TheDriver
Member of DD Central
Slightly bonkers
Posts: 493 
Likes: 190
|
Post by TheDriver on Oct 21, 2016 13:07:37 GMT
According to the loan book, out of 92 loans, 9 are fully repaid, one was a loss, 3 are in arrears, and 79 are live and paying. A****o is one of the three officially in arrears, not defaulted. Yet? L***a G***e is currently officially in the "live and paying" category, since no payments have been missed, but it's declaring insolvency. K***b*r is also currently "live and paying", but suspended, since it's allegedly due to repay this month. Others may also be green but unsellable.
Just noticed the incomplete resume here, so just to note that as well as AB&R, TRL & SAC are officially in Arrears - although apart from TRL the others are so far behind they should be classed as losses along with G&F, which makes the Bad Debt ratio about 2.4%, and Arrears 1%! Luckily I only caught AB&R, although also hold LGBB which should now be listed as a loss, hoping for some recovery from the proposed CVA.
So my personal losses are 8.5% of my original investment over 6 months, which I'll have to be very lucky to improve, rather feel more likely to deteriorate :-(
|
|
adrianc
Member of DD Central
Posts: 8,939
Likes: 4,783
|
Post by adrianc on Oct 21, 2016 14:05:17 GMT
A****o is one of the three officially in arrears, not defaulted. Yet? L***a G***e is currently officially in the "live and paying" category, since no payments have been missed, but it's declaring insolvency. K***b*r is also currently "live and paying", but suspended, since it's allegedly due to repay this month. Others may also be green but unsellable.
Just noticed the incomplete resume here, so just to note that as well as AB&R, TRL & SAC are officially in Arrears - although apart from TRL the others are so far behind they should be classed as losses along with G&F, which makes the Bad Debt ratio about 2.4%, and Arrears 1%! Luckily I only caught AB&R, although also hold LGBB which should now be listed as a loss, hoping for some recovery from the proposed CVA.
So my personal losses are 8.5% of my original investment over 6 months, which I'll have to be very lucky to improve, rather feel more likely to deteriorate :-(
I'm happy to sit corrected. Not being in those, I can't see them at all - since they're not in the market.
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Dec 12, 2016 11:31:26 GMT
Thought I'd resurrect this old chestnut on behalf of any new investors who were mislead by the seemingly attractive Bad Debt rate of 0.83% - which more established lenders know is a load of tosh.
G&F is still the only loan reported as such, although the Bridal Boutique is in that category by LC's own definition of Default, as are AB&R, TRL and SAC because they are in recovery. They also fit the Best Practice criteria as defined by the P2P Finance Association, mainly by having repayments over 120 days late, bringing actual Bad Debt to almost 5% for the year!
I assume the FCA missed this blatant error, but in my view is a major misrepresentation of investment performance, for which potential investors - who couldn't have any visibility of this without registering and downloading the loanbook - might be justifiably miffed. Another example of investors having to do an unreasonable amount of DD to uncover LC errors; and all this from one of the first fully-authorised platforms, who portray themselves as paragons of virtue for safeguarding investor funds!
As a new investor I'd probably feel inclined to complain, but as I'm not in that category I might just point this out to the FCA - no point in the P2P FA, as LC aren't members.
|
|
kaya
Member of DD Central
Posts: 1,150
Likes: 718
|
Post by kaya on Dec 12, 2016 14:19:16 GMT
Another example of investors having to do an unreasonable amount of DD to uncover LC errors Nice of you to call it 'errors'!
|
|
r00lish67
Member of DD Central
Posts: 2,691
Likes: 4,048
|
Post by r00lish67 on Jan 10, 2017 10:14:01 GMT
AB+R payments now over 260 days 'late' with the borrower being pursued in the courts. Just what does constitute a default in Lending Crowd's books, if not this?
|
|
SteveT
Member of DD Central
Posts: 6,873
Likes: 7,918
|
Post by SteveT on Jan 10, 2017 10:31:51 GMT
AB+R payments now over 260 days 'late' with the borrower being pursued in the courts. Just what does constitute a default in Lending Crowd's books, if not this? The HMRC guidelines categorise a P2P loan as a "Bad Debt" as soon as it enters legal recovery, so individual investors should be able to offset their full investment in AB+R against their other P2P interest earnings in 2016/17. Presumably LC will have to reflect this in their Tax Statements too.
|
|
r00lish67
Member of DD Central
Posts: 2,691
Likes: 4,048
|
Post by r00lish67 on Jan 10, 2017 10:50:02 GMT
AB+R payments now over 260 days 'late' with the borrower being pursued in the courts. Just what does constitute a default in Lending Crowd's books, if not this? The HMRC guidelines categorise a P2P loan as a "Bad Debt" as soon as it enters legal recovery, so individual investors should be able to offset their full investment in AB+R against their other P2P interest earnings in 2016/17. Presumably LC will have to reflect this in their Tax Statements too. Thanks, and good point, but it's not really that that riles me. It's the misrepresentation of the platform's performance when they dole out their latest marketing material to new unsuspecting investors that I'd like to see change. Not that LC are the only ones guilty of this of course! Edit: Ties quite neatly in with the ongoing discussion here: p2pindependentforum.com/thread/7610/statistics-new-loan-origination
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Jan 10, 2017 22:09:47 GMT
I wonder if the FCA are interested in this - and really protecting the interests of consumers?!?
edit: but then again the numbers were already being reported wrong when full authorisation was given!
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Jan 29, 2017 19:28:41 GMT
Well, something's happened; as well as the second Bad Debt being incorporated in the figures, reported Arrears have dramatically increased such that defaults appear to have suddenly tripled, from circa 1.5 > 4.5%!
Despite that, I haven't seen any explanation of the significant increase in losses or a commensurate reduction in claimed investment returns 😕
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Feb 4, 2017 19:36:59 GMT
I've also now realised that when AB&R was declared a LOSS my Annualised Estimated Return didn't change, despite the loss being 20% of my Net Earnings; as the definition of AER is " . . . return after fees and bad debts, " and ARREARS are not a BAD DEBT until declared a LOSS that was something of a surprise!
Has anyone else had any thoughts on the issue?
|
|
kaya
Member of DD Central
Posts: 1,150
Likes: 718
|
Post by kaya on Feb 5, 2017 12:02:01 GMT
The little motto at the bottom of your posts probably explains this.
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Apr 4, 2017 14:15:01 GMT
Presumably in order to stop more vocal complaints due to the end of the tax year, LC have significantly increased the Bad Debt level, such that it appears another loan has joined the Bridal Boutique as a loss - and from the figures it would appear to be TRL; can anyone confirm that?
|
|
kaya
Member of DD Central
Posts: 1,150
Likes: 718
|
Post by kaya on Apr 6, 2017 18:47:31 GMT
I'm not too reactionary, I give things a chance, and was going to let things run down towards an exit by the end of next year, but after yet another default, I've had enough.
The whole lot is up for sale, and I just hope the bungs can keep me ahead overall. Hang on and wait for the next default? No.The sooner out the better.
|
|
pom
Member of DD Central
Posts: 1,922 
Likes: 1,244
|
Post by pom on Apr 6, 2017 19:53:43 GMT
Good choice. My mum's statement this year is, er, rather light on profit. (soz mum) At least she had a nice mother's day so hopefully I'm still in the good books. Could be worse !
|
|
registerme
Member of DD Central
Posts: 6,180
Likes: 5,986
|
Post by registerme on Apr 7, 2017 7:47:41 GMT
How S*** M********** *** hasn't been defaulted, with the security being actively drawn upon, is beyond me. A 24 month loan which has made two payments on time, three late payments, and fourteen non-payments, and it's considered "in arrears".
|
|
