The 1000 day loan - W***h H***l - 1442701959
May 3, 2018 8:52:45 GMT
ozboy, madpierre, and 3 more like this
Post by bugs4me on May 3, 2018 8:52:45 GMT
I suppose sooner or later due to the professional inertia of FS this would happen. This has now become the forgotten loan.
The original loan - 420k based on a LTV of 60% was followed by a second loan for 100k.
You need to read the updates which are a demonstration how FS find it far more convenient to accept borrower repetitive assurances. Make sure you have time on your hands as it is long-winded but a couple of extracts -
Update - 06/02/2016 - Borrower has confirmed intention to renew the loan - funds awaited.
Update - 12/02/2016 - Funds expected by early next week latest.
And so it goes on.
Further Update - 10/06/2016 - ’...As the property has recently been revalued at £1.1m we remain confident of the security...’ - although there was no documentary evidence provided to back up the revised valuation. But it kept theherd investors quiet.
From the original valuation report this Grade 2 listed property had water ingress which can only accelerate the deterioration and the value undoubtedly reduces by the day. That reduced value has no financial impact on FS. Their reputation may suffer but IMO they have lost interest in protecting any form of reputation.
The first tranche investors will be taking a haircut and the second tranche will be wiped out.
This loan is an excellent example regarding the incompetence of FS at protecting investors funds. Loans are repaid but my firm impression is that’s not due to any skill on the part of FS but more of borrowers keeping to their commitments. Eventually investors simply run out of things to say - K**********h, W*******n, to name just a couple and find themselves going round and round in circles with zero constructive progress reports from the platform.
This FS fiasco will continue whilst everything they offer for funding is filled (eventually) as there’s no incentive for them to change.
The original loan - 420k based on a LTV of 60% was followed by a second loan for 100k.
You need to read the updates which are a demonstration how FS find it far more convenient to accept borrower repetitive assurances. Make sure you have time on your hands as it is long-winded but a couple of extracts -
Update - 06/02/2016 - Borrower has confirmed intention to renew the loan - funds awaited.
Update - 12/02/2016 - Funds expected by early next week latest.
And so it goes on.
Further Update - 10/06/2016 - ’...As the property has recently been revalued at £1.1m we remain confident of the security...’ - although there was no documentary evidence provided to back up the revised valuation. But it kept the
From the original valuation report this Grade 2 listed property had water ingress which can only accelerate the deterioration and the value undoubtedly reduces by the day. That reduced value has no financial impact on FS. Their reputation may suffer but IMO they have lost interest in protecting any form of reputation.
The first tranche investors will be taking a haircut and the second tranche will be wiped out.
This loan is an excellent example regarding the incompetence of FS at protecting investors funds. Loans are repaid but my firm impression is that’s not due to any skill on the part of FS but more of borrowers keeping to their commitments. Eventually investors simply run out of things to say - K**********h, W*******n, to name just a couple and find themselves going round and round in circles with zero constructive progress reports from the platform.
This FS fiasco will continue whilst everything they offer for funding is filled (eventually) as there’s no incentive for them to change.
