metoo
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Post by metoo on Jan 15, 2016 22:01:21 GMT
The latest loan comment says : "15 Jan 2016 To clarify the previous comment, the purchasing of new properties does not effect the borrowers ability to repay the loan." so apparently you are not the only one who was confused. 8>. And neither does it affect their ability to repay.
I have not read the official forum thread on this as it is currently inaccessible, but I assume these loan comments are a response to pressure from posters there, following on from the Q&A during bidding?
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metoo
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Post by metoo on Jan 14, 2016 16:34:35 GMT
Still 10 months to run, and interest is pre-funded for the whole term.
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metoo
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Post by metoo on Jan 14, 2016 14:51:48 GMT
Surely they can just give us the money back if they haven't spent it. Also they'd have to find the interest already paid out + fees on top of the money they actually received.
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metoo
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Post by metoo on Jan 13, 2016 15:58:44 GMT
How can they assure us that they are in a position to survive such a crash? They cross their fingers. Fingers Crossed then. If you check out their blog, I believe there is a piece about stress testing they have had done. There are 2 risks: (1) Increased loan defaults, leading to poorer returns or losses, and of course lenders are advised to be well diversified. (2) Platform failure, eg if fees from new lending dry up. This is not supposed to affect loan security. FC tell us they have a lot of cash from backers to ensure they are here to stay. Also: (3) Secondary Market freezes up as no one wants to buy in, or ends if platform fails. Meaning lenders might have to offer big discounts if wanting to sell, or would have to hold to maturity or default.
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metoo
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Post by metoo on Jan 13, 2016 15:48:10 GMT
Try logging out formally from FC using the menu (top right) rather than letting it log you out, then log back in. If that fails, have you tried clearing the Chrome cache - use Ctrl+Shift+Del in Chrome if I remember right, or via the settings menu, then tick the relevant boxes. If that fails, try logging in from an incognito Chrome window to see if it's OK starting from scratch. Clearing the cache hasn't changed anything, nor logging out (which I tend to do anyway), but it looks fine when I open an incognito window. Hopefully it will sort itself out in due course. Just another thought. Try disabling FCviz if you have it, plus any other Chrome extensions (menu, more tools, extensions, untick the boxes) then log out and clear cache and cookies again. If that works, try re-enabling extensions one at a time.
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metoo
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Funding Circle (FC)
18870
Jan 13, 2016 15:42:11 GMT
Post by metoo on Jan 13, 2016 15:42:11 GMT
... FC can waive or reduce their fee at their own discretion and without telling lenders. If I were this borrower I would not expect to have to pay full fees. Fees would probably be negotiable, but this loan extends the original term by over 15 months and increases the sum, so I'd be surprised if Fiendishly Canny didn't draw a fee. I'd see it as like remortgaging - there tends to be a fee for a new fixed deal.
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metoo
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Post by metoo on Jan 13, 2016 15:12:03 GMT
Chrome and Win 10 here, and no such problems. OK, odd. Clearing all my FC-related cookies hasn't helped. That's pretty much exhausted my PC fix-it knowledge. Try logging out formally from FC using the menu (top right) rather than letting it log you out, then log back in. If that fails, have you tried clearing the Chrome cache - use Ctrl+Shift+Del in Chrome if I remember right, or via the settings menu, then tick the relevant boxes. If that fails, try logging in from an incognito Chrome window to see if it's OK starting from scratch.
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metoo
Member of DD Central
Posts: 540
Likes: 410
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Funding Circle (FC)
18870
Jan 13, 2016 4:10:28 GMT
Post by metoo on Jan 13, 2016 4:10:28 GMT
The following info kindly supplied by FC. When a company comes for a new loan the rating has to be the same as the other loans they have with Funding Circle, unless the new loan will pay off the other loan ( I did not know this). So the first 3 loans were all D, as the first was D and the subsequent 2 did not pay off the previous. The fourth loan is paying off the previous loans and therefore the rating can be entirely re-evaluated. So presumably between the first loan and the fourth loan, the company improved its rating from D to A+. The principal in the fourth was slightly more than the previous 3 o/s combined, but the interest rate is reduced from 14% to 8.3% and this will lead to a lower monthly payment, which is certainly a valid factor. Bit of a leap of faith for me, but the sequence has logic. Does this work in the other way as well? Let us say a company has an FC loan rated A+. The situation for this company worsens in such a way that a new loan deserves to be a D rated one. They take an FC loan without repaying the previous one and voila . . . as if by magic . . .another A+ rated loan. Is it possible? I get the impression it was a bit if an ad hoc answer. I'd certainly hope every new loan is risk assessed. However, making the borrower refinance their whole borrowings to get a lower rate does raise a new fee on the whole sum, and the borrower is willing because the monthly payment drops. It would be interesting to know whether there have ever been exceptions or whether it's in the T&Cs.
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metoo
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Funding Circle (FC)
18870
Jan 11, 2016 17:31:52 GMT
Post by metoo on Jan 11, 2016 17:31:52 GMT
This loan request is an A+. The three previous open loans to this borrower are D. The latest D loan has the same financial info as the A+ request (as far as I can see). Can anyone provide any info that will enable me to understand how the loan rating can change so radically in such a short period? FC's credit rating algorithm revealed: algorithmOnly Fairy Cakes knows. You could email to ask them, or try the official forum, and it would be interesting to see whether you get a helpful reply. They do have a lot more information than is published. The new loan will at least repay the 3 earlier loans. You either have to trust their ratings or base your decision on what you can glean. As the borrower hasn't answered questions on this, it seems either they don't know the reason themselves or the information isn't in the public domain.
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metoo
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Post by metoo on Jan 9, 2016 0:22:16 GMT
Does anyone have any speculation why it went in at 10% and not 8%? They must have been able to negotiate it with the borrower. I notice this company appears to have recently seen a steep fall in assets and a steep rise in liabilities. Also, the build is under way. While this is a strength, if they have had difficulty raising funds and have bills to pay, Fiendishly Canny may have smelled the ability to extract a higher rate. Alternatively, having a broker who knows the score may help to keep the interest down to the standard rate versus going direct. As fasty says, it's a way to make the loan attractive, but at the cost of the borrower, not the fees.
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metoo
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Post by metoo on Jan 8, 2016 14:37:36 GMT
- FC don't make lenders pick unique names, so autobid users who share the same name will exist. Is that true, case sensitive?
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metoo
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Post by metoo on Jan 6, 2016 15:59:21 GMT
Their registered address is Preston. It's one Frequent C*ck-*ps can enjoy getting right when it looks wrong! Why a company is registered in Preston, called a name in the Midlands and bulds in Wiltshire is for you to guess. Strong local heritage. Good job I did not bet on the c*ck-*p. Preston is definitely NW. Flouting Conventions has now promised to change the region to SW, but shouldn't as then it would technically be wrong and break all previous precedent. Shall we take bets on whether they will carry out their promise?
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metoo
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Post by metoo on Jan 6, 2016 13:51:50 GMT
They've said before that the location is that of the borrower, not necessarily of the development. Apparently. We cannot identify the borrower but the town in the name is quite near Coventry. The business region is unlikely to be NW. My money would go on the c*ck-*p. Their registered address is Preston. It's one Frequent C*ck-*ps can enjoy getting right when it looks wrong! Why a company is registered in Preston, called a name in the Midlands and bulds in Wiltshire is for you to guess. Strong local heritage.
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metoo
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Post by metoo on Jan 1, 2016 18:14:56 GMT
You can see the new fixed rates for the Primary Market here support.fundingcircle.com/entries/83969385-What-are-fixed-rates-and-how-do-they-workFixed rates started 28 September 2015. Many loans lent before fixed rates came in can be bought at higher Buyer Rates on the Secondary Market. It's always wise to consider the risks of the particular companies, but also spread your investment across at least 100 different companies over time, probably more is better. There is no hurry. For a given Buyer Rate, a lower Premium (or higher Discount, ie negative Premium) is better in case of early repayment.
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metoo
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Post by metoo on Dec 31, 2015 15:37:13 GMT
Perhaps, but have faith chum. Edit: I tapped "like" but on this one it was a (possibly Freudian) fat finger. I don't really like the thought, let's hope that spring will come. I think I appreciate that but I have never been tapped by a Freudian fat finger before. If you tap it again with a normal finger it should remove the like - or it does when I have liked my own post by mistake. Thanks, I tapped it again and it went away. I hadn't dared tap "like" twice. If only it were so easy to fix Famine of Cashback.
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