ashtondav
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Post by ashtondav on Feb 19, 2019 8:44:43 GMT
5 year down at 4.6% right now for the dumb money...
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Post by faraday815 on Feb 19, 2019 12:20:06 GMT
My investment into the 1 year market was just paid back, a mere one week after I had placed it @5%. Genuine question - what is the point of a 1 Year market if it is has the option of the borrower paying back so quickly? Is this common?
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ashtondav
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Post by ashtondav on Feb 19, 2019 13:17:59 GMT
Everyone, everywhere, with most financial products can cancel within 14 days.
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cb25
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Post by cb25 on Feb 19, 2019 16:21:21 GMT
My investment into the 1 year market was just paid back, a mere one week after I had placed it @5%. Genuine question - what is the point of a 1 Year market if it is has the option of the borrower paying back so quickly? Is this common? It happens, but the good news is money has been matched at 5.5% on the 1yr today.
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cb25
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Post by cb25 on Mar 13, 2019 16:55:24 GMT
Just logged in (13/3 @ 16.55) and see the 1yr market showing last match at 8.0%!!! What's been happening?
Thread renamed from "1 Year market HAD £90K @ 6.0%"
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st182
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Post by st182 on Mar 13, 2019 17:05:51 GMT
i know the pain- had an early repayment to bung back on, logged in at 17:00- missed the boat!
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r00lish67
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Post by r00lish67 on Mar 13, 2019 17:14:53 GMT
i know the pain- had an early repayment to bung back on, logged in at 17:00- missed the boat! Yeah, but the 1-year market seems a bit of a basketcase all round. 99% of the time, you see a large sum, say £500k, queuing against very little. So you dutifully deposit cash, set your rate at something silly and lay back thinking 'this time next year, Rodney, we'll be millionaires!". The £500k then vanishes into thin air without apparently having been matched anywhere. So, I'm not sure chasing the 8% rainbows is ever actually worth it..but if someone wants to disagree, I'd be happy to learn how.
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cb25
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Post by cb25 on Mar 13, 2019 17:22:22 GMT
i know the pain- had an early repayment to bung back on, logged in at 17:00- missed the boat! Yeah, but the 1-year market seems a bit of a basketcase all round. 99% of the time, you see a large sum, say £500k, queuing against very little. So you dutifully deposit cash, set your rate at something silly and lay back thinking 'this time next year, Rodney, we'll be millionaires!". The £500k then vanishes into thin air without apparently having been matched anywhere. So, I'm not sure chasing the 8% rainbows is ever actually worth it..but if someone wants to disagree, I'd be happy to learn how. I've certainly been caught by that before. When I logged in a few hours back, there were a few £100,000 in the Borrower queue, enough to match all Lenders <= 5.5%, so I put a few £100 in at 5.5%, only to find later it went up to 8.0%. No doubt, if I'd positioned my money at 7-8% the borrower queue would have disappeared. Also, quite possible RS will repay the money in a few days, as that's happened to me before when the rate seems unduly high.
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bod
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Post by bod on Mar 13, 2019 18:25:08 GMT
I had an early repayment at just over 5% that I only lent a couple of days ago and when I logged in to look it had already been lent again at 8% (much higher than my reinvestment settings). Unfortunatley it was only £55, but shouldn't be greedy. Looks like quite a few lenders have joined the queue, or loans repaid and waiting to reinvest, since then and no more loans have been formed.
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benaj
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Post by benaj on Mar 13, 2019 18:54:48 GMT
I wonder what other reason could have caused the rate hike? Are people withdrawing money like the other platforms or not?
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Stonk
Stonking
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Post by Stonk on Mar 13, 2019 20:10:45 GMT
I wonder what other reason could have caused the rate hike? Are people withdrawing money like the other platforms or not?
The usual reason is an error. It happens from time to time on the 1 Year market. A large single borrower order appears at a seemingly random rate, higher than the lowest lender offers -- is that what happened today? Or did it correctly match all existing orders up to 8.0% as well?
There was one of these on 24 December at 8.9% for about £500K. None of the existing lender orders below it were matched, but those of us who spotted it piled in with new orders and it was gone very quickly. We all rubbed our hands in glee and then it repaid in full after 10 days (with only 8 days' worth of interest, mind you!). Obviously the placement of the order at 8.9% was an error which RS subsequently unwound. I doubt they will admit it officially ... "the borrower repaid", of course ...
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bod
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Post by bod on Mar 13, 2019 21:43:18 GMT
I think this order was for about £3.5k and there was only a small amount of money in the lending queue, all high rates before the loan was formed.
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smezz
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Post by smezz on Mar 13, 2019 23:55:08 GMT
This used to happen on the 5 year market when the lending money went low compared to the borrowing.
We called it 'crossing over' when the borrowing rate went higher than the lending one.
You could match immediately with new money but existing money was ignored.
They even sent emails to say 'great high rate' or somesuch to drum up more lenders.
Not seen it for about a year though I think.
If you search the old topics for 'cross over' you'll find it.
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sd2
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Post by sd2 on Mar 14, 2019 0:03:27 GMT
I was only 3 minutes to late...bugger! Is this going to still happen in the future, with the new system? IE is the new system going to block "mad" rates like this?
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benaj
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Post by benaj on Mar 14, 2019 8:29:19 GMT
....Or did it correctly match all existing orders up to 8.0% as well?
...
I am not an expert, but I have never set my rate to 8%, but yeah, it was a very short 8% loan back in Dec.
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