djg
Posts: 18 
Likes: 16
|
Post by djg on Jul 24, 2019 20:52:18 GMT
I'm not too bothered about the vulgar ad, but I find "Adverse credit accepted" a real turn-off. I've only recently started investing with BridgeCrowd, but this ad is turning me off the platform completely.
We all know that P2P is not likely to attract whiter-than-white borrowers, but I'd rather my chosen platforms did not invite the blacker-than-black variety. Am I alone in thinking this way?
|
|
Greenwood2
Member of DD Central
Posts: 4,251
Likes: 2,694
|
Post by Greenwood2 on Jul 25, 2019 7:14:47 GMT
I'm not too bothered about the vulgar ad, but I find "Adverse credit accepted" a real turn-off. I've only recently started investing with BridgeCrowd, but this ad is turning me off the platform completely.
We all know that P2P is not likely to attract whiter-than-white borrowers, but I'd rather my chosen platforms did not invite the blacker-than-black variety. Am I alone in thinking this way? I can't see an Ad, could you post a link? there is a comment in the FAQs: 'do you lend to people with adverse credit
yes
Often people seek a bridging loan as they have gone over term on their financial commitments and as a result have adverse credit. A bridging loan can be a good tool to help alleviate the financial pressure and allow clients the time and flexibility to return to a stable footing again and improve their credit.'
I don't read the FAQ as they accept anybody just that they consider circumstances. They always want an exit strategy from the borrower and take security over property with what seems to be reasonable valuations and LTVs up to 70% so that doesn't worry me. It would be interesting to see how the Ad is phrased though.
|
|
SteveT
Member of DD Central
Posts: 6,873
Likes: 7,918
|
Post by SteveT on Jul 25, 2019 7:25:37 GMT
Short-term bridging loans (especially those charging double-digit rates) will always carry a high likelihood of hitting repayment issues, hence it's the sale prospects for the property that are paramount. "Adverse credit" will include credit card debts, mortgage arrears, past bankruptcy, etc. and can have a wide range of root causes. It doesn't automatically imply deviousness / dishonesty on the part of the borrower (which is the real red flag, IMO). They may be doing their utmost to keep a small business going, going through a divorce, etc. Put another way, someone with a perfect credit history seeking to raise short-term finance against a readily marketable residential property can possibly borrow rather cheaper than via the likes of BridgeCrowd. (crossed with Greenwood2) |
|
djg
Posts: 18
Likes: 16
|
Post by djg on Jul 25, 2019 10:41:12 GMT
Many thanks, gents, for replies. Perhaps I should be more understanding of others' financial problems!
Greenwood2: It's been appearing recently as a banner ad (I think they're called) on this forum. I can't find one just now, but it simply says "Adverse credit accepted" and nothing else. If you click on it, you go to the BridgeCrowd loan application form.
|
|
michaelc
Member of DD Central
Posts: 4,898
Likes: 2,768
|
Post by michaelc on Jul 26, 2019 21:45:08 GMT
Short-term bridging loans (especially those charging double-digit rates) will always carry a high likelihood of hitting repayment issues, hence it's the sale prospects for the property that are paramount. "Adverse credit" will include credit card debts, mortgage arrears, past bankruptcy, etc. and can have a wide range of root causes. It doesn't automatically imply deviousness / dishonesty on the part of the borrower (which is the real red flag, IMO). They may be doing their utmost to keep a small business going, going through a divorce, etc. Put another way, someone with a perfect credit history seeking to raise short-term finance against a readily marketable residential property can possibly borrow rather cheaper than via the likes of BridgeCrowd. (crossed with Greenwood2 ) Yes I broadly agree with that. I am no expert money lender but I have quite a bit invested in p2p and am managing to keep my head above water. My only slight deviation from you is that I am not interested at all what adverse credit means or anything else related to the borrower. I focus 100% on the collateral and what would happen if and when it defaults.
|
|
