spockie
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Post by spockie on Apr 21, 2014 18:30:19 GMT
I have just posted a question on the AC site to try and tempt AC to realise they are flogging a dead horse. I suspect the 2% take-up will do the job!
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mikes1531
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Post by mikes1531 on Apr 21, 2014 20:59:48 GMT
I have just posted a question on the AC site to try and tempt AC to realise they are flogging a dead horse. I suspect the 2% take-up will do the job! Quite possibly. Then again, if AC can find an underwriter willing to take it on -- and risk having to hold some of the loan parts for the full three-year term -- then that solves the problem for AC, doesn't it? I suppose it all depends on how much they have to pay the U/W and whether, if the U/W gets stuck holding the parts for a long time, AC's reputation in the U/W community would suffer.
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spockie
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Post by spockie on Apr 21, 2014 21:03:06 GMT
That's the big 'if'. If I were an u/w I would be much more tempted by a six month loan at 12% that I might get stuck with than a three year one at 9%, despite it being a repayment loan.
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pikestaff
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Post by pikestaff on Apr 21, 2014 21:48:42 GMT
No underwriter will take on a loan that they cannot re-sell, so this loan is dead in its present form. If they come back with some security it could fly.
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j
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Post by j on Apr 21, 2014 22:04:31 GMT
No underwriter will take on a loan that they cannot re-sell, so this loan is dead in its present form. If they come back with some security it could fly. Better security & certainly a higher rate to mitigate for inherent risk attached to loan. I still believe. IMHO, the credit report does not fully reflect the level of risk involved, not intentionally of course I might add.
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Post by Ton ⓉⓞⓃ on Apr 21, 2014 22:06:46 GMT
No underwriter will take on a loan that they cannot re-sell, so this loan is dead in its present form. If they come back with some security it could fly. I was thinking about putting a question in the Q&A, by way of a suggestion, that AC go back to the introducer/borrower saying that the Lenders aren't going for it but they may well if the interest was in the range of 12-15% would others buy this or would better security be the key to this? Perhaps the U/Wer could be shown the HNWI's stack of gold & wealth (I mean the report on his personal wealth) and if they (the u/w) puts up half the Lenders could do the rest.
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spockie
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Post by spockie on Apr 21, 2014 22:21:52 GMT
No underwriter will take on a loan that they cannot re-sell, so this loan is dead in its present form. If they come back with some security it could fly. I was thinking about putting a question in the Q&A, by way of a suggestion, that AC go back to the introducer/borrower saying that the Lenders aren't going for it but they may well if the interest was in the range of 12-15% would others buy this or would better security be the key to this? Perhaps the U/Wer could be shown the HNWI's stack of gold & wealth (I mean the report on his personal wealth) and if they (the u/w) puts up half the Lenders could do the rest. I don't think a question will be necessary. AC have the complete information about what the borrower is willing to pay (credit report suggests 10%), and they have no doubt already had the conversations about whether there is any likelihood of security being put up if needed, or whether that isn't going to happen. It will be obvious to AC already (unless they take a complete break from looking at the site at weekends and holidays) that it isn't working and that no meaningful sums have been put in so far. Several of them read the forum anyway, so I am sure they will follow the discussion tomorrow morning even if they have taken a break over the weekend or been on holiday.
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mikes1531
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Post by mikes1531 on Apr 21, 2014 22:37:10 GMT
No underwriter will take on a loan that they cannot re-sell, so this loan is dead in its present form. If they come back with some security it could fly. I was thinking about putting a question in the Q&A, by way of a suggestion, that AC go back to the introducer/borrower saying that the Lenders aren't going for it but they may well if the interest was in the range of 12-15% would others buy this or would better security be the key to this? Perhaps the U/Wer could be shown the HNWI's stack of gold & wealth (I mean the report on his personal wealth) and if they (the u/w) puts up half the Lenders could do the rest. In order to be on a par with other loans AC have offered, this would have to be both 12+% interest and solid security. I don't think it would matter if the borrower did have a stack of gold for security, only a limited number of AC lenders would be interested at 9%. There are other platforms competing for our money that are offering 12% interest on secured loans, so this one will not generate much enthusiasm without a significant improvement in the rate and the security. That, of course, is JMHO.
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Post by Ton ⓉⓞⓃ on Apr 21, 2014 22:47:49 GMT
I was thinking about putting a question in the Q&A, by way of a suggestion, that AC go back to the introducer/borrower saying that the Lenders aren't going for it but they may well if the interest was in the range of 12-15% would others buy this or would better security be the key to this? Perhaps the U/Wer could be shown the HNWI's stack of gold & wealth (I mean the report on his personal wealth) and if they (the u/w) puts up half the Lenders could do the rest. I don't think a question will be necessary. AC have the complete information about what the borrower is willing to pay (credit report suggests 10%), and they have no doubt already had the conversations about whether there is any likelihood of security being put up if needed, or whether that isn't going to happen. It will be obvious to AC already (unless they take a complete break from looking at the site at weekends and holidays) that it isn't working and that no meaningful sums have been put in so far. Several of them read the forum anyway, so I am sure they will follow the discussion tomorrow morning even if they have taken a break over the weekend or been on holiday. I agree, I think this thread is a part of negations. The borrower probably might've said put it on for 9% just hoping we'd go for it, well we did go for it, to the tune of less than 10k after for four days over a holiday when there was nothing to compete for our money except some now ancient proposals that we all know off by heart. No doubt AC will be on the phone at some point this week saying that it's not looking to good, and suggesting changes. I'm suggesting 12-15% with an u/wer who's had a view of the privy information that we all want to see but can't.
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merlin
Minor shareholder in Assetz and many other companies.
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Post by merlin on Apr 22, 2014 9:03:20 GMT
It crossed my mind over the holiday that may be this loan is typical of the type of loan that may be on offer on AC in the future. Initially when AC set up just over a year ago there was not the competition in the P2P market that there is now, and this IMHO can only increase with time. The drift away from bricks and mortar type guarantees by AC may also be an indication of the market hotting up and this of course was the main USP of AC that attracted many of us away from "director guarantees" type products. Additionally there is certainly some indication that this loan has already been shopped around other P2P lenders before arriving at AC.
As I have said before I wish AC well but in the meantime I shall be watching from the sidelines.
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Post by yorkshireman on Apr 22, 2014 9:19:48 GMT
I reiterate something I said earlier in this thread. Irrespective of interest rates or underwriters this loan does not do what it says on the tin or in this case AC’s website:
“Lend to UK businesses and property developers through Assetz Capital. All loans are secured by tangible assets and we don’t charge any lender fees.”
As others have said, AC’s USP is asset backed security and if this loan is the shape of things to come then I don’t want to know, I can risk my hard earned money and get quicker drawdowns just as easily on FC.
IMO this was cynical attempt to foist this on to lenders over the bank holiday and in view of the comments on this forum, the absence of any response by AC personnel, despite holidays, should be of concern to lenders.
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bugs4me
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Post by bugs4me on Apr 22, 2014 9:42:31 GMT
I don't think a question will be necessary. AC have the complete information about what the borrower is willing to pay (credit report suggests 10%), and they have no doubt already had the conversations about whether there is any likelihood of security being put up if needed, or whether that isn't going to happen. It will be obvious to AC already (unless they take a complete break from looking at the site at weekends and holidays) that it isn't working and that no meaningful sums have been put in so far. Several of them read the forum anyway, so I am sure they will follow the discussion tomorrow morning even if they have taken a break over the weekend or been on holiday. I agree, I think this thread is a part of negations. The borrower probably might've said put it on for 9% just hoping we'd go for it, well we did go for it, to the tune of less than 10k after for four days over a holiday when there was nothing to compete for our money except some now ancient proposals that we all know off by heart. No doubt AC will be on the phone at some point this week saying that it's not looking to good, and suggesting changes. I'm suggesting 12-15% with an u/wer who's had a view of the privy information that we all want to see but can't. Wouldn't be for me even if it was at 15% as it reminds me of the infamous PG's available on another platform. Now with tangible asset security it would be worth a look but without that then I cannot see it flying anywhere - well not with my cash anyway. Even if, (a big if), they do get the 12-15% range and manage to get uw's involved then I'll make sure I don't pick up any parts in the am.
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Post by badger on Apr 22, 2014 10:08:59 GMT
This might have been better as a reverse auction rather than a fixed rate loan. If they had started at say 15% it might have filled easier, and possibly then bid down to a rate closer to what the borrower was looking for. But I agree that it was never going to fly at 9%.
Why have AC stopped using reverse auctions?
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jonno
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nil satis nisi optimum
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Post by jonno on Apr 22, 2014 10:22:31 GMT
I've been away on an "AC free" break and feel like I've landed back in some weird parallel universe.What the hell has happened at AC? Why do they think we have put our support behind them? Is it that they seem like genuine,decent people -perhaps not;is it their funky name-perhaps not;is it their nice shade of corporate purple-again,perhaps not;is it loan opportunities with a reasonable risk/return profile backed by REAL,TANGIBLE,ASSETZ...........mmmmm perhaps.That's it-I'm not going away again.It's a very scary place I've landed back in.
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Post by oldnick on Apr 22, 2014 15:00:44 GMT
I reiterate something I said earlier in this thread. Irrespective of interest rates or underwriters this loan does not do what it says on the tin or in this case AC’s website:
“Lend to UK businesses and property developers through Assetz Capital. All loans are secured by tangible assets and we don’t charge any lender fees.”
As others have said, AC’s USP is asset backed security and if this loan is the shape of things to come then I don’t want to know, I can risk my hard earned money and get quicker drawdowns just as easily on FC.
IMO this was cynical attempt to foist this on to lenders over the bank holiday and in view of the comments on this forum, the absence of any response by AC personnel, despite holidays, should be of concern to lenders.
I'm guessing davidricketts is wishing that andrewholgate hadn't gone on holiday while this loan was being 'discussed' on the forum! Somebody from AC might at least stick their head above the parapet so we know they haven't deserted us?
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