SteveT
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Post by SteveT on Oct 30, 2018 12:18:47 GMT
I rather suspect a distressed debt investor would want to buy out a loan entirely (or multiple loans), not be left with residual Lendy customers hanging from their shirt tails. My interpretation of " Any exit by lenders in those loans would, of course, be entirely voluntary" is that a majority vote to accept would suffice. I've read that to mean that it is up to each individual investor whether they accept an offer or not. The outcome of a vote is not a voluntarily decision but a majority decision. I totally accept your logic. I just doubt it would end up working that way in practice. For example, under the "individual choice" approach, who would be responsible for ongoing communications and/or financial transactions with the remaining Lendy customers? What obligations would the incoming buyer of the debt have to consult with / act in the interests of remaining Lendy customers?
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Carter
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Post by Carter on Oct 30, 2018 13:00:49 GMT
I welcome the information posted by Lendy Support last night and ask that they follow this up with a frank and formal communication to the lender base regarding the work they are doing across the loan book to protect our capital. There are numerous options that Lendy could consider and should explore on an individual loan basis and across the loanbook but the protection of lenders capital should be at the core of any options presented to lenders. We need to see the detail. Like others have posted let's cut the fluff and get back to brass tacks on communications regarding the actual business at hand. An update regarding staff changes and structure of the business is also due. On an aside I'm curious to know the level of assigned funding within the wealth products. People have commented that no new loans are being originated but how would we know if they are being pumped in to the wealth side. |
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ilmoro
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'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 Oct 30, 2018 13:25:18 GMT
That is a good point. Only the Exeter one is left though, is that correct? I thought there were a few PBLs as well... also there are 2 Exeter loans. PBL27, 31, 56 (residual), DFL001, DFL002.
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picnicman
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Post by picnicman on Oct 30, 2018 14:05:49 GMT
I welcome the information posted by Lendy Support last night and ask that they follow this up with a frank and formal communication to the lender base regarding the work they are doing across the loan book to protect our capital. There are numerous options that Lendy could consider and should explore on an individual loan basis and across the loanbook but the protection of lenders capital should be at the core of any options presented to lenders. We need to see the detail. Like others have posted let's cut the fluff and get back to brass tacks on communications regarding the actual business at hand. An update regarding staff changes and structure of the business is also due. On an aside I'm curious to know the level of assigned funding within the wealth products. People have commented that no new loans are being originated but how would we know if they are being pumped in to the wealth side. - agreed - it might answer some of the negative stuff above (or might not!). Regarding new loans, it may be that all focus is on sorting the existing loanbook, of which this new option might be a part - views above are that some of the existing lender base is unlikely to even consider supporting new loans until the current overdue loans begin getting sorted in earnest. Perhaps the monthly update on Wednesday will give us some further information, but whatever, lets hope that things improve for everyone tied up in the overdue loans at present? Cheers P
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invester
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Post by invester on Oct 30, 2018 14:32:55 GMT
The thing is with Wealth is that Lendy were boasting about having collected £1m.
It seems quite unlikely to me that they are putting loads of deals under Wealth. Unless we're talking single figure number of deals, there isn't the cash to fill them, and if these new deals were of superior quality, wouldn't an ideal way of placating existing customers would be to let them invest as well?
More open communication would be welcomed, but it just seems so unlikely. Modus operandi seems to be to disappear when difficult questions are asked or to simply ignore it and write fluff.
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Post by picanto on Oct 30, 2018 14:34:30 GMT
I think it's important that Lendy update all their investors on Lendy's own website as soon as possible about this recent article produced by the FT to reassure and clarify us on what is actually going on and the misinformation that (according to Lendy Support ) is in the article. There will be many people who read the FT online who have money invested in Lendy but never read this forum so will never read Lendy Support post last night. |
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rocky1
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Post by rocky1 on Oct 30, 2018 14:58:07 GMT
i believe lendy wealth money has gone into available DFLs including 160k into second charge loan that is not moving at all.this was why investor activity was modified.
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jeremy12
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Everything's frozen
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Post by jeremy12 on Oct 30, 2018 15:17:24 GMT
That makes sense of the change to "investor activity"
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Post by patright on Oct 30, 2018 16:13:50 GMT
yes and that's the problem, they also were not honest about the investor activity, they made up something about people complaining about their identity etc etc, when there were only one letter then xxx..seriously after being fed so much BS..of course you mistrust the company
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Post by cashmax on Oct 30, 2018 18:35:41 GMT
I think there is a real chance that Lendy will be bailed by another P2P business (or perhaps consortium). Lendy are not a small outfit and they have sealed their own fate with poor communication & due diligence and with, dishonesty and failure to crystallise loses. Regardless of the reality of the situation, they are not going recover their revenue because investors will be thin on the ground.
But, a failure of Lendy would be catastrophic for other P2P businesses, who live and die on market perception, this might well force their hand, because if Lendy fail, they all risk the same if there is a sudden run when investors panic and start withdrawing.
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jeremy12
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Post by jeremy12 on Oct 30, 2018 18:49:06 GMT
That does seem a sensible outcome for Lendy and it's lenders
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mary
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Post by mary on Oct 30, 2018 19:00:16 GMT
I think there is a real chance that Lendy will be bailed by another P2P business (or perhaps consortium). Lendy are not a small outfit and they have sealed their own fate with poor communication & due diligence and with, dishonesty and failure to crystallise loses. Regardless of the reality of the situation, they are not going recover their revenue because investors will be thin on the ground. But, a failure of Lendy would be catastrophic for other P2P businesses, who live and die on market perception, this might well force their hand, because if Lendy fail, they all risk the same if there is a sudden run when investors panic and start withdrawing. Unlikely, IMHO. The big boys have (mostly) managed to power through their mistakes. RS bought back ~£80m of problem loans, FC changed into a black box only to spread the damage from poor loans. Assetz have a few legacy issues, but they seem to have cleaned up and are now pointing in the right direction. Not sure about Zoopla as not been involved. Whilst a failure would be bad, Lendy are a (relative) minnow with £180m of money outstanding. FC + RS + Z + Assetz = ~£4B in current loans. There will always be failures along the road to success. Maybe some Lenders will exit having been burned, but most will probably live and learn and pivot to those remaining successful platforms.
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Greenwood2
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Post by Greenwood2 on Oct 30, 2018 19:04:33 GMT
I think there is a real chance that Lendy will be bailed by another P2P business (or perhaps consortium). Lendy are not a small outfit and they have sealed their own fate with poor communication & due diligence and with, dishonesty and failure to crystallise loses. Regardless of the reality of the situation, they are not going recover their revenue because investors will be thin on the ground. But, a failure of Lendy would be catastrophic for other P2P businesses, who live and die on market perception, this might well force their hand, because if Lendy fail, they all risk the same if there is a sudden run when investors panic and start withdrawing. I would think that extremely unlikely. I would think other P2P lenders will be distancing them selves from Lendy and how they operate. Some might be willing to take on good performing loans, but that would be it.
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Post by cashmax on Oct 30, 2018 19:24:57 GMT
I mentioned it because I recently closed my FC account and when they asked why I told them I thought P2P was over now. (This feedback was online)
They called the next day and asked me if I had invested with Lendy (with no mention of them from me) and this alone suggested to me that they are feeling some pain already.
Although the big 3 turn over many times that of Lendy, it's likely that Lendy will receive more publicity than them all in the coming weeks. To the average investor, P2P is P2P, so if Lendy can fail........
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p2p2p
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Post by p2p2p on Oct 30, 2018 19:46:48 GMT
I sold my FC holding last night. I've decided the p2p returns don't justify the DD on loans and the obligation to read forums like this. All credit to FC, they realised my holdings in 30 minutes. Its going to take longer to get out of my other p2p companies.
I'm going back to the stock market. I'm much happier being an index investor there.
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