hazellend
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Post by hazellend on May 7, 2016 19:56:03 GMT
Just wondering what people's preference is on this issue.
Personally, I would rather receive all my income together rather than drips and drabs. I think it makes monitoring accounts easier.
If enough people preferred it perhaps moneything could change this?
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james
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Post by james on May 7, 2016 21:05:35 GMT
I don't know about you but I have bills to pay and investments to make that do not all happen a day or three after any fixed date. It also seems quite easy to monitor what's happening and check the account balance.
I suppose MoneyThing could provide a facility to hide all repayments until a particular specified day of the month. Or maybe you could just not look at your account balance and transactions list except on whatever day interests you.
While I don't do it with high priority, one thing I keep in mind when investing is trying to produce money flows that are more even, across all of my income streams. At the moment that means preferring loans that pay around the 15th of the month. Other things override that but all things being equal that's what I look for.
The SavingStream practice seems clearly harmful, producing bursts of payments that have at times appeared to slow down funding of, then rapidly fill loans on other platforms, for example the recent half million one at Ablrate. The sooner they abandon that practice the better I'll like it. Their timing is particularly bad, happening at around the time of the month when many people get an influx of pay vs a time when there might be less free money floating around, say mid month.
One of the things that routinely happened for many years at Zopa was higher interest rates as the end of the month approached as offers from lenders gradually ran out of money, leaving fewer at higher rates to fill the loan applications that were coming in. Similar effects can be observed today in some monthly markets. Back in the days when I was using old Zopa I used to welcome the mid to end of the month period and did most of my investing during it, at higher rates than I could get if I'd done it at the start. This wasn't due to platform delays, rather borrowers were often allocated to and often chose days around the start of the month even when Zopa modified default days to try to spread them around. So that causes a glut of payments around then. Similar effect happens for Estonian lenders around the 14th of the month when they are traditionally paid.
On the potentially positive side, having large amounts of money all arriving on one day provides interesting potential opportunities, like investing during a time of low money then offering for resale at a premium to exploit the anticipated flood of money. While SavingStream and MoneyThing don't allow that, their money flows do get invested at other places and have an effect on them. Positive, well, maybe not for those who prefer not buy at a premium.
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davex
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Post by davex on May 7, 2016 23:26:06 GMT
I quite like to see the interest coming in every few days. It helps to top up new investments, and allows it to start compounding quicker.
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stevio
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Post by stevio on May 8, 2016 5:55:32 GMT
Maybe a "date and amount of next payment" indicator on website or a payment optional email notification (like Ablrate do), to save checking so frequently MoneyThing
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jimc99
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Post by jimc99 on May 8, 2016 6:30:19 GMT
Happy with how things are now.
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SteveT
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Post by SteveT on May 8, 2016 6:45:11 GMT
I'm also happy with the current arrangement.
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Post by uncletone on May 8, 2016 8:08:46 GMT
Maybe a "date and amount of next payment" indicator on website Or on your spreadsheet. Not that it's a vote, but if it were, as is is fine.
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stevio
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Post by stevio on May 8, 2016 14:42:50 GMT
Is happy as is referring to monthly interest one date or do not want a notification of interest paid?
How often are people's checking the site? Maybe MT want people to check frequently?
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jonah
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Post by jonah on May 8, 2016 15:20:59 GMT
Personally I would prefer all on a single date each month. It helps generate a little SM movement and help with rebalancing. It would also, I suspect, reduce the effort (and potentially cost?) as the Things wouldn't need to process so many withdrawal requests as the cash dribbles in throughout the month.
That said, this isn't a big deal either way. It certainly has zero impact on my investment level with MT.
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Jeepers
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Post by Jeepers on May 8, 2016 15:45:52 GMT
I prefer it as it is. Anybody who would prefer to have it all paid on one date, why not just only withdraw your funds on that particular date to suit you?
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nush
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Post by nush on May 8, 2016 15:55:21 GMT
i like it as it is but then i am still in the investing stage, i think maybe if i was starting to take the cash back it would be a different matter, even then i could just login as and when i needed to.
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duck
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Post by duck on May 8, 2016 16:01:30 GMT
The last thing I would want is for all payments to be made on the same day.
For re-investment purposes it would prove a nightmare as everybody scrabbled for any loan parts that are available for sale .... and since there is not often a lot of loan parts available on the MT secondary market it could lead to an outflow of cash from MT which can't be good.
Accepting that you will always have some cash un-invested (or perhaps just sitting waiting in something like the AC quick access account or RS 'monthly') having payments made on one single day would increase the peaks and troughs rather than having them smoothed across the month. The effect of this would be to artificially increase/lower return calculations making an accurate view of your returns far less easy to see throughout the month.
For me one of the biggest downsides of the SS approach is the start of the month repayment run.
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investibod
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Post by investibod on May 8, 2016 19:31:59 GMT
I am quite happy the way things are.
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ben
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Post by ben on May 8, 2016 19:37:21 GMT
It makes no real difference if you dont want it all one day ie first of month just look first of month problem solved, this way sometimes can get something on secondary market that would not have been able to
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sam i am
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Post by sam i am on May 9, 2016 7:41:09 GMT
I don't care as long as the income keeps coming in.
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