Investor
Member of DD Central
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Post by Investor on Aug 4, 2014 14:38:30 GMT
As a forum whose weltanschauungen is to quomodocunquize, I could not agree more RR. Have always felt a lack of jouissance that we have less of this. Just a shame than my extemporaneousness inhibited me promulgating this earlier. I detest those metathesiophilies and hippopotomonstrosesquippedaliophiles who hold us back from ameliorating on our erudition. I wanted to 'double like' that, but clicking the 'thumbs up' twice takes the first like away A doublelikeplusgood button as Mr W.Smith would say. Thanks for the thought You can always tell when it's a slow day on the P2x platforms by analysing the relevance of posts on the forum.
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Investor
Member of DD Central
Posts: 662
Likes: 590
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Post by Investor on Aug 4, 2014 14:40:52 GMT
As a forum whose weltanschauungen is to quomodocunquize, I could not agree more RR. Have always felt a lack of jouissance that we have less of this. Just a shame than my extemporaneousness inhibited me promulgating this earlier. I detest those metathesiophilies and hippopotomonstrosesquippedaliophiles who hold us back from ameliorating on our erudition. Come on, man!!!! Have another sausage! You'll have poor old Dr Johnson sweating in his grave. Respect!! Sausage? Guessing you're out of bananas then Grumpy, Yes..You have no bananas, you have no bananas today
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oldgrumpy
Member of DD Central
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Post by oldgrumpy on Aug 4, 2014 14:49:09 GMT
Got three actually, but they are a bit manky, as I overstocked last week! £2.25 off £15 voucher to use in Sainsbury's tomorrow so I'll be returning to normule again
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Post by geoffrey on Aug 4, 2014 16:37:16 GMT
It would be nice, in the interests of transparency, if we had some clear answer from RS / westonkev explaining where the demand for the monthly market is coming from. I.e., concretely, are these real borrowers or synthetic amounts requested from other, longer term markets with RS managing the rollover of funds between the longer and shorter markets? What determines whether a longer term loan gets listed on a shorter term market, and does the four-year/five-year market get any of its loans offered out on shorter-term markets in this way?
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Post by chielamangus on Aug 12, 2014 20:34:49 GMT
Well, I've waited a week for the RS rep to reply and have ascertained from his other posts that he is not on holiday. As he is not normally slow in coming forward, I can only conclude that I hit the nail on the head with my last post on this thread.
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Post by westonkevRS on Aug 12, 2014 21:02:24 GMT
Actually I am on holiday, in Marseilles for what it's worth.
And I'm on here as a lender, the forum moderators insist on my "rep" tag. I can't remove it. I'm not an official community rep for RateSetter, just an P2P enthusiast. I love Zopa and FC, and have been lending since near launch.
And I can't win. If I respond about the purity of the markets you say "I might be thinking he doth protest too much" and if I don't respond you moan.
And besides, I have been internet trolled by people on the Zopa forum ("Don't bother having a 3 year market if it isn't working" thread), comparing me unkindly to used car salesman. I know that the Internet is a cruel place, but I've only ever tried to help. And I got attacked/trolled. It hurt me personally. So I've decided to back off.
By for the record, the use of the monthly money is clearly stated here:http://www.ratesetter.com/lending/market_view.aspx
The borrowers are "real" for the short term loans, the demand is not synthetic. In fact I find this statement ridiculous.
The demand and supply if the markets is pure and always "real". If it were not, wouldn't the rates be lower?
Kevin.
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Post by davee39 on Aug 12, 2014 22:35:59 GMT
While the use of one month deposits to fund six months loans clearly works, it is not the most straightforward concept in a world where we are used to the lender matching with the borrower. I actually thought synthetic was a nice term to describe the magic involved. I do not think market manipulation was implied here.
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Post by jackpease on Aug 13, 2014 6:33:50 GMT
>>>And I got attacked/trolled. It hurt me personally. So I've decided to back off. All credit to the Mods on this forum who enforce the rule about being nice and keeping this a place where newbies and oldies alike can post with confidence. Trolling is the worst censorship of all - it keeps good guys like you from posting and we are all worse off - so we do hope you stay. Yeh you might get 'Holgated' ie damned if you contribute a lot and damned if you don't...... Jack P
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Post by geoffrey on Aug 13, 2014 6:58:11 GMT
Actually I am on holiday, in Marseilles for what it's worth. Happy Hols! The borrowers are "real" for the short term loans, the demand is not synthetic. In fact I find this statement ridiculous. The underlying borrowers are real, but what we're having difficulty understanding is how monthly demand is produced from 6-month or 12-month loans. If a borrower takes a loan for six months, funded by lenders who are offering their money for one month only, does that loan get put on the market again at the end of the month? And if so, how does RS ensure the borrower continues to get the same interest rate? "Synthetic" was not meant as a pejorative description, simply a way of understanding what the loan requests are, since some of them will be for funding initial borrower requests, and some for ongoing re-financing of a fixed borrowing rate with a variable loan term. So it seemed to me that some kind of hybrid of demand for different time periods and different rates might be what appears as a loan request in each case. But that was just guessing. No trolling here, promise. I think we're more intellectually curious about the processes than anything else. There is no such thing as a "pure" market, but for what it's worth, RS is one of the few P2P sites that hasn't abandoned the market approach to "rate-setting", and I think that's why people are suddenly getting curious about how it works precisely: it's your success with the model (of which the Provision Fund is probably the true star) that is attracting attention. No worries, eh? Enjoy your time in sunny Marseilles!
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Post by davee39 on Aug 13, 2014 8:49:59 GMT
I think that if you borrow for 6 months your loans are re-financed each month by new one month loans. Having read the borrower FAQ's I 'think' this means there may be an interest adjustment at the end of the term.
Really though none of this is really relevant. Since the outcome for the lender is transparent I am happy to leave the inner workings in a Black Box for other people to understand.
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Post by wibble on Aug 13, 2014 9:59:11 GMT
Actually I am on holiday, in Marseilles for what it's worth. Kevin. I for one am extremely appreciative for your input here - I'm always pleased to see your posts on this forum as I know it will be informed, well structured and usually with a touch of humour. I'm one of those who is withdrawing all funds from Zopa for a quite a number of reasons. The presence of the Monthly market on RS is very convenient - it's brilliant that I can park some excess funds as a sole trader, and beat my bank's Reserve account rate by usually a factor of 5x! So thanks for that too :-) Keep up the great work, and of course, bonnes vacances! S.
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c88dnf
Member of DD Central
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Post by c88dnf on Aug 13, 2014 11:36:00 GMT
Actually I am on holiday, in Marseilles for what it's worth. (snip) By for the record, the use of the monthly money is clearly stated here:http://www.ratesetter.com/lending/market_view.aspx (snip) Kevin. Kevin - enjoy your troll-free holiday en France. FWIW, my mother has just discovered the monthly saving option on RS via the £25 "thank you" for investing £2000 and thinks having a monthly rolling option at double the rate being offered on her bank's ISA is the bee's knees. She doesn't care how it works under the covers so long as it does. Chalk up one rather elderly female fan for yourself!
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Post by chielamangus on Aug 16, 2014 19:10:07 GMT
And I'm on here as a lender, the forum moderators insist on my "rep" tag. I can't remove it. I'm not an official community rep for RateSetter, just an P2P enthusiast. I love Zopa and FC, and have been lending since near launch. And I can't win. If I respond about the purity of the markets you say "I might be thinking he doth protest too much" and if I don't respond you moan. And besides, I have been internet trolled by people on the Zopa forum ("Don't bother having a 3 year market if it isn't working" thread), comparing me unkindly to used car salesman. I know that the Internet is a cruel place, but I've only ever tried to help. And I got attacked/trolled. It hurt me personally. So I've decided to back off. By for the record, the use of the monthly money is clearly stated here:http://www.ratesetter.com/lending/market_view.aspx The borrowers are "real" for the short term loans, the demand is not synthetic. In fact I find this statement ridiculous. The demand and supply if the markets is pure and always "real". If it were not, wouldn't the rates be lower? Kevin. You should not feel got at. But if you set yourself up as a champion and promoter of RS, you can hardly describe yourself as a private lender, and you must expect critical comments on aspects of your business operation. We on this thread have just sought clarity on how this market works, and so far we have not got it. Hence my comment about monopsony. The link you provide tells us virtually nothing, and all we do know is that borrowers take loans at a fixed rate and RS fills these mostly or partly from the monthly market. RS therefore is the sole buyer of monthly money. No one has disputed this yet, and if so, it is clear that RS has considerable market power AND market knowledge, none of which is available to the thousands of suppliers of monthly money. This is not an efficient market and and the market outcome is not what would occur under something approaching perfect competition with thousands of buyers and thousands of suppliers, and information symmetrically shared. Theory suggests that under these circumstances, market rates would be higher. Or have you got a new revolutionary economic theory which makes all our text books redundant?
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Post by p2plender on Aug 16, 2014 19:22:39 GMT
Yeah I agree and I want to see minimum 8% on 5 year fix less I'm taking my ball home
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Post by westonkevRS on Aug 16, 2014 20:14:17 GMT
chielamangus, The link www.ratesetter.com/lending/market_view.aspxfor the monthly money states "Fund 6-12 Month Loans". I must admit I thought this was simply stated. Nothing revolutionary, no conspiracy, easy to comprehend. Although come the revolution, I know who I'd like to line up against the wall first...
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