niceguy37
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Post by niceguy37 on Aug 21, 2020 10:52:20 GMT
Hi chrisThanks very much for the SM discounting, which I'm sure is greatly appreciated by a few lenders desperate for their cash. Would it be possible to show the current discount available on each account please? If I'm about to make an investment it would be useful to show the current discount available on each account.
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niceguy37
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Post by niceguy37 on Jun 28, 2019 11:13:16 GMT
Great to see that professional experts have been called in and are making steady progress on salvaging whatever is possible.
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niceguy37
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Post by niceguy37 on Feb 11, 2019 10:42:42 GMT
Just my opinion, but looking at the logs, there seems to be fairly steady progress. Considering there are probably lawyers involved I would have expected much longer delays.
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niceguy37
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Post by niceguy37 on Jan 31, 2019 15:24:31 GMT
What annoys me is that defaulted loans keep accruing interest and are included in the total. They should be stripped out and reported in a separate number. Why not email AC and request it?
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niceguy37
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Post by niceguy37 on Nov 12, 2018 9:45:40 GMT
Credit to MT for asking what the lenders want.
At present returns on our capital earn us interest, but once premiums are introduced some of the profits earned on the platform will go to traders and the rest will remain as interest. Whilst some investors have the cash on hand, time and most importantly expertise, to trade, and may find that worthwhile, the reduction in effective returns for the non-trading retail market will certainly limit the appeal to those providing the capital.
For MT to be a success it needs to make an acceptable margin of profit, charging borrowers a fair amount of interest/fees for access to capital, and offering lenders sufficient interest to attract their capital. Introducing premiums will facilitate trading and reduce the return of capital from lending, so undermines MT's basic business model.
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niceguy37
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Assetz Capital (AC)
IFISA
Nov 7, 2018 15:21:09 GMT
Post by niceguy37 on Nov 7, 2018 15:21:09 GMT
Does anyone know if you can have a Junior IFISA? Or are Junior Isa's only Cash or Stocks and Shares? HMRC does not allow Junior IFISAs yet - maybe in future Thanks. I guessed as much. I was going to put something away for my son's uni fees, but I guess it'll have to be Stock 'n Shares (after Brexit, though).
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niceguy37
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Assetz Capital (AC)
IFISA
Nov 7, 2018 12:07:42 GMT
Post by niceguy37 on Nov 7, 2018 12:07:42 GMT
Or even TESSAs, remember them, think you could transfer TESSA funds to PEPs and ISAs. or indeed the TESSA-only ISA Does anyone know if you can have a Junior IFISA? Or are Junior Isa's only Cash or Stocks and Shares?
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niceguy37
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Post by niceguy37 on Nov 2, 2018 21:56:21 GMT
I managed to transfer almost all of my performing loans from my normal account to my IFISA, by offering them for sale in chunks at quiet periods and then almost immediately buying them up. I lost about 5% to fast fingered buyers. Granted, it's possible but certainly not fool proof as you discovered. I wonder if my point has any validity, that is, perhaps the vast majority of MT ISA account holders are versed in operating two browsers in the dead of night to sell/buy to themselves? I used a single browser at off-peak times like 10pm, but certainly not in the dead of night. And I only used a small float so was buying and selling multiple times, making it more likely to be spotted. But still considered it a very successful transfer. Certainly by the end of it, I was convinced there weren't bots at play.
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niceguy37
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Post by niceguy37 on Nov 1, 2018 16:05:24 GMT
1) bots are just as much if not more of a problem with the current system where desirable loans are gone in an instant. 2) filling an ISA is even more difficult at the moment where you cant buy anything - the option of a premium would improve liquidity there (at the expense of a bit lower AER)
3) the ability to sell desirable loans at a premium helps cancel out the costs of selling undesirable loans at a discount, benefitting borrowers overall. That's an excellent point IFISAcava and one which I can't recall having been made previously (the rest of the thread is just going over old ground of which I'm guilty myself). With a variable SM you can sell from your taxable account by listing at the greatest discount, you can then buy in your ISA, which will most likely be at the next graduation (0.5/1% on AC, 0.1% on ABL, maybe even 0.001% on Huddle!). It costs you a small amount but is more than offset by the tax advantage whilst maintaining your risk exposure (scrub that, it's actually reducing your risk all the time you continue to receive tax free income). There must be £millions waiting to fund ISAs on MT but can't because they can't shift the loans in their taxable account. I managed to transfer almost all of my performing loans from my normal account to my IFISA, by offering them for sale in chunks at quiet periods and then almost immediately buying them up. I lost about 5% to fast fingered buyers.
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niceguy37
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Post by niceguy37 on Nov 1, 2018 10:00:30 GMT
Personally I favour discounts, but not premiums.
Discounts will improve the liquidity of our assets, allowing a lender to exit for whatever reason, and another lender to gain additional recompense for taking on those loans. I'm thinking that this might be useful if the seller was wanting to close their account, for example, to transfer their IFISA to another provider, or just really needs the money now due to whatever unforeseen circumstance. This provides mutual benefit to both seller and buyer.
Premiums, on the other hand, will not help lenders overall, IMHO. Looking at things at a platform level, borrowers are charged interest, which is available to lenders, after MT take their cut, in return for us providing capital. This interest is our (lenders') profit. At the moment we make this profit as interest on loans, but if we allow premiums, then this pot of cash will be divided between interest on loans and profits on sale of loans at a premium.
Those lenders with the time, inclination, expertise, cash on hand, fastest fingers (or possibly bots) will benefit from the profit of sales of loans at a discount, whilst those lenders (I suspect the general majority of "normal" lenders) who buy the loans at a premium will be worse off. I think lenders trying to fill an IFISA, or keep it completely re-invested, may be one of the groups of lenders most adversely affected (e.g. you get £30 of interest and want to just put it in a decent loan to start earning again, but find everything half-decent is at a premium).
It's tough enough making a decent return on my capital in P2P with unknown defaults, so although MT is my current favourite platform, if they introduce discounting I'll be voting with my feet.
MT needs a larger pool of "normal" lenders to fund growth, not reduce its appeal to only those with higher levels of expertise, time and capital.
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niceguy37
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Post by niceguy37 on Oct 17, 2018 8:42:00 GMT
I put some up for sale as I've used my ISA allowance for the year. I can't deposit more money (until next year), so I need to sell something if I want my IFISA to get a piece of the car loans coming today.
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niceguy37
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Post by niceguy37 on Sept 26, 2018 13:40:01 GMT
IIRC, chris said a fix for this just missed the most recent sprint but should be going in shortly. I'm sure he'll confirm. I totally agree, it's very odd that this exists on an otherwise modern platform. Literally this morning I filled in the form and, just to be sure, logged into one of my bank accounts to check - found I had put a 4 instead of a 2 for one of the digits for god knows what reason! I too find it annoying that this is missing. What is makes it more irritating is it has been requested numerous times as far back as December 2013, yes 13. chris thought then it was likely to be developed soon. It is about time the business gave it sufficient priority and get it done. It doesn't sound like a complicated request and they have probably spent more time answer questions about it than it would take to develop. Hope this encourages it to get into the next sprint (and stay there). Sadly implementing this minor fix has been kicked down the road more enthusiastically than calling time on a certain GBBA1 loan. I do think that overall AC are doing a great job, but it's disappointing when simple improvements like this are not made, which makes one wonder how well AC management know their lenders.
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niceguy37
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Post by niceguy37 on Aug 1, 2018 8:22:41 GMT
Thinking about the speed challenges AC face, would it not be an idea to try to clean up a proportion of loan parts in nano-pence?
I thinking that on the lender profile there could be some opt-in options:
1. Only buy loan parts that are greater than 0.1p if the lender already holds at least 0.1p. 2. Sell off loan parts where the lender holds a total of less than 0.00001p
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niceguy37
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Post by niceguy37 on Jul 31, 2018 9:40:07 GMT
chris Thanks for adding the "On Repayment" options "Reinvest" and "Withdraw to Account". These are very useful. I notice that when my GBBA2 makes some unrequested sales (presumably the loan's criteria have changed and my GBBA2 is divesting itself of this loan as demand allows), then the sale proceeds are re-invested. This is despite by have set the "Withdraw All" option. I realise that these sales proceeds are neither interest payments or repayments of capital, but if the lender has selected "Withdraw All" couldn't the system use a little initiative and withdraw these too, please?
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niceguy37
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Post by niceguy37 on Jul 31, 2018 9:07:49 GMT
I'm happy with my extra £67.
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