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Post by bikeman on Jul 4, 2018 15:42:20 GMT
Invested in #437 via GEIA - I haven't received any voting options
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Post by bikeman on Jul 2, 2018 15:42:48 GMT
Is the new rolling market rate lending actually working? My account has continued to lend at the rate I set before the change.
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Post by bikeman on Jun 27, 2018 16:00:15 GMT
This may sound harsh, but it wasn’t sensible to invest that sort of sum in a high risk automated lending product without understanding how it worked. The GEA functioned as it always had, constrained only by a dwindling flow of green energy loans, which led to its closure soon after. I’m afraid you arrived very late to the party, after all the decent drinks were gone. Ps. I rather doubt you’ll end up losing anything close to that figure, if at all, but you’re probably going to have to be patient. This was exactly the point I made to the creator of this thread a while back. The bottom line is these accounts did pretty much what they said they would do. Also to compare RS or Zopa diversification where they have tens of thousands of loans compared to ACs few hundred I feel shows a lack of understanding of the different platforms in the P2P marketplace. That's BS. These accounts have never stated clearly that their diversification was only 20%. It is cited as an example on the website but nowhere does it actually state that this was typical level of diversification or even that 20% was a worst case. Hence why so many are pissed that they've had their investments grabbed by suspended loans within weeks of the loans being formed - if that isn't neglected due diligence by the loan assessors, I don't know what is. AC have weasled their way around how these accounts worked to the point where damage limitation required that they withdraw the GEIA and GBBA. Likewise, the provision funds and how they work is a constant source of misunderstanding and it's detailed workings communicated via reaction to flack they receive on this forum - a situation that offers no real confidence or legal standing of the explanations. AC are a joke and I very much doubt they have a long term future.
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Post by bikeman on Jun 27, 2018 15:50:36 GMT
Since you ask: The following loans, made to a single borrower totaling some £4.4M, were suspended ~June 2017. In the intervening 12 months, AC have not started any formal recovery process. #440 I** #439 I** #438 I** #437 I** Thanks for the reply. Yes, I've mentioned this in some other posts, sometimes the quickest way to destroy value is to put a loan into a formal recovery process. If there is deep equity in a defaulted loan i.e. the value of the asset safely well exceeds the loan and there are also no difficulties expected in getting a simple and quick sale then yes a formal process makes sense. But when it is a difficult recovery in some way, such as these and some others and requires help in some way then we have sometimes managed that in house under the lender vote regime. The ones you mention for example have an email going out shortly with a proposition that has resulted from intense work carried out by our staff. It is considered very unlikely this proposal for lenders to consider would have transpired if the loans had been put into a formal process. We are definitely not going to suggest accelerating a formal process if there are credible alternatives to better value recovery without that step. It wouldn't change how we categorise a loan in terms of being 'defaulted' or not though. Also the suspension was January 18, not June last year and we have been working intensely on these recoveries since then. So no, a formal recovery process having not started isn't an indicator of us not doing something, probably the opposite. We have also developed over time an intense loan review process for loans with higher potential risk of issues arising, even if they haven't arisen as yet and may never do. This is a loan strategy review process where we regularly sit down and progress a detailed written strategy on how best to mitigate risks on those loans and seek to achieve good outcomes for our investors. It's all part of our processes. The loans were suspended 1st June 2017 - excerpt from the activity log below: IxxLtd - Urgent Lender Update 1st Jun 2017Dear Lender Given the issues seen above we have taken the decision to temporarily suspend the loan whilst we await further detail from the borrower. This detail is expected by 14 June 2017 and we will report to lenders by 19 June 2017 in this regard. The loan will remain suspended for this period although consideration will be given to lifting the suspension at the next update.
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Post by bikeman on Jun 27, 2018 15:43:55 GMT
So Ratesetter delay providing tax statements until now for 'enhancements'.
A single interest received figure doesn't look very bloody enhanced to me.
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Post by bikeman on Jun 22, 2018 11:48:50 GMT
In my experience AC doesn't even declare a default on loans where the borrower hasn't paid for well over 12 months. Can't declare a loss, communication stops and we get nothing form the PF. As for recovery, don't make me laugh, why would they bother since recovery would take them one step closer to dipping into that PF they bang on about but no one has ever got anything from. Yet still the suckers come - just offer them a 1% bonus and they line up. At some point AC will be forced to declare their losses and you watch how fast they freeze those funds in the QAA and 30DAA. This is highly misleading to readers. If you wish to make these statements please can you give precise and current examples. Our loan status and default policy is quite probably the tightest in the industry and well defined on our website. Since you ask: The following loans, made to a single borrower totaling some £4.4M, were suspended ~June 2017. In the intervening 12 months, AC have not started any formal recovery process. #440 I** #439 I** #438 I** #437 I**
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Post by bikeman on Jun 19, 2018 18:44:19 GMT
Is the QAA account safe to keep money in the short term? No - look at how AC managed the GEIA and GBBA, do you really trust them not to change their rules and freeze QAA funds when they choose to do so?
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Post by bikeman on Jun 19, 2018 18:40:16 GMT
Capital loss, or capital plus interest. A two year recovery process is not unusual, so does the PF cover any capital AND interest. Capital loss only is what I understand according to the AC PF FAQs In my experience AC doesn't even declare a default on loans where the borrower hasn't paid for well over 12 months. Can't declare a loss, communication stops and we get nothing form the PF. As for recovery, don't make me laugh, why would they bother since recovery would take them one step closer to dipping into that PF they bang on about but no one has ever got anything from. Yet still the suckers come - just offer them a 1% bonus and they line up. At some point AC will be forced to declare their losses and you watch how fast they freeze those funds in the QAA and 30DAA.
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Post by bikeman on Jun 19, 2018 18:28:37 GMT
For a limited time only you can earn an extra 1% p.a. gross target interest on any new lent funds across all of our accounts until 30th June 2018 Total lent funds at 11:59pm on 11th March: xxxxx All lent funds above your initial snapshot figure invested before 11:59pm on 4th April 2018 will be eligible for the 1% p.a. target bonus. Is this still a valid offer? Got to question the validity of AC being desperate to attract funds to cover those big defaulted loans they have - expect AC to find a way to hold onto whatever you give them
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Post by bikeman on May 23, 2018 17:56:38 GMT
But it begs the question, why all these questions? Why oh why is it not clear. Crystal bl**dy clear, because it should be - and it isn’t. And that's exactly why AC will be getting no more from me.
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Post by bikeman on May 23, 2018 17:52:15 GMT
Very welcome indeed! 'We're excited to announce our first ever rate rise across our Access Accounts! This rate increase which takes effect from 1st May 2018 until further notice, will take target gross interest rates for the Quick Access Account and 30-Day Access Account from 3.75% to 4.1% and 4.25% to 5.1% respectively.* ' I'm not convinced. Been bitten by the GEIA, I'm not stupid enough to be suckered in again. AC seem to make it up as they go along, I don't trust them and they wont be getting anything from me.
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Post by bikeman on May 17, 2018 15:34:40 GMT
www.assetzcapital.co.uk/about-us/blog/defaults-lossesPlenty to laugh at here but here's a classic: "To help reduce the risk of loss from the occasional bad loan affecting your total returns too much we suggest that lenders consider investing across many loans so that the performance of one individual loan is not too significant in the context of your loan portfolio as a whole." Shame AC didn't practice what they preach when they spread my entire investment in the GEIA across 5 loans, three of which suspended within days!
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Post by bikeman on May 17, 2018 15:31:22 GMT
I'm not sure that is true. HMRC rules require the arranger to initiate recovery proceedings. As far as I can see AC have no intention of doing so. However it will be the responsibility of the lender to show that there is no reasonable prospect of the recovery of the loan and it is NOT simply a case of late payment." Like I said I can't declare a loss on these loans until the lender (AC) does so.
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Post by bikeman on May 12, 2018 8:05:29 GMT
I'm not sure that is true. HMRC rules require the arranger to initiate recovery proceedings. As far as I can see AC have no intention of doing so.
In their last communication with investors AC stated that they would no longer be answering questions from investors on these loans, hardly an open and transparent way of dealing with their investors.
Do AC publish stats such as how many loans are suspended, how many in recovery, average time for recovery start/conclusion, average recovery rate etc etc?
I get the distinct impression that AC don't have much incentive to initiate recovery since to do so would take them one step closer to using that PF we hear to much about but which never (excluding recent pennies) pays out.
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Post by bikeman on May 12, 2018 7:55:48 GMT
Can't see why they would do this when they are sitting on over £17M of lenders money that's in the rolling market queues uninvested, costing them nothing and probably earning them interest.
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