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Post by vithca on Apr 4, 2019 11:41:42 GMT
I’d personally like to thank Mucho, he/she has spent a lot of time and effort doing research and offering some evidence based reassurance to those who were genuinely worried. I would like to add my thanks to Mucho, he has been one of the few calm and knowledgable voices throughout this fiasco.
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Post by magoo68 on Apr 4, 2019 11:52:47 GMT
Of course I wasn't criticising Mucho, what on earth makes you think I was......I wrote "Now if you assembled a list of those begging for a Mucho pm....", could I have been any clearer? Those people continually begging for something which was abundantly obviously not going to be forthcoming, ignoring what Mucho himself wrote......those people are imvho *mugs*!
Like others have said, the man himself has been a very welcome beacon of calm & good sense throughout this process, and I am immensely grateful for the time & trouble he has taken!!
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Post by takeshi on Apr 4, 2019 11:52:57 GMT
Let's call a spade a spade, it's a mug's list which is why it is so valuable. Lol! Actually, the people on that list are now generally more likely to be more cautious with their money; I certainly am. We learn from our mistakes; it is how we learn best. While this may be true for zccax77, overall it isn't. Boiler room operations, for example, famously sell on lists of mugs they've squeezed dry. The new company then uses the list to contact investors, offering to help rectify matters for a small "fee". A classic example being people who find themselves stuck in a time share, being rung up by someone who can supply an easy exit... That said it would be a criminal matter if the solicitors have left our list out of their control - so I wouldn't be too worried.
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Post by charliebrown on Apr 4, 2019 12:03:54 GMT
Of course I wasn't criticising Mucho, what on earth makes you think I was......I wrote "Now if you assembled a list of those begging for a Mucho pm....", could I have been any clearer? Those people continually begging for something which was abundantly obviously not going to be forthcoming, ignoring what Mucho himself wrote......those people are imvho *mugs*! Like others have said, the man himself has been a very welcome beacon of calm & good sense throughout this process, and I am immensely grateful for the time & trouble he has taken!! Why would you be grateful to someone who has taken the trouble to help mugs? Those mugs may have been people who “invested” a quid and were then told by LY the borrower might be coming after everything they’ve got. However unlikely YOU knew that was going to turn out to be, don’t forget that threats like that from an aggressive borrower do frighten some people.
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Post by magoo68 on Apr 4, 2019 12:14:11 GMT
I have no idea why you are attempting to twist everything I say, but ..... One last time, I found the steady stream of one post count people asking for a pm from Mucho to be ridiculous, as he didn't know them from Adam, he was most unlikely to go sharing any info with them that could in any way have been of interest to the other side. if he took time out to help people he felt were genuine, and he could offer some words of advice and comfort, well more power to his elbow Thats my last word on this CharlieBrown!
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Post by charliebrown on Apr 4, 2019 12:22:26 GMT
I have no idea why you are attempting to twist everything I say, but ..... One last time, I found the steady stream of one post count people asking for a pm from Mucho to be ridiculous, as he didn't know them from Adam, he was most unlikely to go sharing any info with them that could in any way have been of interest to the other side. if he took time out to help people he felt were genuine, and he could offer some words of advice and comfort, well more power to his elbow Thats my last word on this CharlieBrown! My last word too. When you put it like that I agree with you. wasn’t try to twist words, I misunderstood your point. Sorry.
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Post by staph on Apr 4, 2019 12:27:54 GMT
The list would be a list of risk takers with money - the idea of p2p is still good - bad valuations by professionals though - the law allowing testing of new things - the fca giving your assets to receivers have all been a little unpredictable .
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sl75
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Post by sl75 on Apr 4, 2019 12:27:58 GMT
Confirmation - Lendy DO mean this thread on this forum. Immediate reply from Lendy Customer Support to my question! Well if that's that case, perhaps Lendy Support would like to post a suitably redacted version of the update so that we know how much of it we are able to discuss and ask questions on in public?
Otherwise, it makes a very difficult job for forum members and moderators who don't know where to draw the line between information that must be kept confidential and information that may be discussed in public.
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Post by charliebrown on Apr 4, 2019 12:36:52 GMT
The list would be a list of risk takers with money - the idea of p2p is still good - bad valuations by professionals though - the law allowing testing of new things - the fca giving your assets to receivers have all been a little unpredictable . P2p is a great idea but has had very poor execution. The reason it’s had poor execution is that poor execution makes them more money than good execution. I’m actually struggling to think of another business where the worse they perform the more money they make. Obviously it’s not sustainable.
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Post by darkgen on Apr 4, 2019 12:37:56 GMT
Just to echo comments from few others. Mucho P2P has been an outstanding individual throughout this fiasco. From just after Christmas to this; I confess that letter spooked me significantly during family and downtime from work, culminating in a few hasty and likely anxiety ridden posts here. Thankfully cooler heads and a large dash of common-sense and pragmatism, offered by many posters here was just the tonic.
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adrianc
Member of DD Central
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Post by adrianc on Apr 4, 2019 12:42:17 GMT
P2p is a great idea but has had very poor execution. The reason it’s had poor execution is that poor execution makes them more money than good execution. I’m actually struggling to think of another business where the worse they perform the more money they make. Obviously it’s not sustainable. Lemme get this straight here... You're suggesting that having sizable loans go pop, borrowers bringing court cases to prevent the security being enforced, and launching court cases to enforce guarantees to try to recover the money lent... is actually BETTER for business than having the loans repay in a timely manner? Sorry, but you are going to have to explain that one to me, because I really don't even begin to understand where you're coming from with it.
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Post by robberbaron on Apr 4, 2019 14:15:34 GMT
When your capital is not at risk and yours fees are taken upfront (even if some of it is then paid out monthly) your incentive is volume not quality. It's an excellent business model and by the time the defaults start mounting you're already rich.
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Post by charliebrown on Apr 4, 2019 15:51:14 GMT
When your capital is not at risk and yours fees are taken upfront (even if some of it is then paid out monthly) your incentive is volume not quality. It's an excellent business model and by the time the defaults start mounting you're already rich. Yep, that was my point. As well as the fact that they make more money from those loans that have been left in default for years than they do from loans that repay on time.
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delboy
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Post by delboy on Apr 4, 2019 17:16:59 GMT
Confirmation - Lendy DO mean this thread on this forum. Immediate reply from Lendy Customer Support to my question! Well if that's that case, perhaps Lendy Support would like to post a suitably redacted version of the update so that we know how much of it we are able to discuss and ask questions on in public?
Otherwise, it makes a very difficult job for forum members and moderators who don't know where to draw the line between information that must be kept confidential and information that may be discussed in public.
Good point. But is there not a massive irony here? Lendy in one breath complaining that people take to forums such as this to complain about their terrible performance and subsequent treatment of investors, yet in the next breath advise us that the way to ask questions and feedback on a sensitive legal case is to drop random posts into the very same forum they decry. Perhaps if Lendy had been more proactive and informative in their comms, the contributions to this forum would have been slightly less critical.
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sydb
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Post by sydb on Apr 4, 2019 17:57:10 GMT
You're suggesting that having sizable loans go pop, You accrue more interest the longer a loan is outstanding. Add penalty interest if payments are not paid in time. Set your interest rates a little higher than most lenders and include large arrangement fees, etc, and you will naturally attract the riskier borrowers. Not desirable (interestingly, a loan agent's interests and lenders' interests are probably most aligned while this happens) It is a necessity of the suggested business model. At the outset, you do your best to ensure your legal position is sound for taking possession of the property security after default. Arrange it so the recovery legal fees are all paid from the recovered funds as one of the priority payments. If you can self generate some more fees or have a relationship with a recovery agent, all the better. Having borrowers take you to court to prevent recoveries is not what you want so you only lend to those with no money but a bit of property security. The real value of the security does not have to cover the capital donated by the lenders and maximising valuations in any way you can is good so that you can put more capital at risk to make more interest for yourself. That's your DD. You choose borrowers who are unlikely to be able to pay you back to increase likelihood of default. You may want to try to abort quickly if you find out that a borrower might have some way of preventing security possession or is stronger than you thought. In the end, so long as all shortfall, your costs and fees can be deducted from the capital returned to lenders you win. Time the recovery to maximise accrued interest but make sure the security sale will cover all your costs and interest. Make sure you go for as long as possible before stating any loan is in default as that will put off lenders. Of course, there will come a time when the business model is seen for what it is and the reputation of the company will plummet. Try to avoid all regulatory oversight; you do not want FCA regulation - don't get greedy. The above is purely hypothetical; I am not suggesting this is how Lendy operates or has ever operated. Obviously, the business model would not work for loans without security.
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