criston
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Post by criston on Feb 29, 2020 21:15:25 GMT
Was this a test to see if we could work it out.
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Post by natasha1 on Feb 29, 2020 21:17:55 GMT
Not at all. But no one, including myself, could work out where the missing figure came from
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Post by natasha1 on Feb 29, 2020 21:23:26 GMT
richv you are a genius, I think you are absolutely spot on! Thank you. Ace thank you, I must have withdraw £40,275.41 over many small withdrawals. Phew, glad we got to the bottom of it. You could confirm it by adding up all the withdrawals in your bank statements, or by adding up all the withdrawals in your FC transaction statements. They should both add up to the £40,275.41. 😊 Is my interest then 4.75% or 6.5%?
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richv
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Post by richv on Feb 29, 2020 21:24:22 GMT
Sorry Natasha, but no, if the other numbers are correct you have withdrawn a total of £40,275.41. (Unless I'm still not understanding you 😩) richv you are a genius, I think you are absolutely spot on! Thank you. Ace thank you, I must have withdrawn £40,275.41 over many many small withdrawals. No problem its been fun trying to work out what the missing thing was, like a game of so-do-ko or what ever its called. For the record, i stand my my early assertion that you will 'probably' end up with a small profit, but its unlikely to be much more than you would have got in a bank saving account, and may not be be in your hand much before 2027. Going forward the about that is available to withdrew each week is likely to drop, (less invested so less interest, and the short 12 month lones will soon all be repaid) While its also probably that your defaults will increase, so the interest rate on the front page will go down. (if defaults increase a lot, it may even go negative) you could be selling your lones for 18 months or more, and 'defaults' will grow though that time and for a bit after, but as the recoverys will carry on for longer it will go up a bit after that. And don't forget to log in on or soon after 12 April to re-start selling.
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richv
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Post by richv on Feb 29, 2020 21:26:22 GMT
Phew, glad we got to the bottom of it. You could confirm it by adding up all the withdrawals in your bank statements, or by adding up all the withdrawals in your FC transaction statements. They should both add up to the £40,275.41. 😊 Is my interest then 4.75% or 6.5%? The 6.5% will be accurate, as there was less money in the account than we thought for about half a year.
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criston
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Post by criston on Feb 29, 2020 21:32:43 GMT
Not at all. But no one, including myself, could work out where the missing figure came from Must admit after your first post I was about to ask if you were jesting. All the same, it's rather strange that you were not aware that you had withdrawn 100% or £20k more than you thought & at the same time thought you were about to lose a large sum of money.
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Post by Ace on Feb 29, 2020 21:43:18 GMT
Is my interest then 4.75% or 6.5%? The 6.5% will be accurate, as there was less money in the account than we thought for about half a year. As rich said, your true return to date is likely be closer to the 6.5% figure. Though, as I said before, I don't think FC take account of your cash drag (the cash that lay idle in your account while it was waiting to get invested, and any cash that lay idle in your account before you withdrew it), so the true return to date will be a bit lower than FCs started 6.5%. It won't be as low as my calculated 4.75% because I couldn't take account of your withdrawals as I didn't have the amounts and dates of each withdrawal. I'd be happy to calculate the true XIRR to date for you if you supply me with all of the deposit amounts with dates and all of the withdrawal amounts with dates. Or, you could Google how to do it, it's not too tricky. You won't be able to calculate your final return until all of your loans have been sold or finished and all of your defaults have been concluded. As someone else said, that's likely to be at least 7 years away. And as we all seem to agree,c you will probably end up with a small overall profit. Only you can say whether it was worth the hassle for you.
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benaj
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Post by benaj on Feb 29, 2020 22:41:01 GMT
Are you saying that all my withdrawals added together would the number that would replace the ? in the following equation. £100,500-(£65,107.35+£20,764.22+ ?) = £98,963.00 Q.3. does the £20,764.22 include the £4,782.83 of interest received so far?
Q.4. I thought the amount received of £20,764.22 included my withdrawals, is that not the case?
According to FC, Amount Received on the "selling your loan parts" screen After receiving £20,742.22 from the FC selling tools, the £4782.82 is your net earnings since you joined FC. Your net earnings (£4782.82) can be found on the summary page. Net earnings = Interest paid by borrowers (£8138) - net transfer payment (£114) - FC fees (£778) - defaults (£2508) + recoveries ( 46) I assume £20,742.22 is not your withdrawal unless you hit the WITHDRAW buttom on the transfer out page www.fundingcircle.com/transfers/bank_accounts
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Post by natasha1 on Mar 1, 2020 0:10:50 GMT
Is my interest then 4.75% or 6.5%? The 6.5% will be accurate, as there was less money in the account than we thought for about half a year. I'm quite happy if it stays at 6.5% to be honest with what's happened on the stock market in the past week! My FC ISA account is not doing so well but still making an annualised return of 4.9% as of 29/02/20, I can't complain. Let's hope FC doesn't fold in the next 7 years then! I wish I had put this money in Ratesetter, at least I would have accessed the money a little sooner. What happens after 5 years? Does FC not chase the defaults any more for you? What happens to the bad loans?
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Post by Ace on Mar 1, 2020 8:42:55 GMT
The 6.5% will be accurate, as there was less money in the account than we thought for about half a year. I'm quite happy if it stays at 6.5% to be honest with what's happened on the stock market in the past week! My FC ISA account is not doing so well but still making an annualised return of 4.9% as of 29/02/20, I can't complain. Let's hope FC doesn't fold in the next 7 years then! I wish I had put this money in Ratesetter, at least I would have accessed the money a little sooner. What happens after 5 years? Does FC not chase the defaults any more for you? What happens to the bad loans? There's no fixed time for how long your defaults will drag on for, but after 5 years the amount dribbling in compared to your original capital will be so small as to have virtually no effect on your overall return. It's way too early to say what your final return will be as it will depend on how many more defaults you will get.
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Post by Badly Drawn Stickman on Mar 1, 2020 9:49:40 GMT
The 6.5% will be accurate, as there was less money in the account than we thought for about half a year. I'm quite happy if it stays at 6.5% to be honest with what's happened on the stock market in the past week! My FC ISA account is not doing so well but still making an annualised return of 4.9% as of 29/02/20, I can't complain. Let's hope FC doesn't fold in the next 7 years then! I wish I had put this money in Ratesetter, at least I would have accessed the money a little sooner. What happens after 5 years? Does FC not chase the defaults any more for you? What happens to the bad loans? Assuming you are actively selling, your fees will almost certainly eliminate most if not all future interest and subsequently start to erode your current level. The 6.5% is merely a snapshot of today. You are effectively paying 1.5% of your capital in exchange for the comfort of reducing risk (over the selling time) I can only think of one forum member who seems to be suggesting investing more with FC makes any sense (even he fluctuates). However there is a argument for winding down organically in some cases, I do seem to be alone in that thought in truth. I take the view you are paying to sell your loans in a best to worst order. Individual circumstances should play a bigger part of the rational, there currently seems to be a herd mentality shepherded by jilted lovers. If anybody understands the above could they explain the lyrics of 'A whiter shade of pale' to me.
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criston
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Post by criston on Mar 1, 2020 11:19:33 GMT
The 6.5% will be accurate, as there was less money in the account than we thought for about half a year. I'm quite happy if it stays at 6.5% to be honest with what's happened on the stock market in the past week! My FC ISA account is not doing so well but still making an annualised return of 4.9% as of 29/02/20, I can't complain. Let's hope FC doesn't fold in the next 7 years then! I wish I had put this money in Ratesetter, at least I would have accessed the money a little sooner. What happens after 5 years? Does FC not chase the defaults any more for you? What happens to the bad loans? This will give you an idea how it will end up. My relatives built up £310k with FC, between them, during 2018. They became disillusioned early 2019 & thought they would do a controlled exit, which after 2 months became uncontrolled due to the extending sell time. Now there is just £23 capable of being sold. The accounts show average 2% return, £28050 interest after fees, £25212 defaults with £1127 recoveries to date. The overall gain to date is £3965. If the recoveries get to the average 40%, which is questionable, there should be a further £9000 returned over the coming years.
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criston
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Post by criston on Mar 1, 2020 11:28:45 GMT
Round 10 sale of 27/2/20 just gone through. The £23 mentioned on my previous post.
Round 11 about to start.
For newcomers, all sales are listed on page 1 of this thread.
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Post by natasha1 on Mar 1, 2020 11:37:50 GMT
If you are actively selling, which comes at an extra cost of 1.25% for liquefying your loans sooner, does it mean you potentially sell some loans before they might have defaulted? Of course you are also selling plenty of 'good' loans from 'good' borrowers who paid back on time.
Who is actively selling? I am.
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bernythedolt
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Post by bernythedolt on Mar 1, 2020 15:41:37 GMT
12/12/19 bernythedolt : sales on 13/2/20, 23/2/20 and 28/2/20. Thanks criston
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