james21
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Post by james21 on Jul 24, 2017 19:03:51 GMT
Forget it pal; you and the others on here, which I doubt invested in this one but just want to be antagonistic to FS. Me I like my 13%, long may it continue. If you and the others like to punt on power boats and railway toys then go right ahead.
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Post by bracknellboy on Jul 24, 2017 19:14:30 GMT
Its about common sense forget these type of loans go with property. Move on, nothing to see here MOD HAT OFF (for the avoidance of doubt) james21 I fear you are perhaps misunderstanding some of the fundamentals of p2p lending ? FS lenders did not "invest" in a power boat. They made a loan to a borrower which was secured against an asset at a certain LTV, and that security happens to be a power boat. A rather fundamental difference I would suggest. That loan was 6 months duration. The LTV was supposedly (I'm not sure I any longer trust FS in the slightest when it comes to LTVs) 61%. In the real world, lenders could reasonably have expected that at the end of the loan term either the loan is redeemed along with interest, or after a short grace period the collateral is called in and sold off. Given a realistic original valuation, esp. on an asset that was not brand spanking new to start with, and a loan period of only 6 months, then even allowing for disposal costs one could reason that losses should be limited. On the other hand, leave a period of 9 months and counting, and with every sign that FS have no intention of calling in the collateral, with interest accruing, then you have a different equation. The issue here is not the nature of the asset which lenders knew about, but FS's complete and utter unwillingness to take the action that they should be doing to protect lenders interests. It is becoming increasingly clear that they have absolutely no confidence in the realisable value, and therefore prefer to keep kicking the can down the road in the hope that some apparently rather *dodgy investor (this time in the real meaning of the word) is going to provide the borrower and FS a lifeline. From FS's website: In the event of non-repayment (default) by the borrower, FundingSecure will auction the asset at the earliest opportunity. Proceeds from the sale will be used to settle investors' capital, investors' interest and then FundingSecure's fees (in that order). Any surplus is returned to the borrower. Interest and fees continue to accrue up until the asset is sold. In the event that the proceeds from the sale of the asset are insufficient to repay capital, then your capital will be lost.*I use the term 'dodgy' with some advisement. I do not know who that investor is, so for the avoidance of doubt I am clearly not making an actual judgement on the character of said investor. However, if FS's own communication is to be believed, we are now coming up to 3 months of them trying and failing to remit funds via a cross border banking transaction. There are a limited number of potential reasons for that.
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merlin
Minor shareholder in Assetz and many other companies.
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Post by merlin on Jul 24, 2017 19:19:33 GMT
Forget it pal; you and the others on here, which I doubt invested in this one but just want to be antagonistic to FS. Me I like my 13%, long may it continue. If you and the others like to punt on power boats and railway toys then go right ahead. You seem to have a very poor understanding of what "risk" is all about. If you think you are safer with property rather than marine mortgages you may one day have a very nasty shock when one goes wrong like AC's Epping loan has. Hopefully after all the Court actions and delaying tactics those in that loan may just get some of their capital back. Their chances of the lenders getting all their accrued interest will IMO require a miracle. Additionally don't forget that all the while the capital is tied up you cannot get at it even if its not earning you money, in the Epping case this is now running into years.
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james21
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Post by james21 on Jul 24, 2017 19:20:49 GMT
Forget crusading against FS, no one is interested. If they wish to put up powerboat loans and similar thats fine. Its up to investors to chose to invest or not. And while you are at it give the Whitehaven loan a break, its like a broken record
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SteveT
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Post by SteveT on Jul 25, 2017 6:37:38 GMT
It's almost inevitable that someone lending with FS for just 9 months ( link), who by definition can have nothing over 3 months late, is going to have a different perspective from those who've been with FS for multiple years and have long lists of loans that are 6/9/12/15/18 months overdue. Time will tell if james21 feels as positive in a year's time. ps. A word of advice. The 13% rate is an illusion until loans complete; "accrued interest" is worthless until a borrower actually stumps up. After 9 months, I doubt your realised IRR to date is more than about 5% (try calculating it for yourself), even if you assume no future capital losses on live loans. If you manage to earn more than 8% IRR in the long term then you'll be doing very well indeed.
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09dolphin
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Post by 09dolphin on Jul 25, 2017 6:45:07 GMT
James 21. What's your problem?
Are you an investor in FS (the company)? Is this is the reason for your defence of the indefensible mismanagement of loans by FS? Perhaps you are an employee of FS and are worried about your job security.
I agree with a lot of other contributors that FS have mismanaged quite a few loans. The problem is that FS don't appear to be treating issues associated with mismanagement as a learning opportunity or explaining to loan investors what action they are taking to ensure the mismanagement is being addressed.
It's my belief that most of the investors in FS loans understand the risks and the reason for the high interest rates and there have been comments that demonstrate this not just on this thread but on many others. However it is totally reasonable to expect FS to MANAGE the loans that appear to be in difficulty and to apply their T&Cs to late loans.
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elliotn
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Post by elliotn on Jul 25, 2017 6:46:37 GMT
When investors were invited to take part in this loan they were advised in the prospectus that "The powerboat will be located in an indoor storage facility when not in use for promotional activities." A race is not per se a promotion. Through racing a business may promote itself but that does not make racing a promotional activity. If it should come to a court of law I am comfortable that a judge would agree with my view of the matter. By agreeing to allowing the boat to race FS is laying itself wide open to litigation from investors should the boat be lost or damaged. To bring FS to its senses needs a court injunction served on the boat owners. That would make a splash! The boat being lost or damaged might be current best method of repayment via insurance, unleash the beast! 🛥😎
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stub8535
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Post by stub8535 on Jul 25, 2017 6:50:59 GMT
Could it also be pump and dump. If James21 has a mid to large pot that he is selling out then its to his advantage to praise the team at FS in order to encourage new, less experienced investors in so they bring dumb cash.
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Steerpike
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Post by Steerpike on Jul 25, 2017 6:56:08 GMT
After just over 7 months with FS one has fewer reasons to question the management of overdue loans.
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Post by Deleted on Jul 25, 2017 6:57:14 GMT
Not that many power boats lost in that race anymore. If they want to auction the thing they need to be doing it straight after the race (if it does well) or sooner if possible. You will get a better price in July than September. Storage costs over the winter, maintenance costs etc etc
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r1200gs
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Post by r1200gs on Jul 25, 2017 7:40:49 GMT
Could it also be pump and dump. If James21 has a mid to large pot that he is selling out then its to his advantage to praise the team at FS in order to encourage new, less experienced investors in so they bring dumb cash. Could also just be daft as a brush. Does anybody want to explain, again, how the issue is with FS management and not the security? Not me....
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Post by bracknellboy on Jul 25, 2017 7:41:39 GMT
After just over 7 months with FS one has fewer reasons to question the management of overdue loans. Although that 7 months appears to have some how stretched to 9: p2pindependentforum.com/post/201130/thread Evidence of how a large black hole can stretch the fabric of the space-time continuum ?
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Post by martin44 on Jul 25, 2017 7:48:50 GMT
When investors were invited to take part in this loan they were advised in the prospectus that "The powerboat will be located in an indoor storage facility when not in use for promotional activities." A race is not per se a promotion. Through racing a business may promote itself but that does not make racing a promotional activity. If it should come to a court of law I am comfortable that a judge would agree with my view of the matter. By agreeing to allowing the boat to race FS is laying itself wide open to litigation from investors should the boat be lost or damaged. To bring FS to its senses needs a court injunction served on the boat owners. That would make a splash! The boat being lost or damaged might be current best method of repayment via insurance, unleash the beast! 🛥😎 Quite right.. As happened here... Power boat loan 1117598786 back in 2015... Power boat written off 15/05/2015 insurance paid out to FS in full 15/06/2015 , i was in this and at the time was slightly worried about whether FS had good insurance in place, turns out they did and all ended well.
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stub8535
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Post by stub8535 on Jul 25, 2017 8:07:49 GMT
With the write off speculation I wonder if the insurers are keeping a more sceptical eye on any claims for pir asset?
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Post by martin44 on Jul 25, 2017 8:18:26 GMT
Could it also be pump and dump. If James21 has a mid to large pot that he is selling out then its to his advantage to praise the team at FS in order to encourage new, less experienced investors in so they bring dumb cash. Could also just be daft as a brush. Does anybody want to explain, again, how the issue is with FS management and not the security? Not me.... (My bold) r1200gs I don't think there is any problem with the management team per se , however there is a problem with the way they appear to be handling unredeemed loans, even when the security is sound, we have seen recently with the Collateral cars default, that quick, pro-active action is what is needed (as appears to be the case so far) to ensure lenders cash is returned as quickly as possible. Fundingsecure have a habit of being given the run-around by borrowers, to the extent that some loans are now well over a year late, and considering the fact that when a loan is unredeemed , not only is the capitol owed but all the interest as well, while the loans are unredeemed i have no doubt that Fundingsecure will be charging the borrower penalties, either fixed or interest hikes. IMHO this then begs the question, in whose best interest are Fundingsecure acting upon? . It should be ours first, although i'm not sure that is the case. JMO.
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