annie
Posts: 45
Likes: 16
|
Post by annie on Aug 1, 2017 18:27:49 GMT
Just received an email offering £150 if you invest at least £2,500 for a year. Doesn't say new money so will we all get it if we register? Email to LC to ask.
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Aug 2, 2017 5:16:38 GMT
Hi annie, I haven't seen the email, but in Ts & Cs it states it must be new Lender Funds, (specifically excluding any interim withdrawals) and lent before the end of the month. That probably means buying up more from the SM to maintain diversificafion, with the potential drawbacks involved there. HtH
|
|
muh3
Posts: 52
Likes: 13
|
Post by muh3 on Aug 2, 2017 10:54:09 GMT
Hi annie , I haven't seen the email, but in Ts & Cs it states it must be new Lender Funds, (specifically excluding any interim withdrawals) and lent before the end of the month. That probably means buying up more from the SM to maintain diversificafion, with the potential drawbacks involved there. HtH This is actually not bad, in real terms you probably 2% worse of buying on the SM but you get 5% free money and you can reinvest the return payments in new loans.
|
|
|
Post by Butch Cassidy on Aug 2, 2017 11:45:50 GMT
Just received an email offering £150 if you invest at least £2,500 for a year. Doesn't say new money so will we all get it if we register? Email to LC to ask. You need to click on "register" button to activate it (I found the button via on site search for "summer promotion"); £150 on just £2500 represents 6% instant return + whatever rate you can get on loan parts - any defaults + any recoveries (probably 0 based on past experience).
Overall a decent promotion IF you can buy decent non-defaulting loan parts & hold for the minimum 12 months
|
|
|
Post by albermarle on Aug 2, 2017 17:09:07 GMT
It is clear that you have to lend out a minimum of £2500 of new loans before the end of August to get the £150. It is not entirely clear if you have to deposit new funds of £2500 , if you already have some in the cash account , but probably you do .
In any case you can later withdraw excess cash easily enough anyway. As well as the SM, there is a good flow of new loans ( five available at the moment) so hopefully you can get better rates than the SM for new lending.
My concern would be in the rush to lend a diversified £2500 in one month , you might buy loan parts that normally you wouldn't . Since previous comments about LC's DD , recovery rates etc , I have been a bit more picky, and not so sure about being rushed into lending more quickly than I would normally for a £150 bonus.
Anyway I have signed up/registered for it , as this costs nothing.
|
|
TheDriver
Member of DD Central
Slightly bonkers
Posts: 493
Likes: 190
|
Post by TheDriver on Aug 3, 2017 3:20:25 GMT
It is clear that you have to lend out a minimum of £2500 of new loans before the end of August to get the £150. It is, in Ts & Cs It is not entirely clear if you have to deposit new funds of £2500 , if you already have some in the cash account , but probably you do . Again in Ts&Cs, you do. In any case you can later withdraw excess cash easily enough anyway. No, this would specifically attract a redemption penalty, logically 6% of withdrawal. However, if you make the withdrawal BEFORE registering, I would contend the restriction specified in para 4 of the "General Offer Conditions" does not apply.As well as the SM, there is a good flow of new loans ( five available at the moment) so hopefully you can get better rates than the SM for new lending. My concern would be in the rush to lend a diversified £2500 in one month , you might buy loan parts that normally you wouldn't . Since previous comments about LC's DD , recovery rates etc , I have been a bit more picky, and not so sure about being rushed into lending more quickly than I would normally for a £150 bonus. I share your concerns, but can't comment on the quality of proposals or SM offerings at present. Historically it wasn't good, which is why I shipped out after the last promotional debacle Anyway I have signed up/registered for it , as this costs nothing. Good idea, and could even be a GOoGF if things turn sour.
|
|
annie
Posts: 45
Likes: 16
|
Post by annie on Aug 4, 2017 8:16:32 GMT
Just can't see enough good loans available by end date if recent offerings are anything to go by. Enjoying watching slow progress of current large loan, where owner owes business >£1M. And last cashback wouldn't let you take cash unless more than bonus was in cash account, ignoring any loans you had. Does this mean you need more than £2,650 in cash account for the next year before you can withdraw anything?
|
|
muh3
Posts: 52
Likes: 13
|
Post by muh3 on Aug 4, 2017 8:43:08 GMT
Congratulations! You have qualified for the £150 cashback. Your Self Select Account - M000xxxx will be credited with £150. I have a feeling I will regret this
|
|
pom
Member of DD Central
Posts: 1,922
Likes: 1,244
|
Post by pom on Aug 4, 2017 12:16:03 GMT
Congratulations! You have qualified for the £150 cashback. Your Self Select Account - M000xxxx will be credited with £150. I have a feeling I will regret this Speaking as someone who only made a small profit beyond sign up bonuses ....I fear you may.. Good luck
|
|
|
Post by albermarle on Aug 4, 2017 14:30:50 GMT
Although I am still lending on LC , I am only buying on the PM at the higher rates, and only about one in five loans that come up ( being as careful as possible following the previous comments on this forum ) So although I have registered for the promotion, I have decided that to lend £2,500 in one month, that it would have to be sprayed about too indiscriminately , assuming the usual diversification of lending funds. But good luck to muh 3 anyway, and will be interesting to compare notes at the end of the year maybe. According to the loan book , no loans originated in 2017 are in arrears ( maybe still some late payers though ?) and there are more loans than all of 2016 , so maybe will be a lucky year
|
|
muh3
Posts: 52
Likes: 13
|
Post by muh3 on Aug 4, 2017 14:51:13 GMT
Although I am still lending on LC , I am only buying on the PM at the higher rates, and only about one in five loans that come up ( being as careful as possible following the previous comments on this forum ) So although I have registered for the promotion, I have decided that to lend £2,500 in one month, that it would have to be sprayed about too indiscriminately , assuming the usual diversification of lending funds. But good luck to muh 3 anyway, and will be interesting to compare notes at the end of the year maybe. According to the loan book , no loans originated in 2017 are in arrears ( maybe still some late payers though ?) and there are more loans than all of 2016 , so maybe will be a lucky year You can buy at a lower interest rate on the SM, if new loans come up you are interested in then you sell the lower percentage ones and replace with the higher percentage ones. I done this with the Autumn promotion which was £5000. Selling a loan is only 0.5% fee. I checked this morning and someone must have sold his portfolio, 108 loans on the SM, some with good rates. To be fair i have gone for diversity over selecting, however I don't invest in everything and the wobbly ones I only put £20 in.
|
|
|
Post by albermarle on Aug 4, 2017 15:42:38 GMT
From previous comments, I had the impression that selling your loan parts could be slow/difficult on LC. However I have only put one loan up for sale on the SM that I had a bad feeling about , and it went in three days/yesterday. Presumably the offer has brought more liquidity to the SM? What is your previous experience in selling loan parts, when there is no offer on ?
|
|
muh3
Posts: 52
Likes: 13
|
Post by muh3 on Aug 4, 2017 16:29:51 GMT
This is in my opinion no longer the case. For example i hold 140 loans at the moment, you only got 5x on the SM, so 90 will normally sale within a day. The other could take a bit longer but are normally gone in a view weeks tops.
|
|
|
Post by albermarle on Aug 4, 2017 17:33:01 GMT
OK , in that case I might reconsider, seems a shame to pass up on £150 , as over the coming months I was probably going to put that kind of sum in anyway, assuming no string of disasters of course...
To answer a previous question about having to hold £2,650 in your account for one year. It is clear that this means cash and loan parts together, not just cash, so wouldn't be a big issue, especially if you already have some money on the platform already . See extract from LC's T's & C's on this promotion.
Lenders must maintain a minimum balance of £2,650 (comprising Lender Funds of £2,500 and £150 cashback, once credited, within their LendingCrowd Account) for a minimum of 12 months from the date of the cashback being credited. Lender Funds, Lender Loan Funds, Loan Parts held by the Lender and any amount written off in the event of default shall all count towards the required minimum balance. A Lender may withdraw funds prior to this date but up to £150 will become due and payable to LendingCrowd from the Lender’s Account. Lenders expressly authorise LendingCrowd to deduct this amount prior to withdrawal.
|
|
muh3
Posts: 52
Likes: 13
|
Post by muh3 on Aug 4, 2017 20:13:03 GMT
You can basically no longer withdraw if you balance is £2650. You could buy loans, get the 150 (takes up to 30days) and sell all loans again and sit with a cash balance of 2650 until the year has passed.
|
|