michaelc
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Post by michaelc on Jan 15, 2020 18:18:38 GMT
And yet another two weeks have passed so far.
Why do FC persist in playing these seemingly never-ending games?
This is getting ridiculous now:
14 Jan 2020 "We have sent a chase up email to the solicitors, to get an update on the refinance." Sounds a bit like the updates we used to get from Funding Secure!
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Stonk
Stonking
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Post by Stonk on Jan 15, 2020 19:12:47 GMT
Another week has passed and still no sign of that refinance.
From memory the loan has not met repayments on time for quite a while and the repayment of capital was due back in May.
If that makes it the best loan on FC it says alot for the rest. (and weren't all the nasty property loans that have gone bad 'asset backed'?)
Funding Circle has a very impressive list of ill conceived badly managed loans, if we are talking about 6036 it has no place on that list. It will probably not get the capital fully repaid until next year (arguably penalty interest is being applied), but the scheduled payments were all made on time, hardly the usual measure of a bad loan. Show me a currently live loan on FC more likely to give a positive return and I will happily categorise it accordingly.
If this is a property loan, it's no surprise that the monthly repayments were made on time. The monthly payments on FC property loans are artificial. They are funded by an extra amount added to the balance of the loan at the start, that amount then being retained in full by FC to provide the monthly payments. As far as the borrower is concerned, there are no monthly payments on a property loan, only the full repayment of capital at the end.
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coogaruk
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Post by coogaruk on Jan 16, 2020 13:01:30 GMT
As far as I understand it, the monthly payment on a property loan is the interest on the loan, so they are not REpayments.
The repayment of capital on this loan is now >eight months overdue, so high time to stop dragging heels.
(It's now more than five months since FC mooted they were negotiating a full settlement and more than 10 weeks since they advised they were expecting full repayment via a refinancing "within 4 weeks")
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ashtondav
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Post by ashtondav on Jan 16, 2020 15:22:17 GMT
Obviously being schooled in the dark arts of obfuscation by the property lending dept at FundingSecure. “Secured” lending - one of p2p’s endearing oxymorons...
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coogaruk
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Post by coogaruk on Jan 25, 2020 17:35:35 GMT
Obviously being schooled in the dark arts of obfuscation by the property lending dept at FundingSecure. “Secured” lending - one of p2p’s endearing oxymorons... TBF 6036 isn't a property loan but needless to say more than another week has now passed without any sign of a refinance or repayment of capital, nor any further update from the wily old Foxy Crazy.
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blender
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Post by blender on Jan 25, 2020 17:55:09 GMT
I remember 6036 from long ago, when dinosaurs still roamed the platform. I bid for some and traded it. It was commercial mortgage for a few years (4?) but amortised over a much longer period (10?). So some of the principal should have been repaid. Presumably it has continued to pay while the refinance is being sought, which would amortise it down further. As long as its keeps paying it's an ok loan. If they have stopped paying, then they will not get refinanced and should be defaulted.
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coogaruk
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Post by coogaruk on Feb 3, 2020 12:37:32 GMT
I remember 6036 from long ago, when dinosaurs still roamed the platform. I bid for some and traded it. It was commercial mortgage for a few years (4?) but amortised over a much longer period (10?). So some of the principal should have been repaid. Presumably it has continued to pay while the refinance is being sought, which would amortise it down further. As long as its keeps paying it's an ok loan. If they have stopped paying, then they will not get refinanced and should be defaulted. It was a five year commercial mortgage from 2014, with the principal due to be repaid in May last year. It has long been defaulted, since when 'recovery' payments have been made but I think the last of these was around June last year.
I recently looked the company up on CH and discovered what can only be decribed as a horror story. Either FC don't know what's been going on, they have not been keeping us lenders properly informed or a mixture of both.
The chances of a refinance appear to be remote in IMO and I just feel it's high time FC came clean. They first mooted a 'refinance' around last August, if I recall correctly.
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keitha
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2024, hopefully the year I get out of P2P
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Post by keitha on Feb 5, 2020 18:28:10 GMT
And on the topic of games
47977
Borrowed £53000 December 2017
no payment since 15/6/19
17 September Defaulted
25 September We remain in negotiations with the Personal Guarantor regarding the repayment of the loan. We will update the Investors once a payment plan has been agreed.
8 Jan We remain in negotiations with the Personal Guarantor regarding the repayment of the loan. We will update the Investors once a payment plan has been agreed.
4 Feb Due to the loan guarantor remaining unresponsive this case has been escalated to our internal litigation team.
so at a guess they mean unresponsive since 17 September or earlier
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coogaruk
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Post by coogaruk on Feb 14, 2020 13:25:28 GMT
And yet another two weeks have passed so far.
Why do FC persist in playing these seemingly never-ending games?
This is getting ridiculous now:
14 Jan 2020 "We have sent a chase up email to the solicitors, to get an update on the refinance." How long should one wait for a reply to such an important email?
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Post by takeshi on Apr 6, 2020 14:29:36 GMT
This is getting ridiculous now:
14 Jan 2020 "We have sent a chase up email to the solicitors, to get an update on the refinance." How long should one wait for a reply to such an important email? 3 months+ apparently.
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Post by shanghaiscouse on Apr 6, 2020 15:12:23 GMT
Guys, you still don't seem to get it. Funding Circle does not do debt collection itself. Once a debt goes into recoveries then (i) your legal relationship with it changes, you no longer own it, you are just the beneficiary of a trust that owns it, and (ii) FC hand it off to debt collection agencies. FC don't have live access into how the collection efforts are going, and hence there are no regular updates. There are so many bad loans that the agency just gives them a monthly data dump which to be honest there isn't often a lot of useful information and not worth FC uploading it all into comments, they need their own paid staff to be doing more important work like originating more loans. For a company that is struggling to survive, debt collection on behalf of us is pretty much the last priority.
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dorset
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Post by dorset on Apr 7, 2020 9:42:02 GMT
Guys, you still don't seem to get it. Funding Circle does not do debt collection itself. Once a debt goes into recoveries then (i) your legal relationship with it changes, you no longer own it, you are just the beneficiary of a trust that owns it, and (ii) FC hand it off to debt collection agencies. FC don't have live access into how the collection efforts are going, and hence there are no regular updates. There are so many bad loans that the agency just gives them a monthly data dump which to be honest there isn't often a lot of useful information and not worth FC uploading it all into comments, they need their own paid staff to be doing more important work like originating more loans. For a company that is struggling to survive, debt collection on behalf of us is pretty much the last priority. Sorry but not my experience at all. Looking back for the last few weeks on my 375 defaults (all however pre 9/2017) I am getting daily comments on loans. You will however find that for the first twelve months or so after default you hear almost nothing. If you need something to really worry then this is what is coming to a crash site near you. I am now down to a rump of 420 old pre 9/2017 loans but of these 39 had risk band removed in the last week alone due to cancelled direct debits. The FC loan book is starting to implode. You could be looking at 30% defaults and much larger capital losses than we are currently all getting with our share portfolios. Of course it is not FCs cash on the line but it is the level of defaults and the impact that this will have on the business model that will take FC down.
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Post by shanghaiscouse on Apr 8, 2020 13:20:50 GMT
I think you are lucky because of the cohorts you are in. for those of us with later cohorts, the implosion already happened a year ago!
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dorset
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Post by dorset on Apr 8, 2020 16:42:36 GMT
I was invested in the 2016 and 2017 cohorts and took a massive hit. My defaults were 102 in 2018 and 90 in 2019 as opposed to an average of about 50 per year for the previous four years. The reason for these is well documented on this forum namely the scandalous ramping up of FC’s prospects prior to end 2018 by taking on loads of poor quality loans.
What we have now is an order of magnitude worse. Decent businesses as well as poor quality businesses all being taken down together by the lockdown. Typical is 13267 a seventeen year old design business that stopped its direct debit this week with only 3 payments left to go out of a 60 month loan. This is both tragic and very unusual. We will see a lot more of this over the next few months.
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Post by shanghaiscouse on Apr 9, 2020 8:56:36 GMT
indeed, hence my thread "FC Apocolypse"
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