elliotn
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Post by elliotn on Dec 16, 2017 2:11:00 GMT
abl are among the best for loan launch information but are among the worst for existing loan updates. This constant churn of small loans or frequent tranches enjoying the same level of DD as the self-select loans concerns me in terms of continuous resourcing. I do not know how my pubs are doing, or my cars, or my plane, or my pub development, the refurb of my flat-pack buildings etc and now we're going to have far more loans requiring far more frequent monitoring. Mmmm.
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elliotn
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Post by elliotn on Dec 16, 2017 2:04:09 GMT
The woods are renewing
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elliotn
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Post by elliotn on Dec 15, 2017 16:57:06 GMT
Further slippage behind Collateral's heroic midnight run. If 31st is a Fri, we'll have to wait 3 days until the Monday. Hope we're getting interest on our interest Lendy Support , merry Christmas!
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elliotn
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Post by elliotn on Dec 15, 2017 15:18:09 GMT
We are surprised and delighted that we have been voted ‘P2P Platform of the Year 2017’ on the P2P Independent Forum for the second year running. We would like to thank everyone who voted for us. Winning this year was completely unexpected as 2017 has been another steep learning curve for us. We are deeply appreciative of the continued support from our lenders. We realise that we still have a lot to prove and will endeavour to live up to expectations in 2018! Well done & pipeline looking great
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elliotn
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Post by elliotn on Dec 15, 2017 10:54:18 GMT
As a related point from the paper (as I don't feel I can justifiably stretch to edit3 ), the compensation is understandably weighed against the costs of extinguishing the business instead. On a fag packet basis, excluding the current draft accounts, the two most recent years have showed profits of £59k and £44k, whilst the disturbance compensation they're claiming for is at least £700k. That's circa 14 years of current trading profits, which seems rather alot of compensation to be offered versus just going out of business. Was there really no cheaper reasonable option? (another stipulation, unsurprisingly, from the paper). Edit: do agree with elliotn though, it is some comfort that the business appears a genuine going concern. I just have an inkling that the compo is perhaps a little optimistic. There's 650k+ of equipment at cost on the '16 accounts and I'd guess moving a factory is ruinously expensive in London. However, re-tooling state of the art and expanding significantly at the expense of the tax payer might be deemed as trying it on a bit so will be interesting where the secondary, negotiated settlement lands; 1.5M may be legitimate relocation costs but the businesses may no longer be like for like.
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elliotn
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Post by elliotn on Dec 15, 2017 10:48:21 GMT
I'm not sure what more could be said, beyond re-stating the facts of the situation. Personally speaking, I'd rather lend to a growing, profitable trading business with the imminent, realistic expectation of quantifiable compensation from central Government (for a scheme they're fully committed to building) than another unpredictable property development. If it repays as expected in January, it's 36%pa interest for a 1 month loan As the three month's interest is the minimum committent, is already deducted from the loan, and presumably will not be returned if the loan redeems before term; then even if they get the compensation funds in January I would imagine they'll be astute enough to (at a minimum) park the funds on their bank's treasury deposit until the loan end date is up. So I wouldn't hold out too much for an early repayment. I'd imagine MT keep the interest reserve on a client account and any unused amount would simply be returned to lenders so the borrower would still be incentivised to pay back whilst using as little of the retained interest pot as possible?
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elliotn
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Post by elliotn on Dec 15, 2017 10:32:19 GMT
I'm not sure what more could be said, beyond re-stating the facts of the situation. Personally speaking, I'd rather lend to a growing, profitable trading business with the imminent, realistic expectation of quantifiable compensation from central Government (for a scheme they're fully committed to building) than another unpredictable property development. If it repays as expected in January, it's 36%pa interest for a 1 month loan Thanks for update SophieThing , the point around the timing is very helpful. I agree with roolish that some correspondence from HS2 would have made this much tighter. But I side with Steve and MT have provided security - a debenture over a long term manufacturing company with a decent balance sheet and a government receivable ranking ahead of the original lender plus importantly a profit record more than covering our finance costs. Better than an overvalued, undeveloped hole in Blackburn. I do have two questions I have been unable to answer - the property co does not show up on the current owners' appointments and I would like to have seen how much and where the state of the art plant is/will be capitalised - but based on the existing business I'm in .
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elliotn
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Post by elliotn on Dec 14, 2017 17:12:59 GMT
The more choice, the better - as long as the risk/reward holds up - and hopefully this doesn't impair the recent uptick on individual loans we have enjoyed recently too 😊
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elliotn
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Post by elliotn on Dec 14, 2017 5:28:07 GMT
Thanks SophieThing, but wouldn't elliotn's suggestion 2 up be even better (& is it on Shuang's list)? Yep, I'd double my investment for starters with borrower payment history at a glance. Relying on their forbearance filter means finding out MT's own payment was in default from another platform first (one for the unacceptable folder methinks). For now I invest on the possibility of MT paying the borrower’s loan until they default* - unless The Shuang is unleashed (post-ifisa) to strut his stuff. * For the new loan however I’m like a kid in a sweet shop - financial summaries, government backed (if stil tbc) compensation, the minimum interest deducted - and am in for my full L St Anne amount! 😊
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elliotn
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Post by elliotn on Dec 14, 2017 4:34:03 GMT
No need to be concerned. Interest is being paid from the rental income. I quote "Interest will be covered by the expected rental income from the tenants. " Thankfully the borrower only required one month’s retained interest before opening for its tenants.
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elliotn
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Post by elliotn on Dec 14, 2017 2:34:57 GMT
Does any of this coincide with your own figures, or has my grey matter had an early night? Perhaps Lendy prefer a full pipeline over a filling SM I wondered if re-launching unfilled tranches was linked to Ly not holding loan parts, avoiding underwriter fees and trying not to step on existing loan sellers’ toes (by substantial Q jumping), slapping the lippy 💄 on a new tranche in the hope investors will re-galvanise their loins in the interim of loan ‘progression’?
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elliotn
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Post by elliotn on Dec 14, 2017 2:19:09 GMT
Sorry both, I looked for and failed to see the minimum term Quote Please note that the freehold is held by the shareholders in a different limited company with incumbent lenders holding a charge. Any compensation for the freehold will be paid to this separate company. It is for this reason our facility is not secured by the freehold and although we expect that an element of the compensation from the freehold could be used to pay off the gross loans, it will ultimately be paid to a different company over which we will not be holding a debenture.The compensation paid for business disruption will be paid directly to S****** (borrower) and it is this part of the compensation that will be used to repay MoneyThing lenders.
1 I get the impression from this that the borrower's owners have something to do with the freehold, so it worries me that no sort of charge is placed. 2 The compensation for disturbance does come direct to the borrower so I'd have thought something could be done to point this in our direction Will check in more detail today but the freehold was hived off in another borrower’s company that will receive the guaranteed compensation (albeit they are asking for more). Agree it would be much more comforting for the more ‘speculative’ element to have been paid to a solicitors with MT as first beneficiary.
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elliotn
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Post by elliotn on Dec 14, 2017 2:10:57 GMT
The letter leaves me completely bewildered. Why is the valuer not interested in inspecting the property? Is it not their duty to verify expenditure in order to produce a sound valuation? Or is it standard practice for valuation reports to be based on assumptions? I wonder as I have observed this over and over again. It is certainly 7d7 .
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elliotn
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Post by elliotn on Dec 13, 2017 17:06:58 GMT
Do I gather that this loan might be for as short a time as 1 month - interest earned 1%? Was there no way of reinforcing lenders rights over the compensation payment? Min 3 months interest.
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elliotn
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Post by elliotn on Dec 13, 2017 8:00:03 GMT
I think it is really excellent that a delay before the start of bidding has been applied to this loan. If only we had enjoyed the same due diligence period for the last seaborne loan. Genius idea.
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