ilmoro
Member of DD Central
'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 Oct 1, 2016 19:45:38 GMT
It's important to remember that PBL020 was written under SS's old Ts&Cs, where SS investors were lending their money to SS/Lendy and SS/Lendy was lending to the borrower. If, in this case, the investors do not receive all their capital back plus all accrued interest, then it will be SS/Lendy that will have defaulted. . Are you sure about that? ISTM that other platforms lend the money first and then sell parts of the loan to investors with the risk going with the part, not remaining with the platform. But I am not a lawyer. From the horse's mouth so to speak old structure v newCharges at CH in favour of Lendy should related to old loans, charges in favour of SSSH new loans. This is why PBL37-9 have two sets of charges, one in favour of Lendy, one for SSSH because this loans was switched between old & new when Pbl69-71 launched. The Lendy charges should be marked satisfied IMO but havent been but thats true of lots of charges on CH PBL56, old, charge for Lendy, PBL64 new charge for SSSH
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Post by meledor on Oct 1, 2016 19:59:44 GMT
It's important to remember that PBL020 was written under SS's old Ts&Cs, where SS investors were lending their money to SS/Lendy and SS/Lendy was lending to the borrower. If, in this case, the investors do not receive all their capital back plus all accrued interest, then it will be SS/Lendy that will have defaulted. . Are you sure about that? ISTM that other platforms lend the money first and then sell parts of the loan to investors with the risk going with the part, not remaining with the platform. But I am not a lawyer.
If you look at the old T&C's they clearly state that in the event of default a lender may not get capital and accrued interest back, so you are correct. Not everyone agrees and they put greater reliance on their interpretation of other announcements by SS.
But if they believe that if an investor does not get all capital and accrued interest back on PBL20 then SS 'will have defaulted' then they cannot really express any surprise of PBL20 is being bought up on the SM. If SS is obliged to pay accrued interest etc the only issue in buying PBL20 is platform risk.
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mikes1531
Member of DD Central
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Post by mikes1531 on Oct 1, 2016 20:18:42 GMT
If you look at the old T&C's they clearly state that in the event of default a lender may not get capital and accrued interest back, so you are correct. Not everyone agrees and they put greater reliance on their interpretation of other announcements by SS.
But if they believe that if an investor does not get all capital and accrued interest back on PBL20 then SS 'will have defaulted' then they cannot really express any surprise of PBL20 is being bought up on the SM. If SS is obliged to pay accrued interest etc the only issue in buying PBL20 is platform risk. : Not quite. An investor might believe that SS/Lendy are obliged to pay all the accrued interest for loans under the old Ts&Cs, but not be sure that SS/Lendy will see it the same way. Rather than risk having to join a group to take SS/Lendy to court over those perceived obligations, they could avoid buying those parts on the SM and be surprised that anyone else would buy them. Why buy parts with a possible risk of non-payment of accrued interest when there are other parts available on the platform that do not have that same risk?
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littleoldlady
Member of DD Central
Running down all platforms due to age
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Post by littleoldlady on Oct 1, 2016 20:35:04 GMT
Are you sure about that? ISTM that other platforms lend the money first and then sell parts of the loan to investors with the risk going with the part, not remaining with the platform. But I am not a lawyer. This is just a commentary not a contract. I suspect it would be trumped by the T&Cs. But I am not a lawyer.
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Post by Deleted on Oct 1, 2016 21:15:14 GMT
Are you sure about that? ISTM that other platforms lend the money first and then sell parts of the loan to investors with the risk going with the part, not remaining with the platform. But I am not a lawyer.
If you look at the old T&C's they clearly state that in the event of default a lender may not get capital and accrued interest back, so you are correct. Not everyone agrees and they put greater reliance on their interpretation of other announcements by SS.
But if they believe that if an investor does not get all capital and accrued interest back on PBL20 then SS 'will have defaulted' then they cannot really express any surprise of PBL20 is being bought up on the SM. If SS is obliged to pay accrued interest etc the only issue in buying PBL20 is platform risk.
The accrual of interest on a defaulted loan has changed just few days before the PBL20 default. Lendy does NOT guarantee any interest on a defaulted loan unless there is substantial recovery allowing the distribution of it, after the capital redistribution. I am not sure what interpretation you talk about, but the payment is deferred to the (eventual) realisation from the asset and the asset (as in this case) might not be sufficient to allow distribution of interest. And of course also the PF, which is totally discretionally, can (and should in my view) prudently decide to help with capital repayments but not with interest repayments. So there is no obligation at all in the interest payment and I see very unlikely it will be paid.
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Post by retired2005 on Oct 2, 2016 11:23:06 GMT
And I remain baffled by the SM activity .....
Someone just hoovered up a £14.5K chunk - OK ....maybe thay are gambling on Lendy paying the interest .....
but who buys a 75 pence bit of a defaulted loan ...!?!?!?!?!?!?!?!?!?!?
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skippyonspeed
Some people think I'm a little bit crazy, but I know my mind's not hazy
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Post by skippyonspeed on Oct 2, 2016 13:46:56 GMT
And I remain baffled by the SM activity ..... Someone just hoovered up a £14.5K chunk - OK ....maybe thay are gambling on Lendy paying the interest ..... but who buys a 75 pence bit of a defaulted loan ...!?!?!?!?!?!?!?!?!?!? I know who 
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Post by Deleted on Oct 2, 2016 14:03:38 GMT
Loads of activity in PBL020 today, not just a couple of whales but loads of smaller investors too
Wonder what they know...
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arbster
Member of DD Central
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Post by arbster on Oct 2, 2016 14:16:54 GMT
Call me a coward, but I listed my holdings on Friday and they were sold this morning.
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jonah
Member of DD Central
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Post by jonah on Oct 2, 2016 17:36:56 GMT
Call me a coward, but I listed my holdings on Friday and they were sold this morning. you are a coward! Well you did ask!  More seriously, congratulations on being out of this one.
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skippyonspeed
Some people think I'm a little bit crazy, but I know my mind's not hazy
Posts: 787
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Post by skippyonspeed on Oct 2, 2016 18:51:51 GMT
I just thought of an idea for a new game show. A load a people stand behind a load of red boxes containing dodgy loans, another person has to guess whether each loan pays up or not. I thought someone like Noel Edmonds could host it.........The only problem is I can't think what to call it |
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littleoldlady
Member of DD Central
Running down all platforms due to age
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Post by littleoldlady on Oct 2, 2016 18:53:15 GMT
Call me a coward, but I listed my holdings on Friday and they were sold this morning. I kept 1p of mine so that I would be advised of events, for general site related interest.
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Post by martin44 on Oct 2, 2016 19:13:00 GMT
Nothing.. that's why they are buying it. 
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mikes1531
Member of DD Central
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Post by mikes1531 on Oct 3, 2016 13:02:15 GMT
but who buys a 75 pence bit of a defaulted loan ...!?!?!?!?!?!?!?!?!?!? Someone who wants to offer even smaller bits on the SM and watch as they progress up through the queue??? 
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adrianc
Member of DD Central
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Post by adrianc on Oct 3, 2016 15:21:00 GMT
but who buys a 75 pence bit of a defaulted loan ...!?!?!?!?!?!?!?!?!?!? Someone who wants to offer even smaller bits on the SM and watch as they progress up through the queue??? Since my 1p sold, I feel somewhat left out, and I'm thinking about buying another 1p.
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