SteveT
Member of DD Central
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Post by SteveT on Mar 16, 2018 17:39:51 GMT
I suspect they’re also quicker to press the button on a forced asset sale when the odds of a full recovery look good. Where it’s obvious that a forced sale will see a significant shortfall, the tendency instead is to “wait and hope”. Not that there isn’t some logic in this, up to a point. For an example of this, take a look at today's update on 1st Charge Barnoldswick (8010286828), surely one of the best-secured loans on the platform. It's barely "overdue" by FS standards (less than 3 months, with regular comms and evidence from the borrower about his in-progress refinance). But we're told " We have advised them that, if unpaid by 29 March 2018, we will default the loan". And yet other FS loans remain undefaulted after 500 / 600 / 700 days... [Edit: In fairness, the threatened default makes more sense now I realise there's also a chunky 2nd-ranking loan on the same property that's closer to 4 months overdue)
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rogerthat
Member of DD Central
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Likes: 1,994
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Post by rogerthat on Mar 16, 2018 17:50:19 GMT
I suspect they’re also quicker to press the button on a forced asset sale when the odds of a full recovery look good. Where it’s obvious that a forced sale will see a significant shortfall, the tendency instead is to “wait and hope”. Not that there isn’t some logic in this, up to a point. For an example of this, take a look at today's update on 1st Charge Barnoldswick (8010286828), surely one of the best-secured loans on the platform. It's barely "overdue" by FS standards (less than 3 months, with regular comms and evidence from the borrower about his in-progress refinance). But we're told " We have advised them that, if unpaid by 29 March 2018, we will default the loan". And yet other FS loans remain undefaulted after 500 / 600 / 700 days... [Edit: In fairness, the threatened default makes more sense now I realise there's also a chunky 2nd-ranking loan on the same property that's closer to 4 months overdue) No rush FS...7 x 1st charge nibbles makes for pleasant reading  and not a single slice on the SM 
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Liz
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Post by Liz on Mar 16, 2018 18:32:10 GMT
I invested a big chunk into the 2nd charge loan! Just glad someone bought it from me a while back 😎
I still have a small slice in the 1st charge loan, that looks pretty safe if this defaults (famous last words!
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Post by brightspark on Mar 17, 2018 11:46:13 GMT
I invested a big chunk into the 2nd charge loan! Just glad someone bought it from me a while back 😎 I still have a small slice in the 1st charge loan, that looks pretty safe if this defaults (famous last words! Tut tut. You should follow your own advice. then you wouldn't have to palm off doubtful second charge loans onto the unknowing! "you just need to a lot more selective. Resedential, 1st charge, decent LTV loans should be OK."
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Post by dan1 on Mar 17, 2018 13:54:54 GMT
I invested a big chunk into the 2nd charge loan! Just glad someone bought it from me a while back 😎 I still have a small slice in the 1st charge loan, that looks pretty safe if this defaults (famous last words! Tut tut. You should follow your own advice. then you wouldn't have to palm off doubtful second charge loans onto the unknowing! "you just need to a lot more selective. Resedential, 1st charge, decent LTV loans should be OK." She is following her own advice... Ahhhh so I'm not seeing things (yet!). Thanks for the info, I'll try and compete tomorrow at 11am! Try the SM, "flipper" Liz has plenty for sale. 
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and not a single slice on the SM 
