justme
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Post by justme on Jan 27, 2017 8:59:16 GMT
I meant Wigan, Solihull and Pershore loans. Apologies in advance as I have a feeling it may be a stupid question to ask
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registerme
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Post by registerme on Jan 27, 2017 9:02:09 GMT
No they are not. For our purposes BPF effectively act as an introducer for MT, but one that also takes a first 5% loss position. See here for more details. |
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ilmoro
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'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 Jan 27, 2017 10:03:16 GMT
I meant Wigan, Solihull and Pershore loans. Apologies in advance as I have a feeling it may be a stupid question to ask Couple are, London flat & B Rd, SB, the other SB one is to a linked borrower, Security for the SB ones is held by companies from same group. The three you mention have no ties to previous loans or each other.
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registerme
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Post by registerme on Jan 27, 2017 11:08:54 GMT
Ahh I may have misunderstood the question. I read it (probably incorrectly) as if it were asking "do we lend to BPF"?
Sorry.....
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justme
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Post by justme on Jan 27, 2017 11:44:22 GMT
No need to be sorry , both replies answer the question. So we do not loan to BPF, it is an intermediary but some of the loans starting with BPF are to the same/related borrowers. I was asking because I have a large proportion of my small investment in Wigan so I wondered whether buying Pershore would be diversifying or not.
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GeorgeT
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Post by GeorgeT on Jan 27, 2017 12:14:56 GMT
No need to be sorry , both replies answer the question. So we do not loan to BPF, it is an intermediary but some of the loans starting with BPF are to the same/related borrowers. I was asking because I have a large proportion of my small investment in Wigan so I wondered whether buying Pershore would be diversifying or not. yes you would be diversified there by buying into Pershore but what a shocker it is only being offered at 10% and not the usual Broadoak 11%. I have to say given the particulars and the size of the loan and broad Oak standing between us and money thing with their 5% it still looks a good investment but I have become accustomed to seeing 11 percent on my spreadsheet and not 10% and I'm wrestling with my conscience about whether I'm prepared to lower myself a percentage point in the peer to peer sector.
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stub8535
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personal opinions only. Not qualified to advise on investment products.
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Post by stub8535 on Jan 27, 2017 12:24:02 GMT
Perspective check. 1 to 3% easy access bank accounts with protection, 3-5% ish p2p rapid access account no protection. 7%-8% multi asset class fund and forget. 8%-13% asset backed no protection. These can be further split by asset class. 10% beats plenty similar to Pershore elsewhere. It's down to personal choice though.
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justme
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Post by justme on Jan 27, 2017 12:37:13 GMT
I am an absolute newbie , still it is obvious to me that with demand of this level there bound to be either lowering of rates or quality of loans, correct me if I am wrong.
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alanp
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Post by alanp on Jan 27, 2017 13:01:00 GMT
A bit of both on some sites I would say.
Supply & Demand - lots of people want to invest in P2P due to higher %'rate whilst there is a (very large) but finite number of loans on offer across platforms in aggregate.
Same equation for the platforms - more & more each week / month / year all chasing the same finite number of borrowers
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justme
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Post by justme on Jan 27, 2017 14:19:06 GMT
Having said that I will wait for next week's expected loans as I do not have much money to invest and they may offer higher rate
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ilmoro
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'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 Jan 27, 2017 14:29:37 GMT
Having said that I will wait for next week's expected loans as I do not have much money to invest and they may offer higher rate No maybe, they will, 11 & 12%.
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Post by Deleted on Jan 27, 2017 14:41:19 GMT
You have to think about the business models, the experience of the organisation and other businesses they run. Some of the people in MT have lots of Mortgage experience with their own money. That makes them think differently say to ones that are run by ex bankers. You also find some portal structures are too complicated and expensive hence the premium they receive over our lending has to be higher than to more cost conscious portals, some portals are very good at get asset value out of defaulted loans.
So not all portals are the same. So not all risks are easy to compare by %interest rates.
I'd see 10% MT with the first 5% loss taken elsewhere as a pretty sure fire bet, which lines up with say a 10% wind turbine with FITS payment agreed.
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Post by wickedxuk on Jan 28, 2017 12:01:25 GMT
I'd find it helpful if MT could split the BPF prefix meaning "lender" into actual distinct lenders like BPFA, BPFB, etc. I would second this too. MoneyThing
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spiral
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Post by spiral on Jan 28, 2017 12:23:24 GMT
I'd find it helpful if MT could split the BPF prefix meaning "lender" into actual distinct lenders like BPFA, BPFB, etc. I would also like additional tranches of a loan amalgamated with the original once filled. Trying to have £x in loan y is a PITA with the current set up.
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Post by MoneyThing on Jan 28, 2017 12:24:03 GMT
I'd find it helpful if MT could split the BPF prefix meaning "lender" into actual distinct lenders like BPFA, BPFB, etc. Happy to discuss this with Bengil Bert Ben and see what we could do... 
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