littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,017
Likes: 1,835
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Post by littleoldlady on Jun 21, 2016 20:17:50 GMT
I am not convinced that it can't be done, but I agree that so far no platform has succeeded in making things better - certainly not at the first attempt. However the predicament of someone who needs access to his funds and is prepared to pay for that access should not be ignored. Maybe SS could do something themselves without reprogramming. For example they could make an offer to anyone who wants to dispose of his entire portfolio. They would be in the best position to judge the solidity and sale-ability of the loans and set their offer accordingly.
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locutus
Member of DD Central
Posts: 1,059 
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Post by locutus on Jun 21, 2016 21:05:22 GMT
Comparisons to the bond market are silly. Most retail investors don't understand the complexities of bond pricing and trying to introduce a similar mechanism to P2P will only complicate matters and turn people away. We already have examples of differential pricing in P2P in Ablrate and FS and neither SM can be considered to be working efficiently. My view is that people prefer the simplicity of selling at par and SS should keep things as they are.
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Post by earthbound on Jun 21, 2016 21:11:15 GMT
Comparisons to the bond market are silly. Most retail investors don't understand the complexities of bond pricing and trying to introduce a similar mechanism to P2P will only complicate matters and turn people away. We already have examples of differential pricing in P2P in Ablrate and FS and neither SM can be considered to be working efficiently. My view is that people prefer the simplicity of selling at par and SS should keep things as they are. Fully agree.. keep it simple.. that's why they are the best in the universe, they said it themselves,  nothing wrong with SS at the moment and don't see any reason for change.
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goopy
Member of DD Central
Posts: 307
Likes: 144
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Post by goopy on Jun 21, 2016 22:11:37 GMT
I was thinking the same. I don't think there's anything wrong with the way the SM works as we know you will get times of feast and times of famine, everyone will be complaining about fast fingers in a couple of weeks. This is as much a liquidity issue as the current situation. I also doubt people will be able to offload their PBL020 parts at face value even without Brexit. Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity....
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Post by geraldine1210 on Jun 21, 2016 22:15:10 GMT
This is as much a liquidity issue as the current situation. I also doubt people will be able to offload their PBL020 parts at face value even without Brexit. Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity.... I'm amazed at people who bought this after default.
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goopy
Member of DD Central
Posts: 307
Likes: 144
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Post by goopy on Jun 21, 2016 22:19:59 GMT
Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity.... I'm amazed at people who bought this after default. It literally beggars belief.....
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gt94sss2
Member of DD Central
Posts: 281
Likes: 137
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Post by gt94sss2 on Jun 21, 2016 22:40:05 GMT
I agree with keeping it simple - no need for premiums or discounts.
In fact, I would be tempted to quit SS if they introduced this because of the CGT Tax Return implications which have previously been covered on these forums.
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NSFW
Posts: 118
Likes: 58
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Post by NSFW on Jun 22, 2016 0:03:59 GMT
This is as much a liquidity issue as the current situation. I also doubt people will be able to offload their PBL020 parts at face value even without Brexit. Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity.... PBL020 went from about 75k available to 2k or just under the day it defaulted.
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Post by geraldine1210 on Jun 22, 2016 0:22:56 GMT
Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity.... PBL020 went from about 75k available to 2k or just under the day it defaulted. The second I saw it had defaulted I threw my loan parts straight on the sm. I was astounded when they sold quite quickly. Even if you assume the cf is going to cover capital loss, you will still have to wait for your money.
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min
Member of DD Central
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Post by min on Jun 22, 2016 6:27:50 GMT
PBL020 went from about 75k available to 2k or just under the day it defaulted. The second I saw it had defaulted I threw my loan parts straight on the sm. I was astounded when they sold quite quickly. Even if you assume the cf is going to cover capital loss, you will still have to wait for your money. Likewise mine went within minutes. I have a theory that SS bought them to save on paying out the interest when it all (hopefully) gets resolved.
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Post by robberbaron on Jun 22, 2016 7:23:53 GMT
This is as much a liquidity issue as the current situation. I also doubt people will be able to offload their PBL020 parts at face value even without Brexit. Why would anyone expect to offload a loan which is in default? Surely only a retard would buy a defaulted loan, nothing to do with liquidity.... There are many funds that specialise in buying defaulted debt and they are definitely not run by retards. But of course they don't buy it at par which is the whole point here. There is a price at which even you will be willing to buy defaulted loans unless you believe the recovery rate will be 0.
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Post by robberbaron on Jun 22, 2016 7:51:36 GMT
The second I saw it had defaulted I threw my loan parts straight on the sm. I was astounded when they sold quite quickly. Even if you assume the cf is going to cover capital loss, you will still have to wait for your money. Likewise mine went within minutes. I have a theory that SS bought them to save on paying out the interest when it all (hopefully) gets resolved. By doing this SS would be taking a big risk with its own capital just to avoid paying some interest. It's more likely that some newbs bought your parts on the day of the default without realising what they were buying or someone forgot to stop their bot. As it stand PBL020 parts are not moving and they won't until people are allowed to sell at a discount at least for defaulted loans. (disclosure: I don't own any part in PBL020)
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sqh
Member of DD Central
Before P2P, savers put a guinea in a piggy bank, now they smash the banks to become guinea pigs.
Posts: 1,426
Likes: 1,211
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Post by sqh on Jun 22, 2016 9:45:21 GMT
Likewise mine went within minutes. I have a theory that SS bought them to save on paying out the interest when it all (hopefully) gets resolved. By doing this SS would be taking a big risk with its own capital just to avoid paying some interest. It's more likely that some newbs bought your parts on the day of the default without realising what they were buying or someone forgot to stop their bot. As it stand PBL020 parts are not moving and they won't until people are allowed to sell at a discount at least for defaulted loans. (disclosure: I don't own any part in PBL020) SS doesn't pay interest on loan parts for sale.
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trevor
Member of DD Central
Posts: 556
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Post by trevor on Jun 23, 2016 17:41:29 GMT
Approx £3m on the SM not including pebble 20. It will be interesting to see if we vote to remain and SM reduces quickly or we vote to leave and it increases.
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lofty
Posts: 101
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Post by lofty on Jun 23, 2016 19:47:28 GMT
Approx £3m on the SM not including pebble 20. It will be interesting to see if we vote to remain and SM reduces quickly or we vote to leave and it increases. I plan to stay up all night watching the results come in (yes, I know, I lead a sad tragic life), so I will also be keeping an eye on the SM. My honest feeling is that it's going to have little effect other than ruin the F5 key on my keyboard 
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nothing wrong with SS at the moment and don't see any reason for change.
