bg
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Post by bg on Oct 2, 2019 13:46:02 GMT
If developments need supplemental loans then I think these should have been funded by FS, their directors and shareholders and possibly (brave) institutional investors. I think that's against FCA regulations.
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kielbasa
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Post by kielbasa on Oct 2, 2019 13:57:35 GMT
If developments need supplemental loans then I think these should have been funded by FS, their directors and shareholders and possibly (brave) institutional investors. I think that's against FCA regulations. Aren't current loans being funded by FS directors if regular customers don't fill them?
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bg
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Post by bg on Oct 2, 2019 14:32:19 GMT
I think that's against FCA regulations. Aren't current loans being funded by FS directors if regular customers don't fill them? Directors aren't allowed to invest their own funds in loans. That's been the rule now for a couple of years I believe. FS do seem to be filling some loans from another source (some sort of underwriter), no idea who though.
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rocky1
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Post by rocky1 on Oct 2, 2019 14:47:29 GMT
FS has now been taken over by the new directors/share holders whose other interest are in companies that funded development loans and i think they previously were a borrower on a couple of loans and liked it so much they bought the company.this is FS but not as we know it.
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adrian77
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Post by adrian77 on Oct 2, 2019 15:02:22 GMT
quite possibly but after researching these people it struck me they were more salesmen and brokers rather then actually putting up the money. I have checked their directorship history and exactly as I was expecting... however whatever their past what really concerns me is the future of about 35% of my loans that have been zombified!
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iRobot
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Post by iRobot on Oct 2, 2019 16:49:47 GMT
Aren't current loans being funded by FS directors if regular customers don't fill them? Directors aren't allowed to invest their own funds in loans. That's been the rule now for a couple of years I believe. FS do seem to be filling some loans from another source (some sort of underwriter), no idea who though. Might be skirting with forum rules here, so being deliberately vague... One FS director has several other directorships. On one - and maybe others - the PSCs involved are the money-men, IMO, and I wouldn't be surprised if they were investing on FS. (Possibly an example: 1337547203 where one investor has a £200k chunk of the 7th tranche.)
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iRobot
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Post by iRobot on Oct 2, 2019 16:50:48 GMT
quite possibly but after researching these people it struck me they were more salesmen and brokers rather then actually putting up the money. I have checked their directorship history and exactly as I was expecting... however whatever their past what really concerns me is the future of about 35% of my loans that have been zombified! Did you also check out the PSCs?
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adrian77
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Post by adrian77 on Oct 2, 2019 16:53:42 GMT
Yes - no comment!
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iRobot
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Post by iRobot on Oct 2, 2019 17:15:39 GMT
Directors aren't allowed to invest their own funds in loans. That's been the rule now for a couple of years I believe. FS do seem to be filling some loans from another source (some sort of underwriter), no idea who though. Might be skirting with forum rules here, so being deliberately vague... One FS director has several other directorships. On one - and maybe others - the PSCs involved are the money-men, IMO, and I wouldn't be surprised if they were investing on FS. (Possibly an example: 1337547203 where one investor has a £200k chunk of the 7th tranche.) Bad etiquette, quoting my own post, but... Just noticed 1337547203 has a more recent sibling - tranche 2167441571. I ignore dev loan announcements, but don't usually delete the emails. However, either I did delete this one or I never received one. Notable that only 7 entries in the 'Investments' tab; all the same user ID, totalling the full tranche amount.
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iRobot
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Post by iRobot on Oct 2, 2019 17:17:52 GMT
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adrian77
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Post by adrian77 on Oct 2, 2019 17:18:45 GMT
because I have a sense of fair play and don't want to be banned from the forum!
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iRobot
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Post by iRobot on Oct 2, 2019 17:34:31 GMT
because I have a sense of fair play and don't want to be banned from the forum! DDCentral?
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Post by defaultinator5000 on Oct 3, 2019 20:56:04 GMT
I've long thought that in general and perhaps without exception, supple mental loans are wholly unsuitable for retail investors. I think they are just too risky. I don't know what level of interest rate would compensate for the risk, maybe at least 30% p.a. for lenders and that should be with strict and timely defaulting if things overrun. As in the case of the tower block loan, if loans overrun the interest on the highest ranking tranches just eats up the capital of the lower ranking lenders. Unfortunately, many of us stupidly believed FS when they stated that all loans have a 6-month term and expected them to promptly start the recovery process if the borrower does not pay up on time. Nobody expected them to beat around the bush for years before taking any action and blindly swallow all the BS the borrower tells them. Many of the absolute disasters on higher-ranking loans which have been or will be crystalized are solely due to FS's own incompetence, laziness and gullibility.
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arby
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Post by arby on Oct 3, 2019 21:30:14 GMT
I've long thought that in general and perhaps without exception, supple mental loans are wholly unsuitable for retail investors. I think they are just too risky. I don't know what level of interest rate would compensate for the risk, maybe at least 30% p.a. for lenders and that should be with strict and timely defaulting if things overrun. As in the case of the tower block loan, if loans overrun the interest on the highest ranking tranches just eats up the capital of the lower ranking lenders. Unfortunately, many of us stupidly believed FS when they stated that all loans have a 6-month term and expected them to promptly start the recovery process if the borrower does not pay up on time. Nobody expected them to beat around the bush for years before taking any action and blindly swallow all the BS the borrower tells them. Many of the absolute disasters on higher-ranking loans which have been or will be crystalized are solely due to FS's own incompetence, laziness and gullibility. Most of them were a disaster from inception regardless of the FS default process.
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song
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Post by song on Oct 4, 2019 5:12:33 GMT
Unfortunately, many of us stupidly believed FS when they stated that all loans have a 6-month term and expected them to promptly start the recovery process if the borrower does not pay up on time. Nobody expected them to beat around the bush for years before taking any action and blindly swallow all the BS the borrower tells them. Many of the absolute disasters on higher-ranking loans which have been or will be crystalized are solely due to FS's own incompetence, laziness and gullibility. Most of them were a disaster from inception regardless of the FS default process. I take it the meaning being that FS"s own incompetence, laziness, and gullibility was at inception.
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