dorset
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Post by dorset on Aug 9, 2019 13:46:18 GMT
Agreed although I have been running down since September 2017 my final loans do not complete until mid 2022.
On top of that my 300+ defaults plus defaults over the next 36 months will see my still with FC in 2025 or later. That’s a thought.
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Post by steamer on Aug 30, 2019 7:29:31 GMT
I find myself in exactly the same position. 'Investor' seems a rather broad term. Far more interesting would be how many accounts have been withdrawing cash and had NO money added to them in say the last 12 months.
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keitha
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Post by keitha on Aug 30, 2019 9:02:49 GMT
Agreed although I have been running down since September 2017 my final loans do not complete until mid 2022. On top of that my 300+ defaults plus defaults over the next 36 months will see my still with FC in 2025 or later. That’s a thought. I have a default running at < 1% a month so that's 8+ years !!!
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Stonk
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Post by Stonk on Aug 30, 2019 9:22:48 GMT
I have a default running at < 1% a month so that's 8+ years !!!
It's still accruing interest ... if the rate was 13% or higher, it will never ever repay.
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Post by shanghaiscouse on Aug 30, 2019 10:31:07 GMT
At this stage, the only way I see it, is do they have enough cash left to keep the doors open until at least my loan parts have sold? That's the only thing I look for in their financial results.
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keitha
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Post by keitha on Aug 31, 2019 11:20:24 GMT
I have a default running at < 1% a month so that's 8+ years !!!
It's still accruing interest ... if the rate was 13% or higher, it will never ever repay.
but i'd have thought if it was legal action that would stop interest being added, as you have to claim a specific amount.
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Stonk
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Post by Stonk on Aug 31, 2019 15:39:55 GMT
It's still accruing interest ... if the rate was 13% or higher, it will never ever repay.
but i'd have thought if it was legal action that would stop interest being added, as you have to claim a specific amount.
That may be the case, if it has reached legal action. Many of my defaults seem fairly amicable though, without serious legal action, particularly if they've agreed with FC to keep paying some or all of the original payment.
I've had several defaulted loans that have eventually paid back in full plus interest (you get a slightly different entry in your transaction list). Admittedly they have tended to repay by means of a final lump sum rather than a regular payment.
I cannot easily determine if any of my gradually-repaying defaulted loans have reached a point where they have repaid more than the original defaulted amount, but I think probably none of them have yet. I'm expecting that when they do, the payments will continue until the interest has been paid as well.
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adrian77
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Post by adrian77 on Sept 1, 2019 6:32:02 GMT
have looked at the share price trend - not very good is it
We always always said their aim was simply to float and od the lenders - and the co-founder made £16m doing exactly this- charming I am sure!
I have looked at the accounts but don't really understand them as it seems a bit creative in place to me - I note there is profit after tax of minus £49.3m and a big jump in intangible assets to £64m - just exactly what are they and are they worth anything?
But she has a degree in PPE - very relevant - so has David Cameron and just look what a management wizard he was - huge political crisis within the UK, possible wipeout of his party, possible rupture of the UK, possible total dominance of the EU over the UK and possible no-deal exit from the EU!
I wonder how this will compare to how FC is going to end-up but somehow I suspect the directors don't care as they have taken their wedge. I ma just glad I am virtually 100% out of this outfit.
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Post by Deleted on Sept 1, 2019 13:46:23 GMT
I have just had an email from customers services on a Sunday. Let's hope at some some point they start addressing the issues, not just deflecting them.
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dorset
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Post by dorset on Sept 1, 2019 17:59:26 GMT
Haven’t bothered looking at the interims in any detail. However if there has been a big jump in intangibles then it may mean that they are treating software development as capex. A bit naughty as the FC software is probably worthless outside of FC.
Not surprising however given the way that they loaded up the loan book with c**p to create an impression of high growth potential.
FC will be used in future business education courses as a classic example of creative accounting.
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blender
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Post by blender on Sept 1, 2019 18:30:51 GMT
I think that their main IP is not the software as such, but the ability to use a computer to determine and grade the level of risk, using the dataset collected from an applicant and the overall performance of the loan book. Manifested in software of course. If that IP is on the balance sheet it would be intangible and transferable, and they would be able to estimate a market value. Assuming it works well enough.
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dorset
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Post by dorset on Sept 2, 2019 16:44:11 GMT
Not sure what the IP value of the loan risk assessment model is given the defaults the model let through in 2016 to 2018. Either the model is c**p in which case it has little value (banks have invested far more in such models) or the model is first rate in which case FC ignored its credit assessment by taking on loans that the model was suggesting were c**p.
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keitha
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Post by keitha on Sept 3, 2019 11:10:42 GMT
I think that their main IP is not the software as such, but the ability to use a computer to determine and grade the level of risk, using the dataset collected from an applicant and the overall performance of the loan book. Manifested in software of course. If that IP is on the balance sheet it would be intangible and transferable, and they would be able to estimate a market value. Assuming it works well enough. Given the relatively simple application form, I'd have said most banks have similar, and I'm sure any half decent programmer could knock something up relatively quickly. So How many years trading < 2 0 points, 2-5 1 point 5-10 2 points is business becoming more or less profitable over time ... What percentage of annual profit do you want to borrow > 50% 0 , 25-50 1 Point, 10-25 2, < 10 4 how long do you want to borrow for shorter scores Lower What are default like in your line of business ... what security are you putting up Etc
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Mucho P2P
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Post by Mucho P2P on Sept 3, 2019 13:24:20 GMT
5000 new investors and still 90 days to sell loans, something does not add up. Are the new investors just window shopping?
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ashtondav
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Post by ashtondav on Sept 3, 2019 14:05:53 GMT
Nah, FC has committed to higher rates for 2019 lenders so they’re rationing the cr@p cohorts you guys are selling so as to not dilute returns for newbies. In one way it’s just like any other financial organisation: they give the best deals to the new customers and treat the existing ones as doggy doo doos. Same old model.
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