m2btj
Member of DD Central
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Post by m2btj on Nov 9, 2020 16:31:33 GMT
Can anyone do some fag-packet calculations of how the laird is doing in all this? He'll be doing ok if he's a pal of Boris! He's handing out cash like Smarties at a children's party!
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sgb
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Post by sgb on Nov 18, 2020 10:14:25 GMT
I hold this in the MLIA account.
I asked whether they will report this loan in the “Loans in recoveries” part of the statement so I can at least claim tax relief on the loss.
They insisted that they will not, because a “full and final settlement has been agreed”, ignoring the fact that the settlement will not repay the loan in full.
Surely this is not right?
I wonder if they are doing the same for their reporting of default and loss statistics, which would mean they are pretending this loan has been repaid in full...
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Post by bracknellboy on Nov 18, 2020 10:23:18 GMT
I hold this in the MLIA account. I asked whether they will report this loan in the “Loans in recoveries” part of the statement so I can at least claim tax relief on the loss. They insisted that they will not, because a “full and final settlement has been agreed”, ignoring the fact that the settlement will not repay the loan in full. Surely this is not right? I wonder if they are doing the same for their reporting of default and loss statistics, which would mean they are pretending this loan has been repaid in full... Have u instead tried asking them under which category in the statement they will be listing it in order to allow identification of the capital loss. Perhaps that would get a more useful response.
It is logical that it is not include in "Loans in Recoveries" since ....it is not in recovery, and presumably is deemed to have gone into recovery and completed recovery in the same tax year (or in fact never gone into recovery as a settlement was agreed without getting to that point maybe).
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cb25
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Post by cb25 on Nov 18, 2020 10:23:28 GMT
I hold this in the MLIA account. I asked whether they will report this loan in the “Loans in recoveries” part of the statement so I can at least claim tax relief on the loss. They insisted that they will not, because a “full and final settlement has been agreed”, ignoring the fact that the settlement will not repay the loan in full. Surely this is not right? I wonder if they are doing the same for their reporting of default and loss statistics, which would mean they are pretending this loan has been repaid in full... One reason for AC not declaring the loss is probably down to the Borrower stating they aim to make payments under a 'profit share' arrangement (as detailed in most recent lender vote).
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Post by bracknellboy on Nov 18, 2020 10:37:54 GMT
I hold this in the MLIA account. I asked whether they will report this loan in the “Loans in recoveries” part of the statement so I can at least claim tax relief on the loss. They insisted that they will not, because a “full and final settlement has been agreed”, ignoring the fact that the settlement will not repay the loan in full. Surely this is not right? I wonder if they are doing the same for their reporting of default and loss statistics, which would mean they are pretending this loan has been repaid in full... One reason for AC not declaring the loss is probably down to the Borrower stating they aim to make payments under a 'profit share' arrangement (as detailed in most recent lender vote). While that is a good point, isn't that in fact more of a reason why, rather then declaring it as a final loss, they should in fact put it into a category if "Put into Recovery" but also then include the current settlement/recovered number in the 'recovered this year number".
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ilmoro
Member of DD Central
'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 Nov 18, 2020 10:40:07 GMT
I hold this in the MLIA account. I asked whether they will report this loan in the “Loans in recoveries” part of the statement so I can at least claim tax relief on the loss. They insisted that they will not, because a “full and final settlement has been agreed”, ignoring the fact that the settlement will not repay the loan in full. Surely this is not right? I wonder if they are doing the same for their reporting of default and loss statistics, which would mean they are pretending this loan has been repaid in full... Its probably something that would need to be taken up with HMRC or a tax advisor as it is not an obvious case under the legislation ie the loan never entered legal recovery. I suspect that AC are probably right that by lenders agreeing a settlement they have placed a market value on the loan, even if this is at a loss, and loss relief doesnt apply. The same is true if you buy an irrecoverable loan, you as the purchaser are not eligible for loss relief on any subsequent loss. (One reason why trading in irrecoverable loans is complicated) Its an interesting point and will be relevant to some loans on Lendy & FS - interestingly Lendy seem to have taken a different approach (quel surprise) While they refused to apply the same criteria to loans as every other platform and declare loans in legal recovery as losses, they did declare losses for two loans where there was shortfall after settlement was reached with the borrower (even at the time manipulating statements to generate a capital loss rather than an interest shortfall) I suspect the loss can probably be claimed against capital gains as with all other losses where there is no specific regulations permitting claims against income. Again advice will need to be sought. None of this advice, merely speculative thinking.
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jlend
Member of DD Central
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Post by jlend on Nov 18, 2020 11:21:47 GMT
Here is a summary of the "advice" I have been given. As always I would not take this as gospel and do your own research as you may get different "advice" of course.
SAIM 12050 has some wording on:
When does a peer to peer loan become irrecoverable?
When is a peer to peer loan treated as irrecoverable?
I have been told these sections should be read independently. The words "become" and "treated" are in italic and refer to different situations.
"Treated" as irrecoverable enables you to claim relief earlier when the loan is in legal recovery.
"Become" irrecoverable - either the platform or the lender needs to show their is no reasonable prospect of recovery. You can make a judgement call as to whether there is plenty of information to back this up in the vote text. If you decide there is sufficient information then you can claim the relief.
SAIM12050 wasnt meant to limit loss relief just to loans in recovery. It was meant to help claim relief earlier, although obviously with the understanding that it may need to be paid back.
As I said you may get different advice from different people. Unfortunately that is often the nature of advice...
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Post by investor01010101 on Dec 15, 2020 7:21:29 GMT
Anyone know how the Laird is doing? He and their biggest loan ever seem to have completely disappeared from the F2F website.........its as if he never existed ??
I can only assume he has failed on repayment 1 or 2 and is already creating a web of confusion to refinance the loan lol
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Post by gramsky on Dec 16, 2023 12:17:36 GMT
I think we were supposed to have had an update on this loan yesterday 15 December. They have had 6 months to prepare for it. Must have slipped their memory!
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Post by brightspark on Dec 16, 2023 15:09:34 GMT
I have given AC a nudge myself. Perhaps we shall hear something next week in the way of hand wringing and a further sob story.
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Post by crabbyoldgit on Dec 16, 2023 15:24:27 GMT
My understanding is that most of folk to folk lenders are farming types , you know the shot gun and pitchfork waving types , hopefully .
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Post by gramsky on Dec 20, 2023 12:21:25 GMT
I have given AC a nudge myself. Perhaps we shall hear something next week in the way of hand wringing and a further sob story. I was informed today that they are working on an imminent update now.
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Post by brightspark on Dec 21, 2023 11:38:07 GMT
Watching AC loans progressing to completion is very similar to watching paint dry D------- M------- being one of them. Excuses vary from there are wars on to lord knows what with everything in between. If Building Societies have as much trouble with their borrowers I would not work in that industry for all the tea in China. I feel very sorry for those with significant sums locked up as I can only surmise that with nods and winks AC is happy for ad infinitum loan extensions.
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rscal
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Post by rscal on Dec 21, 2023 15:26:48 GMT
Watching AC loans progressing to completion is very similar to watching paint dry D------- M------- being one of them. Excuses vary from there are wars on to lord knows what with everything in between. If Building Societies have as much trouble with their borrowers I would not work in that industry for all the tea in China. I feel very sorry for those with significant sums locked up as I can only surmise that with nods and winks AC is happy for ad infinitum loan extensions. We have such a collection going here that, one of our more punctilious members might find it fruitful to compile ALL the various disasters into a [non-sensational] factual summary of these loans as a sort of unofficial history of this Peer to Peer website/organization. After all, putting information in one place is very useful for context and subsequent understanding. We only get a partial view (and presumably the company prefers we do) of all its mistakes - in the broadest meaning of that word. ilmoro here's looking at Euclid
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iann
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Post by iann on Jan 8, 2024 20:28:31 GMT
I have given AC a nudge myself. Perhaps we shall hear something next week in the way of hand wringing and a further sob story. I was informed today that they are working on an imminent update now. Still no update from AC
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