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Post by loftankerman on Dec 15, 2018 11:47:53 GMT
Don't be nasty, clowns bring joy and laughter not misery and failure. Actually clowns manage to reduce many to a state of abject terror. Those lucky people probably haven't felt attracted to Lendy if they've seen them in their true colours. (Stripey and flush faced at Cowes this year)
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neal
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Post by neal on Dec 19, 2018 10:20:37 GMT
On the 15th when DFL08 repaid I was feeling a bit more hopeful but then Monday came and nine loans suspended with no information until the end of the day, another 5.5K moved from distressed to 'oh feck' I now have two loans totaling less than 3k earning out of a total investment of over 25k. I'm just glad I'm now at 50% what I used to hold in Lendy.
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travolta
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Post by travolta on Jan 3, 2019 20:45:00 GMT
Happy Jan 2019: 22,000.00 investment.... monthly interest: 29.00 
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Post by excalibur on Jan 26, 2019 18:55:55 GMT
Lendy Tax Statement does not list the Default or Capital Recovered for the tax year like other p2p lenders. Why?
Lendy sold PBL167 at a loss, and are trying to recover the remaining money. Now other p2p lenders such as MT would tell you what is the default figure, and if eventually they recover it then tell you the recovery. However Lendy are not telling me any of this, yet they got me to trust that they were running an operation where this kind of thing would not ever be an issue. Not giving a Default figure is almost like promising that it will be fully recovered in due course with all the accruing interest. If however 10 years down the line, or whatever distant date, they say ah no we did not recover anything it will be too late to use a default figure to offset.
What are people putting in the S.A. for this scenario of PBL167?
Of course I will write a letter to the FCA about this so that they can tell Lendy what is required.. as I don't think Lendy will listen to little old me.
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Mucho P2P
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Post by Mucho P2P on Jan 26, 2019 20:58:32 GMT
Lendy Tax Statement does not list the Default or Capital Recovered for the tax year like other p2p lenders. Why? Lendy sold PBL167 at a loss, and are trying to recover the remaining money. Now other p2p lenders such as MT would tell you what is the default figure, and if eventually they recover it then tell you the recovery. However Lendy are not telling me any of this, yet they got me to trust that they were running an operation where this kind of thing would not ever be an issue. Not giving a Default figure is almost like promising that it will be fully recovered in due course with all the accruing interest. If however 10 years down the line, or whatever distant date, they say ah no we did not recover anything it will be too late to use a default figure to offset. What are people putting in the S.A. for this scenario of PBL167? Of course I will write a letter to the FCA about this so that they can tell Lendy what is required.. as I don't think Lendy will listen to little old me. Its not the FCA that you need to write to, but HMRC. L has taken a road that apparently suits them and based their "declarations" on what suits them and not their lenders. Possibly so that they do not have to declare too many visible defaults? Disclaimer - I am not a certified tax advisor/accountant: My understanding, you can independently declare any P2P loss you wish as a capital loss on your tax forms and/or claim it against interest made on a P2P platform, even cross-claim to another P2P platform if there is not enough generated interest from Lendy to counter the loss in question. I would strongly suggest you read the HMRC manuals for the exact treatment you can apply to that specific loan, as long as the losses (and how you report them) are in accordance with HMRC SAIM 12050 and associated HMRC guidelines/manuals. IMPORTANT, you will have to keep track in future years how much is paid back to you from that loan and make the appropriate declarations in years to come.
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Post by Proptechfish on Jan 29, 2019 22:09:16 GMT
excalibur I can pretty much echo Mucho P2P on this one. At the end of this tax year I intend (after double checking HMRC terms) to write off all of my remaining balance on LY, if they haven't got the spine to call it what it is I will. I will offset the loss against other platform gains and in the slim chance of a further return of funds in the future I will add it on to that years SA acourdingly. In my experience HMRC are not as ruthless as they use to be, as long as you are showing a decent level of consideration in declaring your income and wanting pay your due taxes. They have been fairly reasonable with me over the last few years. Should go without saying but just incase this is my own opinion based on my circumstances and is not tax advice in an official capacity. If you are still unsure please consult a qualified professional, preferably with indemnity insurance.
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jan 29, 2019 22:14:45 GMT
Proptechfish I suppose it would make sense to cross post my comment form FS thread here (note as per disclaimer, not advice etc)
'ISTM there is nothing in the guidance or the underlying legislation that allows a lender to abitarily determine that a loan is eligible for loss relief after a certain amount of time. HMRC is specific that late payment alone is not a criteria for a loan being eligible for loss relief. The loan actually has to have been called in. 'irrecoverable' is defined as ' irrecoverable other than by legal proceedings or by the exercise of any right granted by way of security for the loan' (Finance Act 2016, section 32, chapter 1A, 412A(8)). A lender doesnt have such rights under P2P that is held by the agent/platform via a security trustee so a lender cant declare a loan irrecoverable unless the platform has formally defaulted the loan and called it in. Then if the platform doesnt declare a loan as having 'become' irrecoverable under HMRC criteria, lenders can themselves 'treat' the loan as irrecoverable.'
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Post by Proptechfish on Jan 29, 2019 22:35:49 GMT
ilmoro that's essentially what arguing. I'm going itemise each loan, outline circumstances, time overdue/inaction and argue the case that LY simply cannot be trusted in declaring losses, effectively distorting my tax liabilities by holding me at ransom. I'm going to request the authority to self declare with HMRC's blessing, in my experience the worst that will happen is they will say no and I would have filled early enough to make necessary amendments. I'm not keen on direct litigation as being argued in other quarters. However I think a few thousand SA's landing with HMRC all citing the same problem with the same platform could well warrant a closer look. I would take the power of HMRC's bite over the FCA's anyday.
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Mucho P2P
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Post by Mucho P2P on Jan 29, 2019 22:40:43 GMT
Proptechfish I suppose it would make sense to cross post my comment form FS thread here (note as per disclaimer, not advice etc)
'ISTM there is nothing in the guidance or the underlying legislation that allows a lender to abitarily determine that a loan is eligible for loss relief after a certain amount of time. HMRC is specific that late payment alone is not a criteria for a loan being eligible for loss relief. The loan actually has to have been called in. 'irrecoverable' is defined as ' irrecoverable other than by legal proceedings or by the exercise of any right granted by way of security for the loan' (Finance Act 2016, section 32, chapter 1A, 412A(8)). A lender doesnt have such rights under P2P that is held by the agent/platform via a security trustee so a lender cant declare a loan irrecoverable unless the platform has formally defaulted the loan and called it in. Then if the platform doesnt declare a loan as having 'become' irrecoverable under HMRC criteria, lenders can themselves 'treat' the loan as irrecoverable.' Will keep it short as its getting late, Lenders can declare a loan as "irrecoverable" in their Self Assessment Form, if it is in administration/receivership. Again, I am not an accountant so take appropriate tax advice as I did on that matter.
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ilmoro
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Post by ilmoro on Jan 29, 2019 23:08:16 GMT
Proptechfish I suppose it would make sense to cross post my comment form FS thread here (note as per disclaimer, not advice etc)
'ISTM there is nothing in the guidance or the underlying legislation that allows a lender to abitarily determine that a loan is eligible for loss relief after a certain amount of time. HMRC is specific that late payment alone is not a criteria for a loan being eligible for loss relief. The loan actually has to have been called in. 'irrecoverable' is defined as ' irrecoverable other than by legal proceedings or by the exercise of any right granted by way of security for the loan' (Finance Act 2016, section 32, chapter 1A, 412A(8)). A lender doesnt have such rights under P2P that is held by the agent/platform via a security trustee so a lender cant declare a loan irrecoverable unless the platform has formally defaulted the loan and called it in. Then if the platform doesnt declare a loan as having 'become' irrecoverable under HMRC criteria, lenders can themselves 'treat' the loan as irrecoverable.' Will keep it short as its getting late, Lenders can declare a loan as "irrecoverable" in their Self Assessment Form, if it is in administration/receivership. Again, I am not an accountant so take appropriate tax advice as I did on that matter. Think that was my point. It has to have been called in and be in legal recovery, you cant just say its 6 month late so its irrecoverable. Perhaps should have been more precise in last sentence.
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baldpate
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Post by baldpate on Apr 1, 2019 9:44:42 GMT
DFL001/2 (the 'Exeter' loans) were loans made under the earlier T&C ('Model 1 Terms', as I believe they are often called); as I understand it, this makes them, technically, loans to Lendy, not direct to the ultimate borrower. I am wondering whether this may not currently disqualify them from a claim for loss relief, since no legal recovery action has (yet) been taken against Lendy themselves. It seems to me that there may be some uncertainty/ambiguity in this case It was this uncertainty that caused me not to make a claim last year.
Does anybody have any thoughts on the matter?
If this question has been raised and dealt with elsewhere, I apologize for the duplication.
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Mucho P2P
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Post by Mucho P2P on Apr 3, 2019 10:43:00 GMT
DFL001/2 (the 'Exeter' loans) were loans made under the earlier T&C ('Model 1 Terms', as I believe they are often called); as I understand it, this makes them, technically, loans to Lendy, not direct to the ultimate borrower. I am wondering whether this may not currently disqualify them from a claim for loss relief, since no legal recovery action has (yet) been taken against Lendy themselves. It seems to me that there may be some uncertainty/ambiguity in this case It was this uncertainty that caused me not to make a claim last year.
Does anybody have any thoughts on the matter?
If this question has been raised and dealt with elsewhere, I apologize for the duplication. Nice Questions Baldplate, I like these types of Qs. HMRC does not specify if the loan has to be held directly with a P2P company, they only specify that it has to be held with or through a P2P company. If the loan itself in admin/receivership or the likes, you can put in a claim for loss relief, even as the loan was made to Lendy. I would however strongly advise to include the details of the loss/deduction/claim in the white paper declaration of your Self-assessment form. Do not take my "opinion" for "advice", as differing accountancy firms and legal firms will offer different advice on such peculiarities of P2P law. I actually request my accountancy firm to provide the appropriate legal statute if the specifics of my queries are not contained in the HMRC manuals. Sometimes (as P2P is so new) there is no statute around to quote! Hence, the white paper declaration. I have parts of the above loan, and I have NOT put in for loss relief yet. Mainly as the amount I hold is relatively small.
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sydb
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Post by sydb on Apr 9, 2019 17:31:57 GMT
1) Sorry if this has been asked recently. Has Lendy 'written off' any loans yet?
2) Ilmoro's note below makes sense as the earliest time a lender can decide a loan is 'irrecoverable':
'ISTM there is nothing in the guidance or the underlying legislation that allows a lender to abitarily determine that a loan is eligible for loss relief after a certain amount of time. HMRC is specific that late payment alone is not a criteria for a loan being eligible for loss relief. The loan actually has to have been called in. 'irrecoverable' is defined as ' irrecoverable other than by legal proceedings or by the exercise of any right granted by way of security for the loan' (Finance Act 2016, section 32, chapter 1A, 412A(8)). A lender doesnt have such rights under P2P that is held by the agent/platform via a security trustee so a lender cant declare a loan irrecoverable unless the platform has formally defaulted the loan and called it in. Then if the platform doesnt declare a loan as having 'become' irrecoverable under HMRC criteria, lenders can themselves 'treat' the loan as irrecoverable.'
How important is the word, 'and', in bold above? By 'call it in', do we mean those listed as 'LEGALS' in:
3) Given the murky mess with which Lendy updates lenders with 'information' regarding loans and recoveries, I would support the notion that deadlines for claiming losses have not passed while Lendy has not declared a loan irrecoverable.
4) Within the flexibility above, all else being equal, my own completely non-professional arbitrary view is that it would be practical to self declare a loan as irrecoverable after the securities have been acquired, sold and proceeds distributed, largely because from that point on, additional recoveries would seem very unlikely. (Obviously, if anymore recovery does come in then it would have to be declared on self assessment.)
Anybody strongly disagree?
No legal advice is presented here and I expect none in return.
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iRobot
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Post by iRobot on Apr 9, 2019 18:16:55 GMT
Unfortunately, the following may hinder rather than help, but given capital losses have been confirmed by the platform, Lendy may be nudged into reviewing as it was written when Lendy were still of a 'not lost a penny' mindset. How will you treat loans with declarable losses?" Loans which are non-performing or on which we have initiated recovery proceedings are not deemed irrecoverable by Lendy unless otherwise stated."Requesting comment from Lendy Support on how Lendy might 'state' irrecoverable-ness would seem reasonable.
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ilmoro
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Post by ilmoro on Apr 9, 2019 18:44:08 GMT
1) Sorry if this has been asked recently. Has Lendy 'written off' any loans yet? Yes, DFL025 & DFL035 have both had capital shortfalls declared and registered on the tax statement as losses
2) Ilmoro's note below makes sense as the earliest time a lender can decide a loan is 'irrecoverable':
'ISTM there is nothing in the guidance or the underlying legislation that allows a lender to abitarily determine that a loan is eligible for loss relief after a certain amount of time. HMRC is specific that late payment alone is not a criteria for a loan being eligible for loss relief. The loan actually has to have been called in. 'irrecoverable' is defined as ' irrecoverable other than by legal proceedings or by the exercise of any right granted by way of security for the loan' (Finance Act 2016, section 32, chapter 1A, 412A(8)). A lender doesnt have such rights under P2P that is held by the agent/platform via a security trustee so a lender cant declare a loan irrecoverable unless the platform has formally defaulted the loan and called it in. Then if the platform doesnt declare a loan as having 'become' irrecoverable under HMRC criteria, lenders can themselves 'treat' the loan as irrecoverable.' How important is the word, 'and', in bold above? By 'call it in', do we mean those listed as 'LEGALS' in: 'And' is very improtant IMO. Merely declaring a loan as in default doesnt mean it is in legal recovery, the right over security has to be exercised by calling the loan in and initiating legal recovery. I would refer to the list in the OP. Legals in the post linked are more specific and exclude plenty of loans that are eligible. By called in I mean formal demand for repayment has been issued & some form of legal recovery has been initiated: receivers, administration, possession proceedings, bankruptcy.
3) Given the murky mess with which Lendy updates lenders with 'information' regarding loans and recoveries, I would support the notion that deadlines for claiming losses have not passed while Lendy has not declared a loan irrecoverable.
Correct IMO. There are two chances to claim a loss. When a loan enters some form of legal recovery so it meets the 'treatable' definition or when the platform declares a loan irrecoverable either using the 'treatable' or 'become' definition. The question is at what point it is no longer possible to claim a loss under the former situation ie can you defer claiming an eligible loan to a subsequent tax year or does it have to be done in the year it first qualifies (excl 4 year allowance for insufficient income to offset)
4) Within the flexibility above, all else being equal, my own completely non-professional arbitrary view is that it would be practical to self declare a loan as irrecoverable after the securities have been acquired, sold and proceeds distributed, largely because from that point on, additional recoveries would seem very unlikely. (Obviously, if anymore recovery does come in then it would have to be declared on self assessment.)
Seems reasonable as the loss is quantifiable at that point but advice would be needed to confirm
Anybody strongly disagree?
No legal advice is presented here and I expect none in return. None given
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