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Post by penguin on Nov 28, 2017 8:28:57 GMT
I am "switching off" on 01/12 at the end of Safeguard, because, whilst I can just about countenance a 5 year payback period (albeit one that fails to inspire at the current rock bottom rates), I don't then want a long tail of extra years of default recoveries which apparently also constitute part of my "expected return." Its all become a bit too messy and drawn out for my tastes. I wonder if other lenders will also come to the same conclusion?
P
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ashtondav
Member of DD Central
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Post by ashtondav on Nov 28, 2017 9:15:19 GMT
Probably not because what you describe (with exception of low rates) is the essence of lending in general and p2p in particular. P2p is not an appropriate asset class for you, although you may suit the RS model where there is a provision fund.
i am withdrawing repayments but only because I can get 6% + on RS.
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dorset
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Post by dorset on Nov 28, 2017 9:42:22 GMT
Have about £12k parked in Access at 3.1%. Will now let it run out and withdraw. Not sure that the non safeguard projected core rates compensate for the default losses which will arrive with the next downturn.
As an aside, struggling to get anywhere near 6% with RS at the moment.
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Post by penguin on Nov 28, 2017 18:04:17 GMT
Probably not because what you describe (with exception of low rates) is the essence of lending in general and p2p in particular. P2p is not an appropriate asset class for you, although you may suit the RS model where there is a provision fund. i am withdrawing repayments but only because I can get 6% + on RS. I am quite happy with the concept, but not on a 5 year loan - i.e. on the c 1 yr loans one gets on MT and LI it is fine. It is the prospect of a possible 6 or 7 year recoup period which puts me off the new Z model. Also have loans with RS, which I agree solves this problem, although not convinced that Z and RS are quite as like-for-like as some people believe
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zlb
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Post by zlb on Nov 28, 2017 19:03:43 GMT
Probably not because what you describe (with exception of low rates) is the essence of lending in general and p2p in particular. P2p is not an appropriate asset class for you, although you may suit the RS model where there is a provision fund. i am withdrawing repayments but only because I can get 6% + on RS. I am quite happy with the concept, but not on a 5 year loan - i.e. on the c 1 yr loans one gets on MT and LI it is fine. It is the prospect of a possible 6 or 7 year recoup period which puts me off the new Z model. Also have loans with RS, which I agree solves this problem, although not convinced that Z and RS are quite as like-for-like as some people believe I generally find that none return the advertised rate - on the whole I'm getting used to how Z convey rates - it seems that they convey what is happening. However, I'm concerned that borrowers could approach them with the plan to default. I already have non-safeguard future. I suppose it could be messy. My Classic or Access - which ever old product it is - I've had reinvesting switched off for months and it's reduced by approx £1. On the day that I wrote to Z about this not changing at all, it changed to approx £1 less so they used this as evidence that I had my information wrong. It's now been stuck on that for several weeks. Therefore even safeguarded products aren't being repaid properly, it seems, after the 4 month wait period, unless after 4 months at a time Z safeguard will repay me £1 regarding one borrower, etc.
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