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Post by markymark on Nov 26, 2020 19:20:32 GMT
The one about being made redundant then having the audacity to say it been a good "crisis" whilst your savings are wiped away is nearly heart breaking... I don't see how Lending Works can tell investors they are performing at or better than Industry standard. It is very likely they will never make it out of this crisis unless they turn institutional (the plan most likely) I was about to invest in this company before the crisis started although I did not luckily. FCA sound like they don't have a bloody clue what's going on, just like with Lendy and FS until it blew up in their faces. Best of luck to all, a small capital loss is better than a full wind up as the devil's advocate. I'm almost in total agreement with you Harland. Before covid LW were probably guilty of being over optimistic on the rates they could achieve. They were certainly guilty or not adjusting the rates lower when it was clear that they couldn't achieve them. They are also guilty of making a pig's ear of their lender communications. I think that covid has now exposed their over-optimism and will now cause capital haircuts (even if they refer to these as negative interest, its the same thing. Once interest is paid it becomes your capital. If they them take some of that back it is a capital reduction). However, having said all of that, I feel that lumping them in with the likes of Lendy and FS is going to far.
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Post by markymark on Nov 26, 2020 19:36:42 GMT
I hadn't read the LW trustpilot reviews until today. They've been absolutely hammered. Not one positive recently. The one about being made redundant then having the audacity to say it been a good "crisis" whilst your savings are wiped away is nearly heart breaking... I don't see how Lending Works can tell investors they are performing at or better than Industry standard. It is very likely they will never make it out of this crisis unless they turn institutional (the plan most likely) I was about to invest in this company before the crisis started although I did not luckily. FCA sound like they don't have a bloody clue what's going on, just like with Lendy and FS until it blew up in their faces. Best of luck to all, a small capital loss is better than a full wind up as the devil's advocate.
We have to hope that institutional investors is now their target market, it's really their only option, no sound minded private investor is ever likely to trust this company again. They may get the odd one or two freshly released from a soft walled cell, but no one with half an ounce of sense and/or an internet search to certain review sites would be that stupid. I've never heard such contradictory, devious bs like these people have been putting out, in justification for taking peoples money.....Yet to add my feelings to the main review site, sadly i'm not one of the stated 'majority' that are happy with your business conduct and i will let it be known!!
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Post by EJi on Nov 27, 2020 8:13:39 GMT
I noticed today my total interest when clicking view account has gone up by £2.34 since yesterday even though they took another £1 overnight. I've been watching this figure every day wondering why it doesn't go down when they take my interest back.
Quoting myself above.
My total interest earned has gone up again overnight.
They took £5 from me but my total interest is up by £5. It seems they're adding the negative interest to my total instead of taking it away.
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Post by tommycatz on Nov 27, 2020 11:51:57 GMT
Shield contribution adjustment started 13 November.
Some days it is about 50% of the capital received that day!
November's statement will not show the full extent of the deductions. December's statement will.
34% deductions of capital repayments.
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Post by EJi on Dec 1, 2020 12:46:36 GMT
I wonder what the rate will be? What will they do when nobody invests?
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picnicman
Member of DD Central
Posts: 238 
Likes: 216
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Post by picnicman on Dec 1, 2020 13:53:35 GMT
I wonder what the rate will be? What will they do when nobody invests?
- Still unanswered questions which will have to wait for next months update I guess. Looks like we could have a situation where new lenders and existing lenders adding funds will receive interest, whilst existing lenders funds are attracting negative interest rates. What impact on negative interest rates will the 2% service charge being stopped on 4th January have? Will it mean that lenders will have less of a hit or will it have no affect as it just bolsters the Shield and we might get even less of a hit after three months/protects lenders from further bad loans? Time will tell Cheers P
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Post by m1kehunt on Dec 1, 2020 14:49:06 GMT
I don't know where LW studied Maths but my 2% differs a lot from theirs!!
I realise the first few months will be a bigger blow but £50 in 3 weeks on £4k is considerably more than 2%!!! Maybe they left a zero out and it's supposed to be 20%!!
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Post by tommycatz on Dec 1, 2020 15:31:39 GMT
I don't know where LW studied Maths but my 2% differs a lot from theirs!! The 2% is diverted into the shield from the withheld interest payments. It's not the negative interest rate which remains a secret how it's calculated. Can't see many new investors, investing their money with negative interest rates still being applied to existing investors.
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Post by essexboy on Dec 1, 2020 16:55:02 GMT
I wonder what the rate will be? What will they do when nobody invests?
- Still unanswered questions which will have to wait for next months update I guess. Looks like we could have a situation where new lenders and existing lenders adding funds will receive interest, whilst existing lenders funds are attracting negative interest rates.What impact on negative interest rates will the 2% service charge being stopped on 4th January have? Will it mean that lenders will have less of a hit or will it have no affect as it just bolsters the Shield and we might get even less of a hit after three months/protects lenders from further bad loans? Time will tell Cheers P They simply cannot ***** money from existing lenders' capital in order to to provide safety and excess returns for new lenders. If that occurs, I'll be on the phone to my lawyer.
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trevor
Member of DD Central
Posts: 557
Likes: 381
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Post by trevor on Dec 1, 2020 17:25:54 GMT
Taking money from existing lenders to pay new investors is a Ponzi scheme! Your lawyer should be rubbing his with glee.
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Nomad
Member of DD Central
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Post by Nomad on Dec 1, 2020 17:41:18 GMT
Taking money from existing lenders to pay new investors is a Ponzi scheme! Your lawyer should be rubbing his with glee. hands?? 🤷♂️
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trevor
Member of DD Central
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Post by trevor on Dec 1, 2020 17:48:25 GMT
Hands
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keystone
Member of DD Central
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Post by keystone on Dec 1, 2020 18:38:26 GMT
I wonder what the rate will be? What will they do when nobody invests?
The rate could be anything plucked out of thin air (lets say 6%), but is meaningless as they could increase it to falsely attract investments (lets say to 6.5%) and then take it away again by reducing it (lets say to 4%) and claim the rate is supposed to be over the lifetime of the loan. They could then increase charges (to say 2%) and have NEGATIVE INTEREST RATES (lets say minus 40%) and whilst at the same time keeping the rate and any calculations of the Negative Interest Rate secret and claim no investor has lost money! This could all be signed off by their best buddies at the Financial Criminals Agency. Their smug boss could then claim it's been a good crisis for us and we're ending the year better than we started!
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Post by Ace on Dec 1, 2020 18:56:32 GMT
I wonder what the rate will be? What will they do when nobody invests?
The rate could be anything plucked out of thin air (lets say 6%), but is meaningless as they could increase it to falsely attract investments (lets say to 6.5%) and then take it away again by reducing it (lets say to 4%) and claim the rate is supposed to be over the lifetime of the loan. They could then increase charges (to say 2%) and have NEGATIVE INTEREST RATES (lets say minus 40%) and whilst at the same time keeping the rate and any calculations of the Negative Interest Rate secret and claim no investor has lost money! This could all be signed off by their best buddies at the Financial Criminals Agency. Their smug boss could then claim it's been a good crisis for us and we're ending the year better than we started! Absolute nonsense, that could never happ..... Oh, wait... 😱
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Post by supernumerary on Dec 1, 2020 22:52:38 GMT
I don't know where LW studied Maths but my 2% differs a lot from theirs!! The 2% is diverted into the shield from the withheld interest payments. It's not the negative interest rate which remains a secret how it's calculated. Can't see many new investors, investing their money with negative interest rates still being applied to existing investors. Basically, they are knackered... ...but they won't admit it, as they are living in cloud cuckoo land! 
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