mikeb
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Post by mikeb on Jul 18, 2014 17:08:00 GMT
Spreading of the risk, I suppose, plus inertia  I've adapted the way I lend on FC to the conditions they present us with, to try and avoid too much trouble from their sometimes flaky DD.
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j
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Penguins are very misunderstood!
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Post by j on Jul 18, 2014 17:24:25 GMT
Spreading of the risk, I suppose, plus inertia I've adapted the way I lend on FC to the conditions they present us with, to try and avoid too much trouble from their sometimes flaky DD. Truth be told mikeb, I spend too much time on AC (and SS, when they aren't going through the current quiet period) to have any time for FC anymore. I can't remember how many months ago since I looked at their site. I do take your point of diversification on board though as a very valid one.
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oldgrumpy
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Post by oldgrumpy on Aug 13, 2014 17:35:49 GMT
Ah! North Wales BL has had an interest upgrade to 8.25% (9 months). Being such a large loan I still think most will wait for the AM rather than risk drawdown delay or even use up shadow allocations (mine's almost used up waiting for drawdowns).
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j
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Penguins are very misunderstood!
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Post by j on Aug 13, 2014 17:53:17 GMT
Ah! North Wales BL has had an interest upgrade to 8.25% (9 months). Being such a large loan I still think most will wait for the AM rather than risk drawdown delay or even use up shadow allocations (mine's almost used up waiting for drawdowns). @11% & for 9 months only, as you say OG, most will still wait for AM, unless there's another increase in rate (which I very much doubt). I wonder if a lack of underwriting has prompted the increase?
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Post by Ton ⓉⓞⓃ on Aug 13, 2014 18:48:59 GMT
Ah! North Wales BL has had an interest upgrade to 8.25% (9 months). Being such a large loan I still think most will wait for the AM rather than risk drawdown delay or even use up shadow allocations (mine's almost used up waiting for drawdowns). @11% & for 9 months only, as you say OG, most will still wait for AM, unless there's another increase in rate (which I very much doubt). I wonder if a lack of underwriting has prompted the increase? The overview says feedback from 'investors' has lead to this, in other words u/w's God bless their cotton socks.
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kermie
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Post by kermie on Aug 13, 2014 20:17:15 GMT
I like the North Wales BL at 11% - I would put in a shadow bid, but I've exhausted my limit now what with all the backlog of loans still to draw down  ...so I probably have no choice but to wait for the AM. |
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mikes1531
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Post by mikes1531 on Aug 27, 2014 2:32:33 GMT
I like the North Wales BL at 11% - I would put in a shadow bid, but I've exhausted my limit now what with all the backlog of loans still to draw down ...so I probably have no choice but to wait for the AM. With £1.2M of underwritten loan units, why would someone want to use precious shadow bidding capacity on this loan? Shadow bids may reduce 'dead' investment time, but they don't eliminate it entirely, as shadow bids do need to be settled in advance of drawdown. IIRC, there were a couple of calls for shadow bid settlement last week for loans that still haven't drawn down, so even shadow bidders are having to put up with about a week of 'dead' time. Compared to that, waiting for the Aftermarket seems like a no-brainer. What am I failing to consider?
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j
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Penguins are very misunderstood!
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Post by j on Aug 27, 2014 7:37:54 GMT
I like the North Wales BL at 11% - I would put in a shadow bid, but I've exhausted my limit now what with all the backlog of loans still to draw down ...so I probably have no choice but to wait for the AM. With £1.2M of underwritten loan units, why would someone want to use precious shadow bidding capacity on this loan? Shadow bids may reduce 'dead' investment time, but they don't eliminate it entirely, as shadow bids do need to be settled in advance of drawdown. IIRC, there were a couple of calls for shadow bid settlement last week for loans that still haven't drawn down, so even shadow bidders are having to put up with about a week of 'dead' time. Compared to that, waiting for the Aftermarket seems like a no-brainer. What am I failing to consider? You'd miss out on the 0.5% cashback but, at that level, is it worth it? A matter of personal judgement.
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Post by mrclondon on Aug 27, 2014 13:01:44 GMT
I like the North Wales BL at 11% - I would put in a shadow bid, but I've exhausted my limit now what with all the backlog of loans still to draw down ...so I probably have no choice but to wait for the AM. With £1.2M of underwritten loan units, why would someone want to use precious shadow bidding capacity on this loan? Shadow bids may reduce 'dead' investment time, but they don't eliminate it entirely, as shadow bids do need to be settled in advance of drawdown. IIRC, there were a couple of calls for shadow bid settlement last week for loans that still haven't drawn down, so even shadow bidders are having to put up with about a week of 'dead' time. Compared to that, waiting for the Aftermarket seems like a no-brainer. What am I failing to consider? 0.5% cashback (on bids of £5k & over) is the equivalent of around 2 weeks interest, and it is very rare for loan drawdown to extend beyond 2 weeks after the shadow bid calls. However on the North Wales loan there was a real danger that it would have failed to fill without the additional momentum of a number of £5k+ bids from retail investors given the aparent exhausting of underwriter funds. It had already been extended at least twice on AC and had had a failed life before that at TC (@9%), and the borrower may well have been getting impatient. It looked a solid enough proposal, albeit with significant risk of slow sales of the finished apartments, and given the alternative of losing the loan off the platform, I thought it worthwhile contibuting a £5k bid even though that is above my long term hold per loan value.
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kermie
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Post by kermie on Aug 27, 2014 17:38:24 GMT
I like the North Wales BL at 11% - I would put in a shadow bid, but I've exhausted my limit now what with all the backlog of loans still to draw down ...so I probably have no choice but to wait for the AM. With £1.2M of underwritten loan units, why would someone want to use precious shadow bidding capacity on this loan? Shadow bids may reduce 'dead' investment time, but they don't eliminate it entirely, as shadow bids do need to be settled in advance of drawdown. IIRC, there were a couple of calls for shadow bid settlement last week for loans that still haven't drawn down, so even shadow bidders are having to put up with about a week of 'dead' time. Compared to that, waiting for the Aftermarket seems like a no-brainer. What am I failing to consider? Some good points raised, and your thinking is sound - I am tending to wait for the AM if there's going to be lots of underwriting. On this one, I thought I'd just help out a little to get it over the line as there was a risk the loan might fall through (although in the grand scheme of things my tuppence won't count for much - it's the thought that counts, right?!  ). Given it's a shadow bid, it won't make much difference to me. I was tempted by the 0.5% cashback, but decided to adhere to my new mantra "there will always be another opportunity".
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...so I probably have no choice but to wait for the AM.
). Given it's a shadow bid, it won't make much difference to me.