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Post by ruralres66 on Oct 10, 2016 9:55:18 GMT
Anyway back to the conspiracy theorists........ Wow, who would have thought that RS investors expect that the sell out rules of their contacts should be the rules that were in place when that they took out the contracts and the rules for sell out are clearly explained, it is all a conspiracy! I think you are missing the point, there is not necessarily an expectation that "the sell out rules of their contacts should be the rules that were in place when that they took out the contracts"- not at all!
I suggest that as the business RS develops and evolves, there comes a point where the old rules are more a hindrance (to all) than an asset. If you don't fully understand the rules in the first place, or at a current point, you can't show due diligence in your decision making- because you lack confidence in the model and exercise caution or withdrawal. That was the position I found myself in, in August and I knowingly took the hit, and I moved on.........
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Post by ruralres66 on Oct 10, 2016 8:23:03 GMT
As one element of the calculation or formula for a sellout fee and cost to be applied has gone with the 3 year rate demise, (and eventual withdrawal) I suggest RS should be obligated to review their practice and sooner rather than later to maintain confidence with the more long term lenders. Otherwise RS may see a haemorrhage of" experienced" or they call the "expert" lenders........
With the business context evolving and changing and personally, with the majority of my loans currently placed in he 3 year market, I am unable to have confidence in how and where to invest.
Family concerns on RS 2014 default and pressure on PF, saw me triggering a mass selling out of 50% of my loans incurring a huge fee this summer. Try as I may, I couldn't fathom how this large cumulative fee was calculated.
Since then, I have been in lockdown only using the Rolling "Market". But, being cynical, I suspect this was, in part, RS's game plan in the removal of the three year option? I was getting a fair return on three year, an average of 4.2% whereas the Rolling is now nearer 3.1%...
Do others have the same suspicion?
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Post by ruralres66 on Oct 7, 2016 8:02:28 GMT
Apologies if I breached rules but I thought as an Isle of Wight site was described in detail on the forum, and referenced RS, general comment about the past history of the area would be ok.
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Post by ruralres66 on Oct 7, 2016 7:57:25 GMT
Definitely, very definitely, wishful thinking... There was a lot of unrecorded night time dumping on various sites in this part of Suffolk during a time when official oversight and regulation were non existent. In my area a major chemical company used one local pit without seeking authorisation in the 50s and 60s leading to contamination of the local river. The site has monitoring devices even now and is still a waste land. Locals at that time saw the convoys of lorries taking who knows what, shipped in from afar...... through the dark hours. Then of course we have the Great Crested newts too.......
Looking further into issues for this area, threre has been a Section 106 and viability row rumbling on for 4 years which I believe relates to both past development and proposed future development. In addition there are lots of nice uncomplicated greenfield uncontaminated sites being offered atm....nearby....
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Post by ruralres66 on Oct 6, 2016 9:53:03 GMT
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Post by ruralres66 on Oct 6, 2016 8:41:01 GMT
I am intrigued as I was visiting Barham and Claydon this week and heard tell of an application for 600 homes to be built in this area.
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Post by ruralres66 on Oct 6, 2016 8:35:58 GMT
I agree there needs to be an appraisal. Nearly 50% of my lending was in the 3 year market which shows an average 5.2%. A sell out would not be cost effective atm, particularly as there are significant "repay early" events..... It appears the money will come back to me sooner rather than later anyway. Then I am at a loss where to put it for income.
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Post by ruralres66 on Oct 4, 2016 7:40:13 GMT
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Post by ruralres66 on Oct 4, 2016 7:31:02 GMT
This may be suited more to general discussion? www.mortgageintroducer.com/cambridge-academics-offer-fca-p2p-insight/#.V_NaC9y9GHkThe FCA has teamed up with academics from the University of Cambridge in a bid to understand how peer-to-peer lending and crowdfunding should be regulated. A research team from the Centre for Alternative Finance at the Cambridge Judge Business School will provide the FCA with in-depth analyses of the P2P sector. The study will inform future regulation of the sector, giving the FCA a close picture of peer-to-peer lenders and equity crowdfunders. more 2 life: FCA changes will spark a boom for retirement lending In July the regulator launched a consultation on the future of the crowdfunding market, and sought to collect a range of evidence. The collaboration with the university represents a move by the regulator to broaden the range of evidence being used in the consultation. Academics will replicate and expand on quantitative work undertaken as part of the 2014 Understanding Alternative Finance study, allowing comparative analysis of debt and underwriting decisions across time periods. Examining default rates and bad debt ratios, the aim of the research is gain a deeper understanding of how robust underlying underwriting models are, and to spot changes in investor demographics. Speaking to Mortgage Introducer, a director at the Cambridge Centre for Alternative Finance said: “The FCA wants to replicate the 2014 work to understand the way in which the investor base is potentially changing.” “For example, are there more retail investors in the market so they can better understand the risk and the way risks are portrayed.” “We’re also looking for default rates and bad debt rates in order to understand how robust businesses’ underlying underwriting models are.” “The FCA is also very interested in us conducting qualitative interviews with lenders and investors. Particularly from an SME point of view. It’s really interesting to understand the profile of borrowers, and some of the questions have to be answered by a combination of research methods.” “We are obviously pleased and honoured to work with the FCA. They will be contributing human resources: we’ll be working with their staff including policy analysts and advisors, so we can gain a much better understanding. The UK’s Crowdfunding Association (UKCFA) welcomed the cooperation, saying it demonstrates the regulator is determined to base regulatory decisions on accurate evidence. Bruce Davis at the UKCFA said: “I think what the FCA wants from this is high quality data from an extremely accurate, objective source. My experience would be that the transparency and use of clear data is really positive.” “The FCA are not looking at performance. They’re waiting to understand the trends and structures in the industry, both in terms of equity and investment in the sector.” “They want to know what the industry’s concerns are, and to understand the behaviour of investors. “This process is great because it shows the regulator is seeking critical evidence. The University of Cambridge will analyse the evidence and provide a balanced view.” “There have been examples where the regulator has taken a view on models relating to real estate P2P, but they haven’t made the evidence they’ve used public. The FCA closed its consultation on the future of crowdfunding on 8 September. A Pushing Boundaries report published in February this year showed that £87 million of the total equity-based crowdfunding volume between 2014 and 2015 came from real estate crowdfunding.
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Post by ruralres66 on Sept 30, 2016 10:28:24 GMT
That's what was said in 2006 and 2007.... I am less than reassured!
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Post by ruralres66 on Sept 30, 2016 10:08:48 GMT
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Post by ruralres66 on Sept 30, 2016 10:04:57 GMT
I am sorry westonkevRS , I often put your somewhat dry tone down to personality & walk on by, but I'm afraid I must be frank in this situation; have you ever considered looking for a role which is not customer facing? I would suggest that for anyone who by inference would publicly suggest that some of their customers are fools & beyond help is seriously ill suited to a customer services role. ..."And no I'm not customer facing, and never have been. And in truth, the more image conscious would probably prefer that I didn't post...... Kevin. But we are grateful that you do;the "image conscious" need to realise that savy lenders (especially on this forum), welcome the opportunity for dialogue and debate....... it helps the business model by building some confidence in letting us have a voice and by providing an opportunity to ask awkward questions- at least it will let RS ( and us) see what direction the wind is blowing in? On another matter, what impact will current German Banking difficulties have for RS and P2P in general? Deutsche Bank fears rattle stock markets More "quantitative easing" and cheap money flooding market, driving down rates and impacting on P2P business volumes.....?
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Post by ruralres66 on Sept 14, 2016 8:45:56 GMT
This is my personal perspective as someone who is forced to live off savings as retired. Having reassessed the family finances and made lots of adjustments following Brexit, BoE, and the "politicking" and opportunism of the conventional savings market (with more than BoE level cuts) , I must say I am grateful for any alternative finance opportunities like RS etc even given the outlined inherent risks involved. Plus, having found and followed this forum for a couple of months, I now feel sufficiently informed and reassured about my decision making.
RS have always had good customer service in my experience; I too like their responsiveness to suggestions and criticism which is a far cry from the 'take it or leave it" attitude of the traditional banks and building societies. Yes, R Lewis was correct, we do pay dearly for our £75, 000 protection.
No one feels aggrieved at loses on the stock market, it what you sign up to. RS et al are businesses after all and must act accordingly and grow and maintain their business model.
I am grateful at the end of the day for an element of personal choice in the somewhat desperate financial climate. It is inevitable that some lenders will be happy to settle for lower rates, something being better than nothing despite inherent risks. 🐓
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Post by ruralres66 on Sept 2, 2016 8:20:16 GMT
Actually Kevin it makes RS look pretty good, as Zopa Classic is very similar to RS. The rates on offer for Zopa C. now are lower than the RS 5 year rate being discussed in another thread here. I think the point the OP was making is that rates are on the slide everywhere at the moment. Exactly my point, though not explicitly made by me. What the competition are doing is relevant to RS and it's lenders surely? Apology accepted Kevin but "think before you type" might be in order?!! Of all P2P on offer, I have been most aligned with RS (and considerably so but have backed out significantly recently by more than 50% of my lending)... though I did dip my toe in Zopa in 2013 and still have a minuscule interest there. I am grateful to this forum which has provided the reassurances by it's analysis and comments not available (independently) elsewhere. The posting was very much to reflect the flavour of where things are at. Very few forumites on this site are only dabbing with one P2P I would suggest? What happens on on site will help decisions to be made generally on any specific site. I am firmly "remaining" and am not intending "RSexit" for the foreseeable future................. Zopa, I will give a miss.........
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Post by ruralres66 on Sept 1, 2016 13:11:07 GMT
From Zopa; We're writing to let you know about upcoming changes to headline rates for Access, Classic and Plus. As of September 8th, 2016 all lender rates will decrease by 0.2%:
● Access will reduce to 3.3% from 3.5% ● Classic will reduce to 4.1% from 4.3% ● Plus will reduce to 6.5% from 6.7%
Any money in the queue from September 8th will be lent out at these new rates, so you have time to manage your lending settings if you wish. We will be updating our website later this week to reflect the new rates.
As you will be aware, the Bank of England recently cut interest rates to a record low of 0.25%. While we aren't as closely tied to the interest rate as high street banks, it has affected us in a couple of ways:
● Headline rates for borrowers across the board are at a record low. We have seen 0.1-0.3% reduction in headline rates from other loan providers across key loan categories since the interest rate cut. It's important that we stay competitive while maintaining our high standard of borrower.
● Banks have already reduced their rates dramatically: in many cases by more than 0.25%. This lack of competitiveness for investors from the banks has led to a surge in new lenders at Zopa; meaning slower lending speeds and queues of, on average, 10 days in Classic. This is something we closely monitor and manage. As we are a marketplace it's essential that we maintain the balance between borrowing and lending.
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