revvy
Posts: 17
Likes: 24
|
Post by revvy on Apr 26, 2019 16:47:24 GMT
|
|
|
|
Post by eascogo on Apr 26, 2019 17:15:41 GMT
|
|
bugs4me
Member of DD Central
Posts: 1,845
Likes: 1,478
|
Post by bugs4me on Apr 27, 2019 7:45:04 GMT
This was always the biggest threat to P2P and whilst many forum contributors have taken a dim view towards those that have posted negative thoughts/experiences regarding LY - believing those posts may bring the platform down the reality is that the vast majority of P2P lenders/investors do not read this forum.
It's extremely unfortunate that LY failed to see that their actions, or lack of, would inevitably end up being in the mainstream media whilst in the meantime preferring to simply ride the gravy train for personal gain. The outcome was obvious IMO and there will undoubtedly be an adverse effect on P2P in general. Another IMO view is that the appetite for P2P is in general decreasing and apart from the contagion affecting other platforms, this could unfortunately be the beginning of the end of 'traditional' P2P as we all understand it.
Maybe this will be a positive outcome in the longer term. The FCA I'm convinced, after approving just about every 2 bit operation without basic background checks, are now undoubtedly into making sure their own a***s are covered. So if it leads eventually to a more open approach towards lenders, who after all keep the industry alive then that will be a good thing in my book.
In the short term there will undoubtedly be several severe losses to be incurred. You can only can kick for so long which seems to have developed into an Olympic sport with more than a couple of platforms. They treat lenders as amateurs which is possibly just a mirror reflection of themselves.
|
|
sussexlender
Member of DD Central
Cheat seeking missile
Posts: 550 
Likes: 916
|
Post by sussexlender on Apr 27, 2019 8:32:15 GMT
I agree with you as far as Lendy is concerned.
It has reached the point where their attempts to blame bad luck for their continued mismanagement of so many of the "non performing" loans have clearly been exposed as a total failure to protect investors cash, deliberate stalling, unexplained failure to take action against sham borrowers - and some might speculate - a cover up.
|
|
|
|
Post by brightspark on Apr 27, 2019 8:52:43 GMT
True as far as it goes. The problems have been building for a while. A government totally pre-occupied with Brexit and an ineffectual FCA are I believe the root cause. Things will have to be sorted but too late for the current tranche of investors in non-performing loans (currently 172 Million £ by asset value).
|
|
copacetic
Member of DD Central
Posts: 306
Likes: 667
|
Post by copacetic on Apr 27, 2019 10:44:33 GMT
I wonder if these restrictions are related to PBL068? Does anyone in the loan know if they ever post a satisfactory update on the breakdown of the recovery since it's nearly 3 months on?
When half a millon of the recovery disappeared and they refuse to put out a prompt update on where it went it made me worried neferious dealings were going down in the background. I'm wondering if this specific loan is what was behind the FCA preventing Lendy dispose of any more assets.
If the ship really is sinking, offloading assets at "mates' rates," inflating recovery fees or "diverting" client money would be the last grab. I don't for a moment think that the FCA getting involved will lead to swift or full recovery for lenders but probably better them overseeing things if Lendy have switched from running things badly in good faith to badly in bad faith.
|
|
revvy
Posts: 17
Likes: 24
|
Post by revvy on Apr 27, 2019 10:53:46 GMT
I have to say I think this is a good thing (the FCA’s most recent intervention). They asked Lendy to sign up to voluntary requirements in November to control Lendys use of their own funds and to ensure that the FCA have the final say on disposing of assets (Lendys own and more importantly assets held on behalf of investors ie the security over the borrowers assets). This is clearly in our best interests. Then in January Lendy are placed on a FCA Watchlist as enhanced supervision was required. To now have requirements imposed on them with immediate effect on the 16th April that appear to be the same requirements that Lendy volunteered to in November suggests that they weren’t upholding the requirements. If you look at this link, the FCA are following exactly their processes for “Tackling Serious Failings in Firms” www.fca.org.uk/publication/corporate/tackling-serious-failings-in-firms.pdfPage 4 - Formal Commitments Item 2 - It is clear that the FCA required Lendy to make a formal commitment to address serious issues. The formal commitment is to make Lendy address the issues within an agreed timeframe. This will be the VREQ ( Voluntary REQuirement) reported by The Telegraph www.telegraph.co.uk/investing/news/lendy-troubles-deepen-peer-to-peer-investors-fear-cash/Page 4 - Formal Heightened Regulatory Scrutiny“When we see evidence of of serious failings of governance, the firm will be formally subject to Enhanced Supervision”. This will be the Watch List reported by the FT
www.ft.com/content/107c3b9a-4324-11e9-a965- Page 4 - Formal Commitments It goes on to state that “For still more serious issues or where other approaches have not been effective, we will consider the use of our formal powers to impose requirements”. This will be an OIREQ (Own Initiative REQquirement) that the latest Telegraph article is reporting. Looking further in the FCA’s “Tackling Serious Failings in Firms” there are two more stages Page 5 - Individual Accountability“We use attestations to obtain formal confirmation from responsible senior individuals at firms that remedial measures have been implemented. This typically takes the form of a CEO...formally attesting to the fact that they will take all reasonable steps to tackle a specific issue and accept responsibility for doing so.
We have no idea if this has been done as yet but is clearly the next step of action. The final step in the process is; Page 5 - External Oversight
“The regulators might also require oversight by an independent person of the process”. This is EXACTLY what Wuzimo is suggesting in his thread p2pindependentforum.com/thread/14599/template-letter-replace-brooke-director
Maybe a “group” approach to the FCA rather than lots of the same letters being sent is what is required? What is very clear in the FCA’s actions is that they are escalating their powers as they are concerned about Lendys ability to meet their requirements. |
|
Mucho P2P
Member of DD Central
Posts: 946
Likes: 1,635
|
Post by Mucho P2P on Apr 29, 2019 12:09:27 GMT
And whilst Rome burns, Liam is setting up PayMeToday!
He needs removing now, as clearly the setting up of a new firm whilst his existing firm is in so much trouble is not conducive to solving any problems at Lendy as additional energies are being deployed to the new firm setup and organisation, when these energies should be deployed in rectifying the defaulted loans at Lendy.
|
|
nyneil
Member of DD Central
Posts: 349
Likes: 438
|
Post by nyneil on May 2, 2019 9:21:32 GMT
And whilst Rome burns, Liam is setting up PayMeToday! He needs removing now, as clearly the setting up of a new firm whilst his existing firm is in so much trouble is not conducive to solving any problems at Lendy as additional energies are being deployed to the new firm setup and organisation, when these energies should be deployed in rectifying the defaulted loans at Lendy. As one ship sinks, he just steps across to another..... Shameful! Can I post this link here?
|
|
nyneil
Member of DD Central
Posts: 349
Likes: 438
|
Post by nyneil on May 2, 2019 13:17:39 GMT
“ Copious Capital takes a fresh approach to finance, looking for new and ethical alternatives to traditional models..." . Makes you sick doesnt it.  I thought this was also an 'interesting' suggestion in the article: [Copious Capital was] “Set up a by a team with a strong track record in leading innovative finance businesses, the organisation is developing and funding a number of new finance brands.” 
|
|
|
|
Post by p2plender on May 3, 2019 0:06:56 GMT
You know what to do.
Warn as many people about the situation he's created at Lendy. This may well put potential customers off his new cosy little venture. It's easily done.
|
|
