stevio
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Post by stevio on Nov 17, 2017 9:50:01 GMT
Surprised MT were still doing BS loans following FCA authorisation. 70% max purchase price gets a nibble (despite min. 12 months of repayments by a technically insolvent borrower in May 16 - good luck with that GeorgeT ). Hi Elliottm, There are no regulatory issues with us providing loans to businesses from our balance sheet as far as I'm aware- that is just a B2B loan. Just to note this is an exception and it's not really part of our plan to provide BS loans. Most of our capital is being spent on building up the platform. Lenders shouldn't expect any more BS loans from us to be re-financed on the platform. We're taking note of the questions here and we will answer them in the FAQ's tomorrow morning on the platform. Kind regards Sophie Have the answers been posted?
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Post by pmac67 on Nov 17, 2017 9:51:53 GMT
You had me at 'Flipping' !
Flipping no chance....
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Post by SophieThing on Nov 17, 2017 11:18:53 GMT
Morning,
FAQ's added to the platform for this loan.
Kind regards
Sophie
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Post by SophieThing on Nov 17, 2017 11:40:33 GMT
CO sorted the buggers out in quick order when the borrower had sold "our" cars. I see no reason why MT can't do the same. Coll have different security - they owned the cars through a chattels' mortgage and then 'loaned' them back via a sales' agency agreement to allow the borrower to sell our cars on their forecourt. The initial statement of affairs was disconcerting but it was only the threat of criminal action for fraud or theft of our cars that led to the loan repayments. In the same situation MT's debenture would be worthless in a bankrupt company with no assets to recover. Hi Elliottm, I am not a solicitor and my comments below do not relate to any other platform as I have not looked at their security. However I have a couple of general points to make. My understanding is that a chattlels mortgage, which we also use ourselves where appropriate, is a security document that gives rights over movable assets. A debenture is a different type of security, but no less 'secure' than a chattles mortgage. The terms of our loan agreements give us the rights to audit and access the site and we have standard default provisions that allow us to secure any assets covered by our security documents. We use solicitors that advise us on appropriate security for our loans and I am confident that we have good standing on security in this case. As a more general point, I am a little puzzled by your comments as a chattels mortgage does not transfer ownership and therefore it is not possible to 'own' something through a chattles mortgage and 'loan' it to someone else. Moreover, if a platform 'owned' an asset and then raised funds on its platform against that asset, then surely it is raising funds for itself, which you are not allowed to do as a P2P lender. Moreover, if you own an asset then it is not a loan, it is a sale which cannot be financed through P2P as it is not a loan. Perhaps there are other facts... Kind regards Sophie
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Post by Badly Drawn Stickman on Nov 17, 2017 12:09:10 GMT
Morning, FAQ's added to the platform for this loan. Kind regards Sophie Hi Sophie Maybe an email as well would be a plan going forwards, but useful update.
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dermot
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Post by dermot on Nov 17, 2017 12:15:04 GMT
Over 50% gone already - pity the Big Loan didn't repay first, or I'd have had a bit more ....
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elliotn
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Post by elliotn on Nov 17, 2017 12:25:04 GMT
Coll have different security - they owned the cars through a chattels' mortgage and then 'loaned' them back via a sales' agency agreement to allow the borrower to sell our cars on their forecourt. The initial statement of affairs was disconcerting but it was only the threat of criminal action for fraud or theft of our cars that led to the loan repayments. In the same situation MT's debenture would be worthless in a bankrupt company with no assets to recover. Hi Elliottm, I am not a solicitor and my comments below do not relate to any other platform as I have not looked at their security. However I have a couple of general points to make. My understanding is that a chattlels mortgage, which we also use ourselves where appropriate, is a security document that gives rights over movable assets. A debenture is a different type of security, but no less 'secure' than a chattles mortgage. The terms of our loan agreements give us the rights to audit and access the site and we have standard default provisions that allow us to secure any assets covered by our security documents. We use solicitors that advise us on appropriate security for our loans and I am confident that we have good standing on security in this case. As a more general point, I am a little puzzled by your comments as a chattels mortgage does not transfer ownership and therefore it is not possible to 'own' something through a chattles mortgage and 'loan' it to someone else. Moreover, if a platform 'owned' an asset and then raised funds on its platform against that asset, then surely it is raising funds for itself, which you are not allowed to do as a P2P lender. Moreover, if you own an asset then it is not a loan, it is a sale which cannot be financed through P2P as it is not a loan. Perhaps there are other facts... Kind regards Sophie The other element is a buy back agreement where the borrow can buy back their original asset at the amount it was pawned for plus a fee equal to the interest retained and paid to the lender. These were rolling stock inventory co-managed by borrower and platform. In the two weeks from liquidation to the platform notifying investors there were no meaningful assets left to exercise a debenture over just a long list of unsettled creditors. This is from memory without all the information available to the platform but it was certainly an eye opener.
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elliotn
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Post by elliotn on Nov 17, 2017 12:27:20 GMT
Morning, FAQ's added to the platform for this loan. Kind regards Sophie Excellent update. Purchase price confirmation, repayment track record and decent term warrants a diversifying nibble from me 😊 .
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andy1
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Post by andy1 on Nov 17, 2017 12:39:48 GMT
With defaults mounting I would have thought people would be more interested in lower interest rate but really solid propositions not 14% but whoops here goes another default. Give us more quality not more risk pls MT ok to reduce rate accordingly 10% is still a great return I'd certainly go with that. OTOH, while we say we don't want these high risk loans that we keep seeing, they always seem to be snaffled up by someone if there's a 14% rate going or a bit of cashback. We're a difficult bunch for MT to please. I'm definitely wavering on this one. I'd more or less decided to pass but if there's still some left when the MH money comes through I might have a nibble.
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GeorgeT
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Post by GeorgeT on Nov 17, 2017 12:57:57 GMT
Over 60% funded in less than 1 hour, despite a bid restriction. What a flyer.
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stevio
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Post by stevio on Nov 17, 2017 14:04:00 GMT
Hi Elliottm, I am not a solicitor and my comments below do not relate to any other platform as I have not looked at their security. However I have a couple of general points to make. My understanding is that a chattlels mortgage, which we also use ourselves where appropriate, is a security document that gives rights over movable assets. A debenture is a different type of security, but no less 'secure' than a chattles mortgage. The terms of our loan agreements give us the rights to audit and access the site and we have standard default provisions that allow us to secure any assets covered by our security documents. We use solicitors that advise us on appropriate security for our loans and I am confident that we have good standing on security in this case. As a more general point, I am a little puzzled by your comments as a chattels mortgage does not transfer ownership and therefore it is not possible to 'own' something through a chattles mortgage and 'loan' it to someone else. Moreover, if a platform 'owned' an asset and then raised funds on its platform against that asset, then surely it is raising funds for itself, which you are not allowed to do as a P2P lender. Moreover, if you own an asset then it is not a loan, it is a sale which cannot be financed through P2P as it is not a loan. Perhaps there are other facts... Kind regards Sophie The other element is a buy back agreement where the borrow can buy back their original asset at the amount it was pawned for plus a fee equal to the interest retained and paid to the lender. These were rolling stock inventory co-managed by borrower and platform. In the two weeks from liquidation to the platform notifying investors there were no meaningful assets left to exercise a debenture over just a long list of unsettled creditors. This is from memory without all the information available to the platform but it was certainly an eye opener. Initially there were queries as to how this would work at CO. However and example showed better than mere words. This seemed like a good way of what seemed, legally taking ownership of the assets, even prior to default, so that legal action (or the threat of) could be taken almost immediately vs the civil legal proceedings needed prior to enforcement of a debenture It also seemed like a criminal matter of stolen goods for the borrower to make the assets "disappear". Rather a more easily ignore able and less stigma of a civil matter of a bad credit history.
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Post by sirkillalot on Nov 17, 2017 17:57:49 GMT
All gone - no surprise given the big repayment and the 14% on offer
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liso
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Post by liso on Oct 20, 2018 13:50:46 GMT
Can MT please confirm that a physical audit was carried out as planned at the end of September, and did it pass all parameters? Thank you MoneyThing
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ptr120
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Post by ptr120 on Oct 30, 2018 23:32:18 GMT
Hi MoneyThing this loan has just over two weeks left - can we please have an update on the likely exit strategy please? The SM would suggest an update is due
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ptr120
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Post by ptr120 on Nov 5, 2018 22:51:46 GMT
Hi MoneyThing I see you've been busy with the updates today - could you kindly add this one to the list for updates tomorrow?
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