to underwrite the 2nd tranche.) b) We will be able to fund the full £1m, it will just be a case that if it is slow to sell down on the platform it would tie up our float for longer. I am hoping that there is the appetite for this one as there is another strong Broadoak £1m loan imminent (not yet mentioned on the Pipeline). Kind regards, Ed The broadoak loans are popular... Personally I'd like to be in another one... Or two... Or more!
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nick
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Post by nick on Mar 14, 2016 11:05:08 GMT
A couple of questions directed to MT:
1. When today do you expect this loan to go live?
2. From earlier posts, reference is made to MT funding this and other loans on its own account. Is your lending business integrated and run via the same corporate entity running the platform. I'm trying to access whether you own credit risks relating to your loan book has a direct impact on the platform operator going kaput in the event of a catastrophic loan loss.
Thanks Nick
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pom
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Post by pom on Mar 14, 2016 12:23:39 GMT
1. When today do you expect this loan to go live? If you look on the pending loans page all the start times are there..
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Post by MoneyThing on Mar 14, 2016 12:48:37 GMT
A couple of questions directed to MT: 1. When today do you expect this loan to go live? 2. From earlier posts, reference is made to MT funding this and other loans on its own account. Is your lending business integrated and run via the same corporate entity running the platform. I'm trying to access whether you own credit risks relating to your loan book has a direct impact on the platform operator going kaput in the event of a catastrophic loan loss. Thanks Nick Afternoon nick, 1. This loan tranche will go live at 4pm today. 2. Our lending (via the 'float'), and the platform itself is all run under Capital Mortgages Direct Ltd (trading as MoneyThing). Any loans where we retain a position on (e.g. loans we have pre-funded but yet to be launched or loans where they have yet to fill to 100% and thus we hold the balance of), we retain the risk on ourselves. Upon a capital loss of a loan that we still retain a position on, then we would have to suffer the loss ourselves as a proportion to what we held. Kind regards, Ed
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Post by MoneyThing on Mar 14, 2016 12:55:09 GMT
A couple of questions directed to MT: 1. When today do you expect this loan to go live? 2. From earlier posts, reference is made to MT funding this and other loans on its own account. Is your lending business integrated and run via the same corporate entity running the platform. I'm trying to access whether you own credit risks relating to your loan book has a direct impact on the platform operator going kaput in the event of a catastrophic loan loss. Thanks Nick Afternoon nick, 1. This loan tranche will go live at 4pm today. 2. Our lending (via the 'float'), and the platform itself is all run under Capital Mortgages Direct Ltd (trading as MoneyThing). Any loans where we retain a position on (e.g. loans we have pre-funded but yet to be launched or loans where they have yet to fill to 100% and thus we hold the balance of), we retain the risk on ourselves. Upon a capital loss of a loan that we still retain a position on, then we would have to suffer the loss ourselves as a proportion to what we held. Kind regards, Ed 2) Just to confirm that in the event of a capital loss on a loan that MoneyThing held, this would not affect the running of the platform. Regards, Ed.
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Mar 14, 2016 12:56:31 GMT
A couple of questions directed to MT: 1. When today do you expect this loan to go live? 2. From earlier posts, reference is made to MT funding this and other loans on its own account. Is your lending business integrated and run via the same corporate entity running the platform. I'm trying to access whether you own credit risks relating to your loan book has a direct impact on the platform operator going kaput in the event of a catastrophic loan loss. Thanks Nick Afternoon nick, 1. This loan tranche will go live at 4pm today. 2. Our lending (via the 'float'), and the platform itself is all run under Capital Mortgages Direct Ltd (trading as MoneyThing). Any loans where we retain a position on (e.g. loans we have pre-funded but yet to be launched or loans where they have yet to fill to 100% and thus we hold the balance of), we retain the risk on ourselves. Upon a capital loss of a loan that we still retain a position on, then we would have to suffer the loss ourselves as a proportion to what we held. Kind regards, Ed Ed. When MT first launched, in the case of loans that werent partner loans MT said they would buyback the loans in the event of a default. Whats the current situation now that the loan book is massively expanded? thanks
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Post by MoneyThing on Mar 14, 2016 13:01:37 GMT
Afternoon nick, 1. This loan tranche will go live at 4pm today. 2. Our lending (via the 'float'), and the platform itself is all run under Capital Mortgages Direct Ltd (trading as MoneyThing). Any loans where we retain a position on (e.g. loans we have pre-funded but yet to be launched or loans where they have yet to fill to 100% and thus we hold the balance of), we retain the risk on ourselves. Upon a capital loss of a loan that we still retain a position on, then we would have to suffer the loss ourselves as a proportion to what we held. Kind regards, Ed Ed. When MT first launched, in the case of loans that werent partner loans MT said they would buyback the loans in the event of a default. Whats the current situation now that the loan book is massively expanded? thanks Afternoon ilmoro, In the early days we did say that we would buyback specific loans in the event of default (admittedly when our total loan book was less than our 'float'). This is not something we can guarantee across the board, however wherever possible we will step in where we can. Kind regards, Ed
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gt94sss2
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Post by gt94sss2 on Mar 14, 2016 17:25:06 GMT
Coming back to the Bolton Loan.. I note the description says that the the borrower on this loan is a Ltd company owned by a colleague and fellow [mod: bb: removed entity name] ******** Board member with SD [mod: edited to short hand] (see loans MT277 & MT306). SD [mod: modified to short hand] will be assisting the development of the site and also the sales side.Given that SD has a number of similar loans/projects on MT and SS(maybe elsewhere?) - do we know exactly how many projects he is involved in and how much he is borrowing overall - is it possible he is spreading himself too thin (even if only 'assisting' on this one)? gt94sss2 : I have modifed this post as the combination of the entity of which SD is a board members, and the way the person's name was put would be more than sufficient to identify one of the two parties involved. [BB]
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