blender
Member of DD Central
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Post by blender on Sept 18, 2018 12:07:15 GMT
I did suggest to FC some years ago that they provide the facility to pass your zombie loans to a charity account that would pay out to a selection of charities nominated by the donors. I remember that suggestion and thought it excellent. The trouble is that it provides a solution to a problem which FC would not wish to publicise. After the flotation the plc might be more receptive to ideas with clear public benefit.
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SteveT
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Post by SteveT on Sept 18, 2018 15:38:04 GMT
I did suggest to FC some years ago that they provide the facility to pass your zombie loans to a charity account that would pay out to a selection of charities nominated by the donors. I remember that suggestion and thought it excellent. The trouble is that it provides a solution to a problem which FC would not wish to publicise. After the flotation the plc might be more receptive to ideas with clear public benefit. I managed to persuade both LC and ReBS to do exactly that, so I could be rid of a couple of residual zombie loans I'd otherwise have been stuck with for years to come. Glad I no longer need to log-in periodically to find nothing has happened!
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justme
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Post by justme on Sept 19, 2018 16:27:59 GMT
All these return numbers- have you calculated them after checking what you actually can sell and withdraw or is it what your dashboard says?
I have just sold out all I could after 18 month and in that time I had about 5% interest
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Post by markaldrich on Sept 19, 2018 17:46:32 GMT
My money has been in the stock market on medium risk well diversified and I’ve got less than 4% in the same period
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bigfoot12
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Post by bigfoot12 on Sept 19, 2018 22:12:10 GMT
All these return numbers- have you calculated them after checking what you actually can sell and withdraw or is it what your dashboard says? I have just sold out all I could after 18 month and in that time I had about 5% interest It is up to you how you work it out - it depends on what you are comparing it with. When I work out my numbers for FS or TC I have 2 and 4 defaults respectively so I just apportion a recovery percentage for each of them. On FC I have too many to bother doing this as my investment on FC used to be much larger and in smaller chunks. If I hadn't pulled everything out I would have valued loans I can sell at 100% and added on the accrued interest for these loans, I would have valued at about 80% of face loans that were late processing and 30% of face loans that are in default. But there isn't much science behind those numbers.
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Post by df on Sept 19, 2018 22:49:55 GMT
Hopefully it worked I added my current position at FC. The 3.5% return seems to go down ever time I login (a year ago it was showing 9 ish percent). To be fair its probably due to me cashing out all the loans I could and leaving the under performing ones but neverthless my understanding is that this 3.5% is the rate I've received per annum for all 5+ years I've been in FC. At the current rate, this 3.5 is on track to turn negative by the end of the year ! Very similar to mine. Gross yield - 12.6%, annualised return - 4% (went up from 3.9% yesterday, but next default or two will bring it to 3.5%), estimated return - 8.4%. A year ago was one day after FC went "fully-automatic" - my return was somewhere near 9% then.
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Post by df on Sept 19, 2018 23:32:31 GMT
You can watch the total funds number grow slowly, but you can never take it all out. You can check [it] out any time you like, but you can never leave... Like Royston Vasey  No chance of leaving. If I withdraw now I will get 90% of my current holding back, but there will never be full recovery of 10% left there. So far my recovery rate is 2%.
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Post by df on Sept 19, 2018 23:51:12 GMT
Thanks yes have a little with LC but platform risk due to its size worries me a little more In my observation "smaller size" generally works better in terms of actual returns. My return from LC is more than twice what I get from FC. Communication is also much better.
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Post by captainb on Sept 20, 2018 12:39:35 GMT
My FC also dropped steadily to 3.5%
So many defaults its ridiculous. Guarantors incommunicado, bankrupt or dead. Recoveries 1%.
Then they ask me why I,m withdrawing funds?
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zccax77
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Post by zccax77 on Sept 20, 2018 15:52:40 GMT
I am just in the process of removing 380k from these clowns, returns this year have been <3%. Still 22k I cannot seem to release due to lates and other nonsense. I was doing ok return wise before, but in the last 12 months the defaults have been crazy. I will be shorting their shares in a few weeks time post IPO.
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Post by wangja on Sept 21, 2018 0:59:04 GMT
I am just in the process of removing 380k from these clowns, returns this year have been <3%. Still 22k I cannot seem to release due to lates and other nonsense. I was doing ok return wise before, but in the last 12 months the defaults have been crazy. I will be shorting their shares in a few weeks time post IPO. Not as to amount chucked in, but very similar percentages for me. My total has been falling with every Thursday that passes. I was, like you, quite happy when selection was in my control and indeed doing quite nicely on the SM. But now:- Gross yield: 13.2% Annualised return (after fees and bad debts): 2.5% Estimated fully diversified return (after fees and bad debts): 8.3% 2.5%? Really?
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r00lish67
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Post by r00lish67 on Sept 21, 2018 8:01:39 GMT
The reason I don't invest with FC (aside from some legacy property wind-down ongoing) is that the difference between a dire return and a good return really comes down to their recovery performance. I've heard, and can believe, that FC are now quite good at recovering loans. Your low numbers may eventually be much better in the fullness of time. However, the process still takes years, and meanwhile: a) I need to know my investments are performing well. How am I supposed to know how they're doing without just waiting several years? Trust Funding Clowns? Don't think so. b) I can't honestly be fadged waiting for several sets of pennies to arrive months/years down the line, and it also makes tax reporting irritating. So: FC, Zopa, Assetz GBBA/PSA out. Those products that deal with all that nonsense themselves, in: RS, LW, Assetz QAA. Probably a whole 'nother kettle of fish, but regardless of target return/provision fund approach, if we're facing a fairly marginal proposition now, what about in a recession?  |
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Post by df on Sept 21, 2018 17:25:53 GMT
I am just in the process of removing 380k from these clowns, returns this year have been <3%. Still 22k I cannot seem to release due to lates and other nonsense. I was doing ok return wise before, but in the last 12 months the defaults have been crazy. I will be shorting their shares in a few weeks time post IPO. Not as to amount chucked in, but very similar percentages for me. My total has been falling with every Thursday that passes. I was, like you, quite happy when selection was in my control and indeed doing quite nicely on the SM. But now:- Gross yield: 13.2% Annualised return (after fees and bad debts): 2.5% Estimated fully diversified return (after fees and bad debts): 8.3% 2.5%? Really? It looks like similar picture for everyone who was focussing on C-D loans prior to change in Sept last year. I wonder if there is anyone in this forum who started a year ago and set auto investment to "conservative" and could report their figures? I still have money "working" in FC and had a thought to switch to "conservative", but don't know how effective it is.
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Post by df on Sept 21, 2018 17:32:56 GMT
All these return numbers- have you calculated them after checking what you actually can sell and withdraw or is it what your dashboard says? I have just sold out all I could after 18 month and in that time I had about 5% interest Have to go with dashboard figure. What you couldn't sell will drag your 5% interest down, but you won't know by how much probably for years to come.
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Post by markaldrich on Sept 21, 2018 21:48:44 GMT
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No chance of leaving. If I withdraw now I will get 90% of my current holding back, but there will never be full recovery of 10% left there. So far my recovery rate is 2%. 
