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Post by nesako on Apr 18, 2019 18:13:30 GMT
Perhaps they changed the end date to 30th Apr because they're planning a new offer to cover one/both accounts, which would have to have different Ts&Cs (because ISAs now involved) from 1st May? One can hope anyway. Yes, that was my thinking as well, let's see what happens as this should be announced most likely as soon as next week
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Post by nesako on Apr 18, 2019 9:52:47 GMT
First, it doesn't help those of us who were planning on transferring previous years' funds in and not using the new ISA allowance on Growth Street. And second, since I don't want to invest in any non-ISA income generating products at the moment (as my marginal tax rates are punitive), it doesn't help me at all. Actually, reading the small print, it would be possible to put say £10,000 cash there and not invest (for me) or invest on rolling monthly (if you have reasonable tax position) Then transfer in from previous years' ISA funds £10,000 Then withdraw the cash/rolling. That should mean your additional investment total remains at £10,000 throughout. And that would give you 7.8% for the year (5.8% + 2% bonus) at the cost of a couple of months cash drag (with low rates on cash at the moment that should only reduce the return by a few tenths of percent) Yes, taking into account bonus, 7.8% is a good tax-free deal (I am a higher tax payer, so more so to me), at least for that one year! Did you verify with GS this "trick" will work? They have first extended the offer until 15th May and then reduced it back down to 30th April, so I am a bit concerned they have changed their mind on allowing bonus on new ISA money.
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Post by nesako on Apr 15, 2019 13:10:55 GMT
Any sign of the bonus offers, would hate to add funds and then miss the bonus (if it happens). Good point, thanks for the reminder. I am also holding my new ISA allowance until this new ISA offer is out - assuming there will be one in the next 2 months or I may need to put it elsewhere
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Kuflink (KUF)
Kuflink
Mar 20, 2019 15:18:21 GMT
Post by nesako on Mar 20, 2019 15:18:21 GMT
For those interested in the cashback deal I got message that one has to invest in loans that have at least 6 months left to run. A 6 month loan that is already running would not qualify. That leaves a handful of loans on the primary market plus some on the secondary market. The SM has few loans below 500. Secondary market purchases are not eligible for the joining bonus
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Post by nesako on Feb 24, 2019 13:08:13 GMT
Does anyone know if there is some kind of confirmation of eligibility shortly after signing up and depositing £2k+? Obviously cashback subject to keeping £2k in the platform, but would be good to get confirmation that the offer tracked correctly rather than being disappointed in 12 months time No, but so far they paid out all bonuses on time, so should be all OK
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Post by nesako on Feb 13, 2019 22:16:37 GMT
I've no experience with growth street but as a percentage that seems low. But it's important to remember that these companies are very different animals. They will have very different models and what constitutes a sufficient provision fund will be very different between the two companies. Welendus needs a big provision fund because the late payment / default risk is high due to being short term personal loans for cash strapped inidividuals. I would hope a company lending to businesses has much lower need for a provision fund. Yes I would agree. Also I think the pf in W is not only acting as a pf in the sense that it is integral to the model I think. I think it acts like a very large buffer to smooth out the spiky inflows from payments that are made with relatively huge interest rates but also relatively huge variance. I don't know what would happen if the FCA ever decides to ban PFs - perhaps W could argue this isn't a pf in the normal sense? Perhaps this also shows how stupid it would be for the FCA to meddle? Is it possible to see current outstanding loans value as well as PF value somewhere on Welendus? All I can see is cumulative amount lent and that PF = current total of all loans which are late by 35+ days (which may well be quite a large % of the loan book). PS. GS outstanding loans value is actually £22M with 818K provision fund. 80M is a cumulative amount lent and includes repaid loans
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Post by nesako on Feb 13, 2019 20:46:07 GMT
Raw statistics for 2017 and 2018 shows claims on the LLP exceeding contributions from loan interest by almost a factor of two and therefore requiring top ups by equity and loans. This is obviously a concern and appears to be unsustainable in the longer term, which is presumably why GS improved their processes and stopped certain types of lending, the December blog makes a good case for expecting improved performance in future and therefore lower calls on the LLP. Clearly a good idea to keep a close eye on updates to the statistics page over the next few months. To hell with that. My investments should be available for withdrawal over the next couple of days. Turned off reinvestment. I will put the money in rs or welendus also considering wisealpha. I would prefer lending works but its taking about 4 weeks to invest. Lending works have the strongest provision fund. GS Provision Fund is too low I agree... but let's look at Lending works. Latest statistics (Jan 2019), they have: (Shield) Cash: £1,450,165 and £75,442,652 outstanding balance of loans. GS does not include "future contractual income" in their coverage calculations, so if we do the same with LW for fair comparison... LW shield bad debt coverage is only 1.92% vs GS "super low" 3.56%. The only unique item on LW is that in addition to Shield, they also have an Insurance product, though I am not sure how much value I should attribute to it. For another comparison, let's look at RS. If we exclude future income from RS calculations, we get £826,989,768 outstanding loans and £13,650,018 in provision fund, giving current "cash" coverage of only 1.65% To be honest, I personally fail to find any platform which would have a "strong" provision fund.
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Post by nesako on Feb 12, 2019 16:43:40 GMT
Maybe better to ask this under General? Assetz Capital could also be added to the list
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Post by nesako on Feb 12, 2019 16:38:26 GMT
Was wondering if lenders are now thinking of boosting their lending into gs now they have had a investment into their business? Does anyone believe it is now safer ? I am considering increasing my investment. To be honest, I would wait for the PF coverage to increase first. They could use the money they have raised to do it. Until that happens, risks are still there and I will stay cautious
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Post by nesako on Jan 28, 2019 10:30:27 GMT
I don't have much in GS but as part of a general withdrawal from P2P I started drawing down my 5k in GS about a fortnight ago. I hope this panic for funds isn't as a result of my 5k because if so, they really are in trouble. Not just you - I've withdrawn 90% of my funds from GS in the last few weeks!
I have to say this offer is tempting - for Mrs Ceejay. 2x£200 for a £2000 punt represent the sort of return that would justify a significant perceived risk! I note that they seem to be expecting some of this - the TSandCs specifically state that the account details must be different "unless its a joint account".
I made use of the original £100 for £1000 offer + £100 referral for my MRS, so we have (already) received £300 bonus for investing just £2000 between us two. This offer is even better, so I would take it if I was eligible. I have now been sucked in by one of the "increase your balance" offers which is way less generous when compared to this one
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Post by nesako on Jan 25, 2019 8:17:14 GMT
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Post by nesako on Jan 20, 2019 14:21:51 GMT
I really like GS and how easy it is to manage the account. Recent hit to PF did make me stop adding any new contributions (below 5% coverage is not great for business lending to me). I did not, however, remove any current funds from the platform, mainly because the company is very responsive and good to deal with. Here is the snipped from my conversation with the support:
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Post by nesako on Jan 14, 2019 13:40:43 GMT
I generally like what I see with Welendus, but in the event of a recession, I believe it would go down ahead of most other automated investment platforms (hence why you are getting better returns here vs some other options out there). At the moment, PF is just covering around 100% of late payments (value changes all the time). Yes, most of those late payments will clear within 90 days, but in the event of a recession, this would no longer be the case.
Given all loans are short term and high APR - most borrowers will be really exposed to even "mild" recession - otherwise, they would not be borrowing here and would be going via cheap loan routes available elsewhere.
I would summarise this as a high-risk, high-return "black box" account.
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Post by nesako on Jan 12, 2019 16:20:40 GMT
Agreed sydb , I didn't understand the full potential costs of selling either although I haven't yet been in this position. I do also wonder what would happen if the market rate was below the rate of loans being sold, I assume the purchaser would have to pay a premium to the seller. ( Matthew ?) This has been answered before. The purchaser would simply get your higher % loans without paying any premiums (i.e. a nice bonus for whoever gets it)
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Post by nesako on Jan 10, 2019 14:27:39 GMT
Thanks for the info. Could you tell me how to access that type of info as I can't find any buttons / keys that let me see the amounts of other investments in a loan ? Regards, SXLR I am logging in to the portal every couple of hours checking how fast loans are filling and taking notes, that is how I noticed 300K investment within 1 hour Normally I would not do that, but this being a new platform to me etc. I am keeping a close eye for now. There have been 2 new loans posted today. The low LTV one may seem really good, but the land is for Student Accommodation, so I am not too keen given all the jokes being made on the number of them popping around over the last couple of years
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