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Post by gravitykillz on Dec 13, 2018 6:16:21 GMT
Guess this is a standard supply and demand issue. But this is hopefully because they are only handing out decent loans to people that can afford to repay. If this issue did not exist i would think they are handing out loans to every tom dick harry.
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p2pete
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Post by p2pete on Dec 13, 2018 10:25:32 GMT
My £3K deposited on 23rd Nov is still not matched so it's 3 weeks now. It seems like there's a problem because I keep getting to 1 day left and then it jumps back to 5 days. Tried contacting support but they don't reply. I moved money from RS to LW because RS was 6% (at the time) and LW was 6.5% but due to the cash drag at RS I may as well have just left it in RS! Matthew do you have any comments on the recent problems with matching times? |
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Post by p2pgirl on Dec 13, 2018 12:22:00 GMT
24 hours on, the matching queue ahead of me has increased to 7 days and £796k. Seems little point in looking at the predicated number of days as it is very unreliable and definitely not linear! If it wasn't such a small amount, I'd be pulling it out at this point and moving it into Ratesetter. Even 5.8% vs 6.5% only requires cash drag of around a month before the gains in the interest rate are wiped out. The ways things are going at the moment it could easily be a month before my money gets matched.
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oldtimer
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Post by oldtimer on Dec 13, 2018 12:32:50 GMT
As I understand it new investment money is at the back of the queue. Money already invested which gets repaid is at the top for reinvestment. You will get there eventually. Took my first investment a couple of weeks to get allocated.
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IFISAcava
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Post by IFISAcava on Dec 13, 2018 13:14:44 GMT
24 hours on, the matching queue ahead of me has increased to 7 days and £796k. Seems little point in looking at the predicated number of days as it is very unreliable and definitely not linear! If it wasn't such a small amount, I'd be pulling it out at this point and moving it into Ratesetter. Even 5.8% vs 6.5% only requires cash drag of around a month before the gains in the interest rate are wiped out. The ways things are going at the moment it could easily be a month before my money gets matched. Yeah, I was finally down to 4 days yesterday, back up to 5 days today. Over 2 weeks in and basically the waiting time is still the same number of days (so estimate was 2 weeks out at least). It's a disadvantage of the ISA lack of flexibility re transferring quickly between accounts - although Ratesetter has its own issues within an ISA too.
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benaj
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Post by benaj on Dec 13, 2018 13:17:28 GMT
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elliotn
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Post by elliotn on Dec 13, 2018 14:25:35 GMT
If it wasn't such a small amount, I'd be pulling it out at this point and moving it into Ratesetter. Even 5.8% vs 6.5% only requires cash drag of around a month before the gains in the interest rate are wiped out. The ways things are going at the moment it could easily be a month before my money gets matched. I deposited 0.5% p2p today. 2M in front of me, c20 days. Straight back out again.
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Post by df on Dec 13, 2018 14:56:33 GMT
If it wasn't such a small amount, I'd be pulling it out at this point and moving it into Ratesetter. Even 5.8% vs 6.5% only requires cash drag of around a month before the gains in the interest rate are wiped out. The ways things are going at the moment it could easily be a month before my money gets matched. I deposited 0.5% p2p today. 2M in front of me, c20 days. Straight back out again. Probably the best action, especially when the queue position moves backwards and you don't know where your funds might be in a week or two. I deposited nearly 0.5% of my p2p 3 days ago. Initially the queue was 8 days, now it is 16. I wouldn't even know if I didn't read forum because I don't log in very often. Could be good to have e-mail notifications from LW when these things are happening.
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Post by gravitykillz on Dec 13, 2018 16:26:50 GMT
They obviously have more spare cash than they have loans. Posts like this will only put pressure on them to reduce the quality of their loans which in turn will put more pressure on the pf. Just be patient or take your money to ratesetter.
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Post by propman on Dec 13, 2018 17:44:16 GMT
There are various ways of measuring this. But if you assume that the money is reinvested at the same rate, then over 6 months drag required to equate the 2 over the full 5 years of the initial loan. (1.065^4.5 = 132.8%, 1.058^5 = 132.6%). Essentially the initrial cash drag is the cost of the quicker matching subsequently if relent. There is no such benefit at RS, although the rates achievable for relending is unknown.
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rscal
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Post by rscal on Dec 13, 2018 21:20:33 GMT
Having tried it myself recently - and only leaving it about 8 days before deciding to bail -you'd think that Lending Works might consider a name change!
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Post by platti on Dec 13, 2018 22:27:41 GMT
Recently joined them and expected it to be 5 days (as it said on the webpage) - took about 2 weeks in the end, again with the increasing/decreasing estimated timeframe.
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Post by Matthew on Dec 14, 2018 2:39:50 GMT
Hi all
Apologies for not being very responsive - I’m out of the office at the moment.
We’ve had a large influx of investor funds in the past few weeks which, coupled with a slowdown in loan demand in the lead up to Christmas (expected in prime and near prime lending but opposite further down the risk spectrum), has caused delays in getting new money invested.
Please note that we would never compromise on credit quality in order to have funds invested more quickly - this is hopefully evident from the current matching times but even so, worth reiterating. No amount of pressure on here or any other forum would change that.
However, all valid feedback on the matching times stated (this is jumping around primarily due to reinvestments coming in and a slowdown in new lending (it works on a 30 day rolling basis)). We are also aware we need to be communating matching times much better/earlier in the process so leave this with me.
In terms of cash drag, note that a 30-day matching time typically makes around 0.1% annualised difference over the 5 year term as reinvestments are matched very quickly (normal within 1 working day).
Matt
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benaj
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Post by benaj on Dec 14, 2018 9:30:59 GMT
Hi all Apologies for not being very responsive - I’m out of the office at the moment. We’ve had a large influx of investor funds in the past few weeks which, coupled with a slowdown in loan demand in the lead up to Christmas (expected in prime and near prime lending but opposite further down the risk spectrum), has caused delays in getting new money invested. Please note that we would never compromise on credit quality in order to have funds invested more quickly - this is hopefully evident from the current matching times but even so, worth reiterating. No amount of pressure on here or any other forum would change that. However, all valid feedback on the matching times stated (this is jumping around primarily due to reinvestments coming in and a slowdown in new lending (it works on a 30 day rolling basis)). We are also aware we need to be communating matching times much better/earlier in the process so leave this with me. In terms of cash drag, note that a 30-day matching time typically makes around 0.1% annualised difference over the 5 year term as reinvestments are matched very quickly (normal within 1 working day). Matt Hi Matthew, I appreciate the work on credit quality. Could you please tell us what's the office hours during Christmas holidays and how much further delay should investor be expected?
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p2pete
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Post by p2pete on Dec 14, 2018 12:30:20 GMT
However, all valid feedback on the matching times stated (this is jumping around primarily due to reinvestments coming in and a slowdown in new lending (it works on a 30 day rolling basis)). We are also aware we need to be communating matching times much better/earlier in the process so leave this with me. It would be good to have a warning on the site communicating the approximate matching times. It's frustrating moving from a 6% platform to a 6.5% platform and seeing your money sit there for weeks unmatched. Also, would you be supportive of minor changes to the current system? It makes sense for reinvested money to leapfrog new money, but not at all costs. When the reinvested money joins the queue, perhaps there could be a check so that it only leapfrogs new money younger than say 14 days. So for new customers, after the initial wait, they would at least then see their money invested properly instead of constantly getting shoved back to the end of the queue.
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