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Post by charliebrown on Mar 29, 2019 17:47:34 GMT
36.4%. Ouch!!!!!
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Post by charliebrown on Mar 29, 2019 17:35:02 GMT
So, an assertion that some recoveries are due, as well as a reminder that LY is not a bank and (complete) capital losses are possible. Brace yourselves!!!! All things considered a reasonably informative update, probably written under duress from the FCA.
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Post by charliebrown on Mar 29, 2019 16:59:28 GMT
I suspect that when the current loans still drawing down are finished and the main lenders they used to rely on for multiple repeat business gone, Lendy will either be wound down by a skeleton staff or worst case LB will put the company into administration to save himself a load of cash. Then there will be a newco starting up based on the south coast with LB at the helm. LB should NEVER be licensed to run another financial services company, he should be on the FCA blacklist forever. In fact he shouldn’t even be allowed to run a p*ss up in a brewery as he’s clearly incapable. I don’t think the Lendy business was ever envisioned to be a long term endeavour, I suspect it was always planned by LB as a smash-and-grab.
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Post by charliebrown on Mar 29, 2019 9:18:04 GMT
How many offers have already fallen through? Just another turn on the merry go round of updates. The last 2 months worth of updates across the board have been all over the place. Some don’t appear to be related to the loan they have been posted against, others, as has been mentioned, have no continuity with what’s been posted in previous updates. It’s just so confusing. The clock keeps ticking, recoveries don’t materialise and communication gets worse .
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Post by charliebrown on Mar 29, 2019 9:11:03 GMT
And there was me thinking everything was ship-shape. Everything was ship-shape when they stuck to boats Its when they tried their hand at property it all went wrong Went wrong for us, not for them. They’ve cleaned up and have left many victims overboard without a life jacket.
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Post by charliebrown on Mar 29, 2019 9:04:41 GMT
Good work, from what Lendy have said all the recovery has been outsourced so perhaps not a huge much to do in the office. I think the Lendy brand is too toxic now to continue so I can see no new lending for the foreseeable future... Maybe once a chunk of loans have repaid in a couple years time. ETA there was a Paul Coles as head of compliance at least at the beginning of this month. I would never “invest” another penny with Lendy under any circumstances. However, if you look at FS, they are arguably as incompetent as LY (probably even worse on some specific loans). The FS brand is mud but probably not as toxic as LY. FS are still issuing loans and those loans are still filling, admittedly not as fast as they used to. I believe LY has got to issue some new high quality loans if they intend to stay in business. The “investors” already burnt by LY probably wouldn’t touch the loans but if they get some good loans they still might fill them? Maybe?
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Post by charliebrown on Mar 28, 2019 5:00:36 GMT
Supposed to be 27% LTV and yet we don’t seem confident of a recovery. To be honest, me too. I can’t see anyone paying 250k for a needle. Looking back on the rubbish I’ve “invested” in I really don’t know what planet I was on when I clicked that mouse.
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Post by charliebrown on Mar 27, 2019 19:17:35 GMT
Whilst i agree that the valuation were very optimistic in some cases, for those that were negligent the surveyor should be pursued For redress. Being optimistic though is sometimes part of business, and it is also the duty of nvestors to see through the optimism. this all seemed to start with the property slowdown. Thats not lendys fault. Valuations for some properties were drastically reduced because of the slowdown. Big estates become impossible to sell. Thats not lendys fault. not defending lendy. But this isnt all because if lendy. Investors need to take some responsibility too. Can't really use property slow down as a scapegoat. If valuations were proper, the overall outcome would've been ok with promised max 70% LTV. Of course we're responsible for our own actions, but we were also mislead by inadequate information presented to us by the platform. A long time ago I took my accident damaged car to a garage to be repaired. The Mechanic asked me whether it was an insurance job. I asked why and he said they’d give me a more competitive and realistic price if it wasn’t an insurance job. I think this is the same scenario with the valuations, they are valued for Lendy’s benefit and to enable a loan to proceed. It’s akin to an “insurance job”.
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Post by charliebrown on Mar 27, 2019 17:35:49 GMT
Since Lendy is an FCA accredited platform, what happens when LY goes bust or loses 80% of investors’ capital or both. I think the answer is “absolutely nothing” but I was wondering whether there’s actually any benefit to investors when investing in an accredited platform? If the answer is “absolutely nothing” then why do we need the FCA?
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Post by charliebrown on Mar 27, 2019 17:01:15 GMT
How is F/S doing i was thinking of joining but have mixed reviews? On average the full stats that FS release show that you should make money. Unfortunately if you are a mixture of poor or unlucky at loan selection you can lose a lot depending on your level of diversification. Lots of people here have been tied up waiting for recoveries for a long time and are understandably bitter. I’ve come to the conclusion (unfortunately I learnt the lesson the hard way) that it’s better, in my experience, to take the 6-6.5% from RateSetter. The only risk you have is platform failure, which should be significantly less likely than Lendy or FS failing as the riskier platforms are run by morons who are out to make a fast fortune and don’t really seem to care about platform longevity, bad PR and sour investor sentiment. The riskier platforms are like playing Russian roulette and in Lendy’s case every chamber has a bullet.
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Post by charliebrown on Mar 27, 2019 6:43:32 GMT
If all new directors hired recently to help out on recoveries have left, then it can't be good news for us. I guess all the loans will be purchased by another platform soon, at a significant discount, like 20% off. Hopefully, we won't lose all of our capital. I think 20% capital loss across the entire loan book is wishful thinking. There was a vote on how much capital Lenders expect to see returned but unrealistically (probably based on principle rather than actual expectations) most Lenders said 100%. My Guess would be something like a 70% loss of capital across all loans. The Lendy saga worsens at every turn, I don’t expect Lendy to be around long enough to be the party recovering the loans. Liam is hardly fighting for his own financial security and I’d guess at this stage he couldn’t care less what happens, he’s achieved what HE set out to achieve.
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Post by charliebrown on Mar 24, 2019 8:08:01 GMT
If we take Whitehaven as an example. There was clear fraud by the borrower and crystal clear negligence by FS. FS made no apology, no admission, offered no compensation. The outcome was to brush the sorry mess under the carpet and quickly move on. I suspect Art will follow the same route. My only thoughts are that BH with 6 figure sums in these loans are not likely to shrug their shoulders and move on without a fight. As someone else said FS might do secret deals with those Lenders but brush things under the carpet for the masses.
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Post by charliebrown on Mar 23, 2019 15:32:55 GMT
Thanks Mousey and I may well come back to this thread to remind myself the sorts of grounds my complaint should be based on. And while I'm here thanks also for your reporting of the case. I definitely understand why you were not able to respond to my PM of a few weeks back - you probably get hundreds ! Anyway, the main point of this post is to ask wouldn't it be better to wait until FS cease all efforts to recover the money? I'm not sure how you would determine that but it seems clear they are at least active right now? I've had about 20 PM's about this loan and they all have the subject "art loans"!
There's two questions that need to be addressed: 1) Was there actionable misrepresentation on the loans? ie Did fundingsecure act deliberately and dishonestly in order to induce us into making a contract. 2) As a result of alleged actionable misrepresentation have we suffered a loss?
I can see no reason why question 1 can't be answered now. Question 2 will not be answered until at least July 31st 2019 however the borrower has been declared bankrupt and has no assets.
If the answer to 1 and 2 are both to the affirmative then I would expect to fundingsecure to compensate us for this loss. As a result they may well find it easier to make an offer now to avoid their liability increasing. What can we do when they inevitably try to sweep this under the carpet.
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Post by charliebrown on Mar 23, 2019 15:26:58 GMT
Then it seems you need to reserve your judgement for a couple of years at least . I’m very patient Patience is a very good thing. Having money tied up for years not earning any interest is not such a good thing.
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Post by charliebrown on Mar 21, 2019 23:38:47 GMT
This latest 'update' displays a staggering disregard for the concerns of lenders. It is, to my reading, disinterested and offhand in its tone and completely void of any ... well... 'update'. I am beginning to feel that we lenders are an inconvenience to MT that just need to be thrown a few scraps from the table from time to time. Sophie, Ed, this does you no credit at all. MT had tried its best to be brave and said to the lenders, if the borrower did not meet the creterias, there would be some drastic measures applied towards the project. Now all the things are back to the original point, just like nothing had happened. This borrower knows MT very well --- no backbone. I agree. The old chestnut about using family money is wearing a bit thin. MT has shown the borrower that the borrower is in charge and can basically do what he wants when he wants. We are back to plan A, sit and wait for the borrower, there is no plan B.
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