tx
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Post by tx on Jul 23, 2018 13:19:12 GMT
I am wondering if Ly can (or would) comment on the lack of new pipeline loans for quite some time.
Is this related to getting full authorisation (so that new loans delayed to be covered by it) or is it the market of p2p that Ly in dries up ...
I would really like to know a bit more.
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rocky1
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Post by rocky1 on Jul 23, 2018 17:10:08 GMT
i think the only options for the forseeable are further tranches and extensions of what is going at the moment.i hope lendy are concentrating on all the mess they[us] are in at the moment.
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trevor
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Post by trevor on Jul 23, 2018 17:52:55 GMT
I suspect that L realise that if they bring new loans to the platform they will be funded ahead of the tranches for current loans. I'm sure that many like me are refusing to fund any more until we see some DFL's redeemed. Any new loans should wait until a considerable amount has been redeemed. With so may loans requiring extensions I'm not holding my breath for redeemed loans anytime soon.
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rocky1
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Post by rocky1 on Jul 23, 2018 18:13:37 GMT
just read lendy,s managing risk section again. do they really think people who have funded earlier tranches say 1/2/3 want to be still funding tranches 10/20/30 of the same loans.diversify they say.as regards new loans how the heck did most of these borrowers get past lendy,s five point DD and lending panel with over 100 years experience between them.
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empirica
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Post by empirica on Jul 23, 2018 19:38:19 GMT
I am wondering if Ly can (or would) comment on the lack of new pipeline loans for quite some time. Is this related to getting full authorisation (so that new loans delayed to be covered by it) or is it the market of p2p that Ly in dries up ... I would really like to know a bit more. It would appear Lendy have recruited with intention to continue / increase its' DFL origination. (Credit for originally bringing this to my attention belongs here.)
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tx
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Post by tx on Jul 23, 2018 22:02:44 GMT
I am wondering if Ly can (or would) comment on the lack of new pipeline loans for quite some time. Is this related to getting full authorisation (so that new loans delayed to be covered by it) or is it the market of p2p that Ly in dries up ... I would really like to know a bit more. It would appear Lendy have recruited with intention to continue / increase its' DFL origination. (Credit for originally bringing this to my attention belongs here.) What is BDM? Forgive my limited knowledge on these abbreviations.
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Post by dan1 on Jul 23, 2018 22:04:58 GMT
It would appear Lendy have recruited with intention to continue / increase its' DFL origination. (Credit for originally bringing this to my attention belongs here.) What is BDM? Forgive my limited knowledge on these abbreviations. Business Development Manager I assume, although I've not read the article.
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copacetic
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Post by copacetic on Jul 24, 2018 8:24:22 GMT
Personally I have zero interest in further DFLs. I don't think Lendy (or in fact any other platform) has proven themselves capable of keeping a close enough watch on how developers spend the cash from further tranches to keep the risk in check. IMS valuations where the valuer isn't actually visiting the site on a regular basis don't cut it. Far too frequently the borrowers just seem to blow the cash (salaries, bonuses, dividends?) leaving a partially completed development that sells for a fraction of the original valuation.
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rocky1
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Post by rocky1 on Jul 24, 2018 8:27:49 GMT
it seems a lot of these further tranches are just to fund extensions as the borrowers have not been able to refinance. lendy get extension fees and whatever. lenders get 1% of their own money for a while.so it is costing the borrowers nothing really as when it finally happens out will come the offers.with no interest/no IA and the development is not worth what we loaned on so take a loss on capital as well in a couple of years after all the usual messing about.can really see where this lot is all going.
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Balder
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Post by Balder on Jul 24, 2018 9:36:26 GMT
Lendy model is part of the problem here because interest is withheld this creates borrowers having a unrealistic loan duration from the start. This then causes further problems later when more time/money is needed that push over the LTV - also causes borrowers to push for the highest valuation possible.
For me Lendy should also see the total plan for completion of work as part of the lending process and the loan length should align from day 1.
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tx
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Post by tx on Jul 24, 2018 21:02:21 GMT
The lack of new loan is undermining Ly, and there is no turnover or recycling of investor funds. It won’t work. Feels like a time bomb ticking.
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mj
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Post by mj on Jul 24, 2018 23:54:35 GMT
The lack of new loan is undermining Ly, and there is no turnover or recycling of investor funds. It won’t work. Feels like a time bomb ticking. Agree. All we can be sure of is that it won't explode before Cowes Week. It seems to me that the things investors hate most - defaults and "suspended" loans - serve Ly rather well at present. They prevent money leaving the platform and severely reduce the amount that has to be paid in interest every month.
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zlb
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Post by zlb on Jul 26, 2018 13:49:49 GMT
... do they really think people who have funded earlier tranches say 1/2/3 want to be still funding tranches 10/20/30 of the same loans.diversify they say. Quite. When I first came across their statements about committing to on-going tranches it did feel they didn't understand who their lenders were(perhaps thinking all were experienced property investors and knew the extended DFL score and wee being intentionally naughty). At the moment, even their minimum of £100 per borrower is too high, given the current situation, let alone per tranche. Their aggressive or admonishing tone in warnings about continuing to invest put me off.
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orvilorvil
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Post by orvilorvil on Jul 26, 2018 14:15:59 GMT
I'm quite staggered to look at the 'non-performing' section and see £47m of lenders money in these loans and another £5m with 'claims underway'.
Thats £52m of troubled loans and about 1/3 of the whole loan book - it's a crazy situation.
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empirica
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Post by empirica on Jul 26, 2018 14:30:48 GMT
.... At the moment, even their minimum of £100 per borrower is too high, given the current situation, let alone per tranche. ... I've pondered this as _ if I ever do eventually invest via Lendy _ it's likely my maximum loan limit if spread over a 15-plus tranche DFL loan would be under £100 per tranche. My thinking to have a zero balance and then was to use the pre funding option to select £100 but, once that trance went live and £100 had been allocated, only credit the account by the sub-£100 amount I actually wanted. That may not be within the spirit of the facility, but it's a situation of Lendy's making and not mine own. (Various other questions come into play such as how can I gauge how many tranches there will be _ which I can't know for certain _ but that would have to be proxied based on a calculation of the running LT(GD)V % .v. the max LT(GD)V %.)
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