ashtondav
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Post by ashtondav on Dec 9, 2019 11:25:42 GMT
Except they haven't. They have reviewed and amended the rate paid to lenders. They have dropped lender rates as well as adjusted who they lend to and at what rates. Prime personal borrowers are typically rate sensitive particularly when sourcing loans from the comparison websites. However with some channels all lenders can pick up prime borrowers who for whatever reason end up paying a little higher interest without paying any attention.... However on the whole the higher the borrower rate the higher the risk. This is not a problem at all as long as enough money is put into the PF for these new borrowers. Only time will tell. But time has told. Default rates are much higher than Anticipated.
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jlend
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Post by jlend on Dec 9, 2019 11:48:11 GMT
They have dropped lender rates as well as adjusted who they lend to and at what rates. Prime personal borrowers are typically rate sensitive particularly when sourcing loans from the comparison websites. However with some channels all lenders can pick up prime borrowers who for whatever reason end up paying a little higher interest without paying any attention.... However on the whole the higher the borrower rate the higher the risk. This is not a problem at all as long as enough money is put into the PF for these new borrowers. Only time will tell. But time has told. Default rates are much higher than Anticipated. As you correctly say defaults have been higher to date and I expect final losses as a result. I am sure none of us are happy with that, especially as this includes some loans with higher borrower APRs as well as the lower average APRs in prior years. Only time will tell if future loans will be any better given the experience they are building up.
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r00lish67
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Post by r00lish67 on Dec 9, 2019 11:55:06 GMT
They have dropped lender rates as well as adjusted who they lend to and at what rates. Prime personal borrowers are typically rate sensitive particularly when sourcing loans from the comparison websites. However with some channels all lenders can pick up prime borrowers who for whatever reason end up paying a little higher interest without paying any attention.... However on the whole the higher the borrower rate the higher the risk. This is not a problem at all as long as enough money is put into the PF for these new borrowers. Only time will tell. But time has told. Default rates are much higher than Anticipated. Well, up to 2017 for sure. 2018 too arguably as the last time we could see them, LW were forecasting 7.2% bad debt vs 4.9% at origination). 2019 notches the borrower rate higher, and it is obviously too soon to look at that. Incidentally, after a few times of looking at it, I'm of the view that LW's new stats are less useful than before in several areas. Much more difficult than before to see that trend for example, if possible at all. I also find the 'expected annual loss' graph quite confusing, as initially I compared it to the old lifetime bad debt and found it totally different. That, I now assume, is because the new graph is annualised. How do I easily use that? No idea, and I'm no longer sufficiently invested to bother finding out. Before one could look and immediately say "that's what they hoped for for this cohort of loans, and that's what they're delivering". Now, I believe that's no longer true.
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Ukmikk
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Post by Ukmikk on Dec 9, 2019 13:50:15 GMT
Except they haven't. They have reviewed and amended the rate paid to lenders. It's both. They've lowered our rates and increased their (average) borrower rate.Which, as above, does not necessarily equate to more profit for LW. Sorry, I was referring to the recent changes, not the overall shift to higher borrower rates. My bad.
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johni
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Post by johni on Dec 30, 2019 19:07:53 GMT
Put loans up for sale this morning all gone within a couple of hours does seem there is still quite a bit of demand out there.
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benaj
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Post by benaj on Mar 4, 2020 9:40:38 GMT
Anyone knows about the latest matching time here?
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ashtondav
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Post by ashtondav on Mar 4, 2020 13:00:20 GMT
When I sold out it took 7 days for funds to reach my bank.
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Post by df on Mar 4, 2020 13:35:47 GMT
When I sold out it took 7 days for funds to reach my bank. All my recent withdrawals arrived to my bank on the same day, but this thread is about matching time, not withdrawals.
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benaj
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Post by benaj on Mar 4, 2020 15:27:21 GMT
It seems there is demand at the moment, I just don't know how big. Still queuing after 1 working day. Probably cancel it if it is over 7 working days.
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Post by df on Mar 4, 2020 16:09:06 GMT
It seems there is demand at the moment, I just don't know how big. Still queuing after 1 working day. Probably cancel it if it is over 7 working days. Interesting. I thought in current environment matching time will be instant  Comparing with GS, seem to be no queueing funds, returns are reinvested on the same day (very early in the morning).
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jlend
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Post by jlend on Mar 4, 2020 17:53:30 GMT
It seems there is demand at the moment, I just don't know how big. Still queuing after 1 working day. Probably cancel it if it is over 7 working days. Interesting. I thought in current environment matching time will be instant Comparing with GS, seem to be no queueing funds, returns are reinvested on the same day (very early in the morning). May be my GS loans as I have been withdrawing
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Ukmikk
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Post by Ukmikk on Mar 4, 2020 18:42:29 GMT
It seems there is demand at the moment, I just don't know how big. Still queuing after 1 working day. Probably cancel it if it is over 7 working days. Interesting. I thought in current environment matching time will be instant Comparing with GS, seem to be no queueing funds, returns are reinvested on the same day (very early in the morning). Maybe cutting back on who they will lend to now in an effort to balance the books/PF?
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jlend
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Post by jlend on Mar 4, 2020 19:40:46 GMT
It seems there is demand at the moment, I just don't know how big. Still queuing after 1 working day. Probably cancel it if it is over 7 working days. LW wrote 5.07m of new loans in January 2020 vs 6.06m in January 2019.
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Post by df on Mar 4, 2020 20:25:58 GMT
Interesting. I thought in current environment matching time will be instant Comparing with GS, seem to be no queueing funds, returns are reinvested on the same day (very early in the morning). May be my GS loans as I have been withdrawing May be, but no queue position has been consistent for a couple of years now on GS.
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benaj
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Post by benaj on Mar 6, 2020 9:16:59 GMT
It's not under 3 working days.  1-7 days? Time will tell. UPDATE: 10-March-2020, Just acquired first (new) loan chunk after 5 working days, 0% interest shortfall |
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Comparing with GS, seem to be no queueing funds, returns are reinvested on the same day (very early in the morning).
1-7 days? Time will tell.