ashtondav
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Post by ashtondav on Feb 13, 2020 18:16:38 GMT
But you see, that's just it. Many of us in p2p have no intention of liquidating our investment. We are investing for an income stream. So, in the same way as my investment trusts "lost" 30% in 2008 (much more than any punter in the top 4 p2p sites), my dividend income increased. Now I totally agree that FC is not the nicest place to be if you do need to liquidate assets, but that's not a (short term) issue for many of us. I do concede that the 2.8% received in 2019/2020 is unagreeably less the the 6% i made in 2018, but my overall annual return of 4.4% beats most alternatives.
Thank goodness you are not in the M&G Property fund - not been able to sell ANYTHING for months. But the dividends are still being paid.
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Post by bernythedolt on Feb 13, 2020 18:52:14 GMT
Not wishing to antagonise, but surely 4.4% is an appalling return, given the risk to your capital all that time? Wouldn't some secure FSCS-backed investments have come close to that figure? I recall having worry-free 5yr fixed ISAs running in the 3% to 4% area in recent times, even one at 5% shortly before that. Personally I would always trade a couple of percent to sleep soundly at night and P2Ping at 4.4% is dreadful in the risk/benefit stakes. Good job we're all different! EDIT: Sorry, this was meant for ashtondav
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criston
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Post by criston on Feb 13, 2020 19:24:34 GMT
It appears some of our loans are no longer dead; it doesn't seem right but a sale today for our 7/1/20 request date.
A 3 month movement in one day ?
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Post by robdmarh on Feb 13, 2020 19:46:59 GMT
Ah... ok so you're using it like a dividend paying stock. How does that work when Funding Circle keeps you constantly invested? When I looked at my available funds in December 2019 they were a few quid, can't remember how much but in low two figures. The rest was all in live loans and with late payers. Is there a setting that I'm missing where you can get income paid to you from your loans?
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Post by robdmarh on Feb 13, 2020 20:10:22 GMT
Quote from Dees: (2) Capital + Interest - Fees - Defaults + Recoveries = 100% plus a little.
What do you base this prediction on? Surely this is just wishful thinking given FC's inability to properly vet the credit worthiness of borrowers and unwillingness to go after defaulters.
100% plus a little - not really sure what that means - but do you think this is a good return after years of anxiety about whether you'll even break even? And all this from a delightful firm that ran adverts boasting high returns and dressing themselves up as savings to attract the naive and inexperienced!
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ashtondav
Member of DD Central
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Post by ashtondav on Feb 13, 2020 21:26:46 GMT
Not wishing to antagonise, but surely 4.4% is an appalling return, given the risk to your capital all that time? Wouldn't some secure FSCS-backed investments have come close to that figure? I recall having worry-free 5yr fixed ISAs running in the 3% to 4% area in recent times, even one at 5% shortly before that. Personally I would always trade a couple of percent to sleep soundly at night and P2Ping at 4.4% is dreadful in the risk/benefit stakes. Good job we're all different! EDIT: Sorry, this was meant for ashtondav No. 1.4% in top paying off marcus instant access. 2% FSCS over 5 years. you’re creaming it at 4.4%
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Post by bernythedolt on Feb 13, 2020 21:37:13 GMT
Fair enough. I'm probably wrong, but I'll stick with my unit trusts and their annualised return which beats 4.4% handsomely. I don't need any more excitement at my age! PS. It's a bit unfair to compare an instant access account with FC! RS maybe...
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Post by robdmarh on Feb 13, 2020 22:43:24 GMT
"my guess of your experience to date that you refuse to share despite waxing lyrical about FC and asking others to share their experience" I haven't refused to share anything about my experience with FC. If you look at my posts here I've laid bare my whole experience with the platform. I'm not sure quite what you mean by "being stuck in the March 2018 cohort for 22 months". I stated very clearly that I wasn't stuck anywhere but just unaware on the sidelines about how badly Funding Circle was doing until I read almost unanimous voices in the press that it was looking like a very bad bet! It was then that I decided to get out and I've put all the numbers I've got since then above. I must say I don't really get your position that you think I'm not coming clean about something or have an agenda with other users of this forum...
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keitha
Member of DD Central
2024, hopefully the year I get out of P2P
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Post by keitha on Feb 14, 2020 9:33:38 GMT
Ah... ok so you're using it like a dividend paying stock. How does that work when Funding Circle keeps you constantly invested? When I looked at my available funds in December 2019 they were a few quid, can't remember how much but in low two figures. The rest was all in live loans and with late payers. Is there a setting that I'm missing where you can get income paid to you from your loans? Turn Lending Off, all principal payments and interest then becomes cash in your account you can withdraw.
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benaj
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Post by benaj on Feb 14, 2020 9:55:16 GMT
No love from FC? When's the 9th round sale?
Update: Oh, I've just spotted a sale.
14 or less to go.
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keitha
Member of DD Central
2024, hopefully the year I get out of P2P
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Post by keitha on Feb 14, 2020 10:06:14 GMT
I don't want to pour cold water on your relatively positive outlook with FC but have you thought about what would happen if you tried to liquidate your investment? I'm sure that first of all, like me, the amount of your investment available to sell would be minus a big chunk of your £25k. This would be tied up in late and "processing" loans. Then there is the question of the liquidity of of the market which basically has severe constipation and shows no signs of being relieved any time soon. I had a previous investment with FC from 2013 to 2028 which went well, but it was a different market then, different macro economic conditions and I think they were basically better managed. I've noticed a change for the worse I'm afraid. YOU really haven't read this thread have you ! I am in the process of liquidating, and yes its taking longer than I expected. ( personally I started to get out when I found I'd purchased a couple of loans on the secondary market that went bad within a week of me being "given" them, and FC's attitude was it's just bad luck ) but even if all my "lates" go bad, and I get no more interest etc before April, I would still make £400 this year. Since the start of November I've withdrawn about 20% of my investment in repayments and sales ). Just because a debt goes bad it's not a write off, for example loan 66300 went bad in October, It's already fully recovered ( I've had 105% of that one returned ) Of my other bad debts 4 are making regular payments, and 10 ( so 40% ) are bad since start of November, and its really to early to see much progress on those. I get a feeling you are one of those people who thought P2P was just like putting money in the bank ( no risk ) but with higher interest rates. But I'd love to analyse your portfolio to see how over a period you expect only a 75% return on your investment. As I see it you must be expecting at least a 35% bad debt rate, with 0 recoveries which either makes you very unlucky or ...
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Post by robdmarh on Feb 14, 2020 10:06:56 GMT
My earnings from my classic account from Feb 2013 to Feb 2018 were about £1500, a return of 6.2% which was pretty good. From my ISA account of £11,250 my projected earnings are currently 2.6% but I don't see how this is going to be achieved given the rise in defaults.
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lewis
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Post by lewis on Feb 14, 2020 13:11:24 GMT
I had a sale round yesterday. Thanks
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keitha
Member of DD Central
2024, hopefully the year I get out of P2P
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Likes: 2,313
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Post by keitha on Feb 14, 2020 13:43:28 GMT
@christon 2 parts 1.3% sold in last 10 mins, so for me that's 10 days between sales oh and due to lates catching up I'm possibly one of a select few who could relist for more than previous even after a sale
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Post by jagman on Feb 14, 2020 16:47:37 GMT
Sold 1.3% of sale requested 14/7/19 on 5 Feb in 8th round Sold 1.7% of sale relisted 22/1/20 on 3 Feb and 1.3% on 14 Feb, 8th and 9th sale Sold 1.02% of sale requested 23/9/19 on 11 Feb in 8th round
Thanks for keeping this going.
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