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Post by thecleaner on May 10, 2018 15:01:47 GMT
I have been following this thread since the beginning and i can honestly say the more it has gone on then the more it has filled me with dread. It all started off as if we would more than likely be getting 100% of our money back. As things have moved on i just cannot help but feel now that i will be getting nothing back , in fact i will probably end up owing someone. More stupidly i invested 5 figures into this company. There just does not seem to be any good news anymore and a hell of a lot of speculation. Being honest know , can the clever ones out there ( i have already admitted to being stupid ) forsee full capital gain from this and if not what % do you think we will be looking at. And we havent even mentioned interest owed yet. If full capital was not obtained do we have other avenues we can pursue to recover the rest.
Thanks
Hayley
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james21
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Post by james21 on May 10, 2018 15:18:51 GMT
I have been following this thread since the beginning and i can honestly say the more it has gone on then the more it has filled me with dread. It all started off as if we would more than likely be getting 100% of our money back. As things have moved on i just cannot help but feel now that i will be getting nothing back , in fact i will probably end up owing someone. More stupidly i invested 5 figures into this company. There just does not seem to be any good news anymore and a hell of a lot of speculation. Being honest know , can the clever ones out there ( i have already admitted to being stupid ) forsee full capital gain from this and if not what % do you think we will be looking at. And we havent even mentioned interest owed yet. If full capital was not obtained do we have other avenues we can pursue to recover the rest. Thanks Hayley I believe there will be 100% capital return (assuming some loans dont default, if they do they will be dealt with to recover the loan) However I think there is a likelihood that most if not all of lender interest will be needed in the administration. According to the RR report COL had over £17m invested; if we take an arbitrary 10% lender interest that gives £146k per month that could be used in the administration before any capital is touched
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Post by mike1963 on May 10, 2018 15:35:29 GMT
I have been following this thread since the beginning and i can honestly say the more it has gone on then the more it has filled me with dread. It all started off as if we would more than likely be getting 100% of our money back. As things have moved on i just cannot help but feel now that i will be getting nothing back , in fact i will probably end up owing someone. More stupidly i invested 5 figures into this company. There just does not seem to be any good news anymore and a hell of a lot of speculation. Being honest know , can the clever ones out there ( i have already admitted to being stupid ) forsee full capital gain from this and if not what % do you think we will be looking at. And we havent even mentioned interest owed yet. If full capital was not obtained do we have other avenues we can pursue to recover the rest. Thanks Hayley Dear Hayley thecleaner, Please keep calm. Let the FCA/Professional Administrators do their job and see how the situation looks then. Stressing yourself (and others) unnecessarily won't do you any good. There are many people in the same boat, myself included. Trust me, I feel the pain too.
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Post by Butch Cassidy on May 10, 2018 15:45:25 GMT
I have been following this thread since the beginning and i can honestly say the more it has gone on then the more it has filled me with dread. It all started off as if we would more than likely be getting 100% of our money back. As things have moved on i just cannot help but feel now that i will be getting nothing back , in fact i will probably end up owing someone. More stupidly i invested 5 figures into this company. There just does not seem to be any good news anymore and a hell of a lot of speculation. Being honest know , can the clever ones out there ( i have already admitted to being stupid ) forsee full capital gain from this and if not what % do you think we will be looking at. And we havent even mentioned interest owed yet. If full capital was not obtained do we have other avenues we can pursue to recover the rest. Thanks Hayley Whilst it is all speculation at this stage until we hear definitively what BDO have found in the way of assets & enforceable agreements I believe your pessimism is unfounded - getting nothing back would be almost impossible IMHO; The RR report (which some believe to be a fairytale) gave plenty of hope that the firm had been run correctly & prudently prior to the Feb cash withdrawals for "business expenses" but if we just put that to one side for a moment anyone with bling, cars, other small items & even residential property/flats should stand an excellent chance of 100% capital recovery. As even if the borrowers default the items are easily saleable, provided they are all correctly accounted for which is the impression given in the RR report & are likely to match close to their valuations, unlike some larger property or development assets.
The larger, ongoing development loans may prove more problematic - not least if the afore mentioned cash withdrawals for "business expenses" were misappropriated from funds earmarked to go to their borrowers but they also may/will need further funds to reach completion & hence release the promised value, which is currently impossible from current lenders to finance under the BDO court mandate. These were always going to be the riskiest loans without any of these complications so investor returns will hugely depend on the exit route (incomplete fire sale, buyout/refinance to another lender) that BDO can find & will invariably take much longer to settle than the small asset loans.
There has also been speculation as to whether the individual loan contracts for specific items were even valid & perhaps all lenders may just be thrown into a large, single creditors pot & get equal shares of whatever is left - personally I doubt this will happen but anything is still possible & will remain so until BDO pull their collective finger out & provide more details, such as read only website to establish claims, statement of way forward etc All in all I remain confident of a good capital return & maybe even some interest but would not be as confident in the larger developments (I avoided them as being too risky personally bit have sympathy for those involved).
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adrianc
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Post by adrianc on May 10, 2018 16:37:15 GMT
I have had a lot more competent information from the Beauforts administrators ... I have just now filled in a client claim form on their website and their details of my assets were correct and its been rolled up with an FSCS claim for any shortfall. Hopefully the costs should not reduce what I finally getAnd this is the big difference with a non-FSCS investment like P2P. The administrators get paid, and so do the investors. The taxpayer ends up covering the shortfall. With COL, it's a choice between the administrators and the investors getting paid, and the taxpayer is not sat there waiting with a box of man-size tissues and a big hug.
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Post by thecleaner on May 10, 2018 17:06:21 GMT
Thanks for all the replies everyone. Indeed many of you still feel very confident so i shall carry that foward.
Hayley
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justme
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Post by justme on May 10, 2018 17:35:28 GMT
it illustrates how precarious is p2p lending - it is based on how more knowledgeable users of an internet forum feel about the platform or loan or prospects
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Post by Badly Drawn Stickman on May 10, 2018 17:59:46 GMT
Thanks for all the replies everyone. Indeed many of you still feel very confident so i shall carry that foward. Hayley My own take is that I currently expect full capital return, all interest due, a commemorative T shirt, mug and pen. From that position I have contingencies for any disappointment. starting with..... I didn't need a pen anyway, lord knows you can't go anywhere without somebody giving you one these days. I really only ever use my favorite mug, others just don't feel right. Why have they started making medium sized T shirts so small, I should have gone large. Ah well at least my capital has been returned. Hi, remember how I said I couldn't do that job for you? I might be able to fit it in now.
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Greenwood2
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Post by Greenwood2 on May 10, 2018 19:48:08 GMT
I would guess at least 50% capital recovery, very possibly 100%, but I do not think anything like 100% loss is likely unless you are in only one, or a very few loans, and suffer bad defaults on these particular loans.
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blender
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Post by blender on May 11, 2018 8:16:36 GMT
I don't think it is a good idea to start lowering expectations. 100% of capital was predicted by RR and that should remain the firm expectation of lenders - which is what Village Idiot expects. The purpose of FCA in having RR replaced by BDO was to ensure that lenders (by whatever name) were properly protected in the administration and what may follow. FCA and BDO should be held to account by lenders against that commitment, the target being to do as well for lenders as RR said they would do. Otherwise there was no purpose in the action, except for FCA to beat its chest at the expense of others.
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shimself
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Post by shimself on May 11, 2018 9:22:35 GMT
.. The purpose of FCA in having RR replaced by BDO was to ensure that lenders (by whatever name) were properly protected in the administration and what may follow. FCA and RR should be held to account by lenders against that commitment, the target being to do as well for lenders as RR said they would do. .. I agree with the second sentence (to do as well for lenders as RR said). I'm not so sure that replacing them with BDO is for lenders' protection
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blender
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Post by blender on May 11, 2018 10:20:16 GMT
.. The purpose of FCA in having RR replaced by BDO was to ensure that lenders (by whatever name) were properly protected in the administration and what may follow. FCA and RR should be held to account by lenders against that commitment, the target being to do as well for lenders as RR said they would do. .. I agree with the second sentence (to do as well for lenders as RR said). I'm not so sure that replacing them with BDO is for lenders' protection Statement on FCA website:
'The Collateral Companies were required to obtain the approval of the FCA when appointing an administrator. This is designed to protect investors by ensuring an independent person conducts the administration in the best interests of the investors. This did not happen. Accordingly the FCA has intervened to ensure investors are protected as the law requires.'
Clear enough, surely? You may not believe them, but you should hold them to their word. Feet to the fire, as they say. The court is also supervising.
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Greenwood2
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Post by Greenwood2 on May 11, 2018 11:35:31 GMT
I don't think it is a good idea to start lowering expectations. 100% of capital was predicted by RR and that should remain the firm expectation of lenders - which is what Village Idiot expects. The purpose of FCA in having RR replaced by BDO was to ensure that lenders (by whatever name) were properly protected in the administration and what may follow. FCA and RR should be held to account by lenders against that commitment, the target being to do as well for lenders as RR said they would do. Otherwise there was no purpose in the action, except for FCA to beat its chest at the expense of others. If there is a chunk of lenders funds missing 100% recovery of capital may not be possible, unless it can be retrieved somehow. RR apparently hadn't noticed that funds were apparently missing, so presumably they thought there should be the funds to repay lenders in full. We will have to wait for the outcome of the FCA and BDO investigations to see the actual situation. Additionally there may be defaults that would reduce lenders returns.
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withnell
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Post by withnell on May 11, 2018 12:21:35 GMT
Funds that were in non-drawndown loans aside, other loans are in the same state that they were in before - yes there may be more enthusiasm to game the situation by borrowers assuming a less robust response, but the underlying security hasn't changed, just the name of the firm administering the loans. If you're an investor expecting only 50% recovery, then you must have expected that pre-collapse also?
I'd think that admin costs may be higher than Collateral's previous running costs, but still expect 100% capital and majority of interest to be recovered - but until we have a proper rec of outstanding balance vs security (by someone who understands the business, not like the RR version that chucked all funds in one bucket) we won't know. Worth noting is that while COL weren't FCA authorised, it doesn't automatically mean all contracts are null and void - sit tight a couple of weeks and we should have real information rather than conjecture to go on
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TenKay
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Post by TenKay on May 11, 2018 13:13:26 GMT
to say everyone will get 100% back is wishful thinking imo what about borrowers who cant pay the full amount back ? but they only lent up to 70% of the value of the property i hear you say, great if the valuation was accurate and is still valid, and im now not sure that the company did their valuations in the lenders interests, recent events have shown they are not the most trust worthy of companies, so we could see properties being sold off less than the loan value, it only takes one such loan and the 100% goes out of the window
some people maybe lucky and others wont
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