0risk
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Post by 0risk on Apr 24, 2017 14:02:36 GMT
The pass the parcel game is over for now. Almost 80% of my loans are available on SM.
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jayjay
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Post by jayjay on Apr 24, 2017 16:50:01 GMT
Some people must now have had quite substantial sums in the SM queues for up to two weeks. As we approach month end what will be the impact of people cancelling sales to 'claim' the interest. At the very least this phenomenon should shake up the queues. Have I misunderstood this point ? - but is there not an incentive to cancel and relist if you believe the interest is more important than the queue position?
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littleoldlady
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Running down all platforms due to age
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Post by littleoldlady on Apr 24, 2017 18:01:01 GMT
Some people must now have had quite substantial sums in the SM queues for up to two weeks. As we approach month end what will be the impact of people cancelling sales to 'claim' the interest. At the very least this phenomenon should shake up the queues. Have I misunderstood this point ? - but is there not an incentive to cancel and relist if you believe the interest is more important than the queue position? Do you really get interest on the time that your loan was on the SM if you do this? It is not what the pop up message says when you list a loan for sale. If it's true surely everyone should put up all their dodgy loans on the 1st and cancel on the last day of the month. There would be FFF rush at just after midnight on the last day as everyone competed for queue position. Edit: I see that this was pointed out 16 months ago here but it does not seem in Lendy's interest, nor does it seem logical, so whose to say that Lendy have not fixed it?
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mary
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Post by mary on Apr 24, 2017 18:01:22 GMT
Some people must now have had quite substantial sums in the SM queues for up to two weeks. As we approach month end what will be the impact of people cancelling sales to 'claim' the interest. At the very least this phenomenon should shake up the queues. Have I misunderstood this point ? - but is there not an incentive to cancel and relist if you believe the interest is more important than the queue position? That was not not my understanding, I thought you lost the interest for each day the loan was listed even if you later cancelled? But I'm not sure, can anyone clarify how interest works when you cancel a SM sale, because I've been holding off listing one due to the size of the queue in the hope that it reduces and I can get a quick sale at a later time?
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Post by df on Apr 24, 2017 19:20:56 GMT
Some people must now have had quite substantial sums in the SM queues for up to two weeks. As we approach month end what will be the impact of people cancelling sales to 'claim' the interest. At the very least this phenomenon should shake up the queues. Have I misunderstood this point ? - but is there not an incentive to cancel and relist if you believe the interest is more important than the queue position? That was not not my understanding, I thought you lost the interest for each day the loan was listed even if you later cancelled? But I'm not sure, can anyone clarify how interest works when you cancel a SM sale, because I've been holding off listing one due to the size of the queue in the hope that it reduces and I can get a quick sale at a later time? In my understanding, if you cancel it you are back on receiving interest.
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averageguy
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Post by averageguy on Apr 24, 2017 19:34:34 GMT
So take it off sale April 30th and bung it back on May 1st...what a game
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Post by df on Apr 24, 2017 20:02:13 GMT
I think the way forward for SS/Ly would be concentrating on recovering defaults instead of hunting for new loans and lending more to existing borrowers who can't repay and/or unable to refinance. Never mind 7% loans, 12% with a decent amount of remaining term are up for sale in large quantity because investors lost confidence in the platform. Releasing more loans whilst there is a massive default backlog doesn't look like a good strategy.
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nick
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Post by nick on Apr 24, 2017 20:49:23 GMT
In my understanding, if you cancel it you are back on receiving interest. Yes, and you will receive all the interest (for the duration it was for sale) that you would have lost if it sold on the SM However; the above only applies if you cancel before the end of the month. If your loan part is for sale into a new month, then you loose the the interest for the duration it was for sale the prior month Are you sure this is correct - I'm fairly sure you get credited the interest in the following month, i.e. at the end of the month of sale so its only a timing difference.
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twoheads
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Programming
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Post by twoheads on Apr 24, 2017 20:53:32 GMT
So take it off sale April 30th and bung it back on May 1st...what a game A game indeed. You must weigh up the odds: is it better to cancel the sale, receive the interest and re-sell at the back of the queue; or is it better to keep you place in the queue to get your capital back more quickly?
Mrs.Twoheads refers to my P2P investments as 'gambling'. She may have a point.
Is it red or black? Your call.
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twoheads
Member of DD Central
Programming
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Post by twoheads on Apr 24, 2017 21:02:48 GMT
Yes, and you will receive all the interest (for the duration it was for sale) that you would have lost if it sold on the SM However; the above only applies if you cancel before the end of the month. If your loan part is for sale into a new month, then you loose the the interest for the duration it was for sale the prior month Are you sure this is correct - I'm fairly sure you get credited the interest in the following month, i.e. at the end of the month of sale so its only a timing difference. Yes, cooling_dude is correct. If you put a loan up for sale but cancel the sale before the end of the month then it gets paid interest as if it was never for sale.
If you cancel the sale in any month after the sale was initiated then you will receive interest from the start of month in which the sale was cancelled (I think!).
It's strange I know, but a consequence of poor design and programming. I expect that they will sort out all of these idiosyncracies eventually and everyone will be able to understand what's happening without having to second guess the actual rules behind what should be a simple system.
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jomantha
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Post by jomantha on Apr 24, 2017 21:35:15 GMT
If my loans sold in a few hours, I would be questioning my judgment in selling them. I'm not happy when they don't sell, either. I'm just never happy! Judging by my queue lengths the only loans I could sell are ones I only recently bought. If I wanted to sell theseĀ I would be questioning my judgment in buying them. Why? I have a fixed amount I want to keep in SS. If I see something i like the look of more than the loan I have I trade on. Most of my loads are long dated 12% loans that sell well. I buy up bits and pieces and sell them on when I need cash. I have realised this leaves me cash short and am reducing my SS fixed amount accordingly but most of my loans will still get snapped up if listed at the right time. It maximises my interest and I'm happy with it.
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seeingred
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Post by seeingred on Apr 24, 2017 21:46:10 GMT
This goes against what I have understood to be the case - that once a loan is placed for sale it no longer earns you interest. But you are paid the amount you earned before it was placed for sale at the end of the month. For large loan parts it might be worth delisting and relisting - does this really happen?
"You will cease to earn interest on the amount you choose to sell at the point you click to confirm. Once the total amount has sold we will credit the balance to your account. Any unpaid interest accrued prior to sale will be credited at the end of the month as usual."
I suspect the wording here is Simply Sloppy - what is intended (?) and what may happen is "Any unpaid interest accrued prior to the loan being placed for sale will be credited... as usual.
If you cease to earn interest at the point you click to sell then you cease to earn? You can't later go back and say you do wish to earn it? Or can you?
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nick
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Post by nick on Apr 24, 2017 22:02:00 GMT
Are you sure this is correct - I'm fairly sure you get credited the interest in the following month, i.e. at the end of the month of sale so its only a timing difference. I am sure; Unless LY have recently changed the code, then you lose the interest if listed for sale, and you move into a new month I must try it out this month end. I reconcile total interest earn't as reported under the my loan tabs against actual interest received so would have expected it produce unreconciled differences in following months, but maybe I haven't cancelled a listing over month end. Do you know how SS report the details of the interest earnt on the affected loan part under Sold Loanparts - they would need to leave the end date as the original sale listing date for the interest to reconcile.
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fp
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Post by fp on Apr 25, 2017 9:18:21 GMT
There is a simple way to check this, list a loan at the back of one of the very large sales queues after taking note of the accrued interest, leave it overnight and then cancel the sale, check the accrued interest on that loan to see if it has increased.
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seeingred
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Post by seeingred on Apr 25, 2017 9:32:08 GMT
Take a small loan part that has been for sale for a couple of weeks, and has the interest stated at time of placing for sale.
Cancel the sale.
see what happens ..........because many days have been involved the difference should be clear.
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