jlend
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Post by jlend on Jan 10, 2020 16:55:43 GMT
Thanks jlend , that's helpful, still not sure what a cohort is but. Looking again at the Loans CSV, I can now see that if I subtract 'Chunk Capital Repaid' column D from 'Chunk Amount'column C, I can see the amount I am currently invested. A pain to have to create that myself but. Now the columns 'Loan Gross Rate', 'Loan Annual Rate' and 'Loan APR', U,V and W show interest rates - do any of these percentages relate to my chunks and how much interest is expected this month, number varies a bit. 2019 annual cohort are loans originated from 1 Jan 2019 to 31 Dec 2019 for example.
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Post by Undecided on Jan 10, 2020 17:11:36 GMT
LW just told me it depends when you invest in the loan, not when it originated, but I'm sure they've previously said it is based on the year the loan originated!
They also told me they will be adding the weighted average return back to our dashboards at the end of the month.
I also get hit with a large "interest shortfall" charge when I attempt to sell which equates to c. 5% of the amount for sale. This doesn't make any sense to me.
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keystone
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Post by keystone on Jan 10, 2020 17:18:04 GMT
LW just told me it depends when you invest in the loan, not when it originated, but I'm sure they've previously said it is based on the year the loan originated! They also told me they will be adding the weighted average return back to our dashboards at the end of the month. I also get hit with a large "interest shortfall" charge when I attempt to sell which equates to c. 5% of the amount for sale. This doesn't make any sense to me. or anyone who understands whats going on with Lending works, there is also a large proportion of funds I am unable to sell roughly 10% of my holding in Growth fund, whats the explanation for this?
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p2pmark
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Post by p2pmark on Jan 10, 2020 18:19:24 GMT
Well they have a shield balance of around £400k. With £93 million pounds worth of loans they need every penny they can get. They can't mix client funds and the shield so this also isn't right. I'm more sceptical than most on LW but you should get your facts right before throwing accusations around.
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jlend
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Post by jlend on Jan 10, 2020 18:27:21 GMT
LW just told me it depends when you invest in the loan, not when it originated, but I'm sure they've previously said it is based on the year the loan originated! They also told me they will be adding the weighted average return back to our dashboards at the end of the month. I also get hit with a large "interest shortfall" charge when I attempt to sell which equates to c. 5% of the amount for sale. This doesn't make any sense to me. or anyone who understands whats going on with Lending works, there is also a large proportion of funds I am unable to sell roughly 10% of my holding in Growth fund, whats the explanation for this? You can't sell loans with missing interest payments. That applies to both the Growth and Flex products. So the Flex product in particular is not quite as flexible as some lenders might assume if they are use to Ratesetter access accounts. You have to wait till the loan formally defaults and hope then the PF will pick up the loan assuming there is enough money in the PF to cover the capital. "Loans in arrears cannot be sold until missed payments are successfully recovered. If the loan defaults, funds will become available immediately once settled by the Shield." The amount of money locked up will vary by lender as it depends on what loans you are invested in. You don't have this issue with the RS provision fund which doesn't have the same limitation.
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keystone
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Post by keystone on Jan 10, 2020 18:39:46 GMT
Thank you for explaining that, ratesetter does seem to have a lot more going for it compared to the other similar platforms.
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benaj
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Post by benaj on Jan 10, 2020 19:27:29 GMT
Matthew or anyone who understands whats going on with Lending works, there is also a large proportion of funds I am unable to sell roughly 10% of my holding in Growth fund, whats the explanation for this? I haven't experienced 10% myself, but about £50 worth. I took the advantage of 0% fee and sold 100% of my loans in December. It was quick and easy. I did contact LW CX for help and all the issues were rectified within 48 hours. Great customer service I say. According to Lending Works R.A.F T&Cs
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Post by befuddled on Jan 15, 2020 16:27:09 GMT
I have become increasingly disillusioned over all P2P over the last few months - it seems all news and commentary is either negative
or at best struggling to be neutral. I just got out of FC in time and don't want to the caught out by any other platforms so am jumping, maybe prematurely, from RS, LW, AC and GS...
Was disappointed when selling the last £2000 of LW ISA Growth I was charge £100 for something described as something like "difference in interest rates between when loans
taken out and now".
As I investment the money before LW reduced their rates, they should be quids in by recycling the loans to a new lender at todays lower rates, so why would
I be charged, and why about 5%.
I took the hit and am glad to be out, but would be interested to know if this is normal and acceptable....
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Post by stevexxx on Jan 26, 2020 12:44:21 GMT
I closed my investment account back in December, they paid out in full within a week but kept my isa account which has now reduced to 5.4% it says which I had turned off investments. but ive just turned on auto-invest again as if the 5.4% is correct im still getting more than ratesetter and way more than zopa which is running at 3.2% in real terms so anything over 5% is a bonus. I still think LW is a good punt, better than some other platforms and still comes out tops in 4th way's reviews...
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Post by p2pgirl on Jan 27, 2020 10:09:42 GMT
I'm a bit late to this thread - has anybody contacted LW and had an official response on the interest shortfall?
I've had an account since Dec 2018, and the shortfall together with the 0.5% transaction fee comes close to wiping out all interest earned!
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Post by Matthew on Jan 27, 2020 23:15:41 GMT
Did you get a reply? It could get even worse if a particular annual cohorts perform badly and you have a lot of loans in that cohort... The PF has been split by annual cohort now unlike RS. If you had a lot of loans originated in 2017 and 2018 it is particularly bad if you look at the new expected return on the stats page. 2019 growth interest rate is 5.3% which is not as bad but less than the current 5.4% I expect a high proportion of people would have been better off cashing out, albeit it would have taken time to reinvest in new loans if you wanted to stay with LW I think LW could have made this clearer. Not a dicky bird from Matthew despite him replying to other queries after my posting. I'm not surprised really as I have seen selective responses before. Thank you for your other comments as I think that sort of explains why I now have a significant drop in value if I try to cash out. Why Lending works couldn't have informed us of this I don't know, oh hang on I do, so they could trap us into holding our funds with them by not explaining the consequences properly. Hi keystoneI'm sorry if you feel I selectively respond to queries on here - that's not intentional. I should reiterate that this forum should not really be used as an extension for our customer support - you're always best directing queries via cs@lendingworks.co.uk, especially if it's anything account specific or if you need a speedy response. We tried in all of our communications to be as clear as possible in describing what is inherently quite a complex topic. I have replied to another thread on roughly the same topic - hope things are a little clearer now. Thanks
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Post by EJi on Jan 28, 2020 8:14:17 GMT
Not a dicky bird from Matthew despite him replying to other queries after my posting. I'm not surprised really as I have seen selective responses before. Thank you for your other comments as I think that sort of explains why I now have a significant drop in value if I try to cash out. Why Lending works couldn't have informed us of this I don't know, oh hang on I do, so they could trap us into holding our funds with them by not explaining the consequences properly. Hi keystone I'm sorry if you feel I selectively respond to queries on here - that's not intentional. I should reiterate that this forum should not really be used as an extension for our customer support - you're always best directing queries via cs@lendingworks.co.uk, especially if it's anything account specific or if you need a speedy response. We tried in all of our communications to be as clear as possible in describing what is inherently quite a complex topic. I have replied to another thread on roughly the same topic - hope things are a little clearer now. Thanks I also think you selectively respond to queries. Contacting cs@lendingworks.co.uk does not get a quick reply. It takes days to get a response and the reply is always along the lines of "sorry you feel that way" (which I hate by the way, it's a non apology and makes out you're blameless)
It's not that some of feel mislead. It looks like we have been mislead and are asking you why and what you are going to do about it? All I get is, sorry you feel...
You should have been completley upront and transparent in November and December when people had a chance to sell out. (I don't want to hear sorry you feel we have not been transparent)
The sell out should be offered again now that people know what you were really up to.
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Post by carol167 on Jan 28, 2020 11:07:50 GMT
Hi keystone I'm sorry if you feel I selectively respond to queries on here - that's not intentional. I should reiterate that this forum should not really be used as an extension for our customer support - you're always best directing queries via cs@lendingworks.co.uk, especially if it's anything account specific or if you need a speedy response. We tried in all of our communications to be as clear as possible in describing what is inherently quite a complex topic. I have replied to another thread on roughly the same topic - hope things are a little clearer now. Thanks I also think you selectively respond to queries. Contacting cs@lendingworks.co.uk does not get a quick reply. It takes days to get a response and the reply is always along the lines of "sorry you feel that way" (which I hate by the way, it's a non apology and makes out you're blameless)
It's not that some of feel mislead. It looks like we have been mislead and are asking you why and what you are going to do about it? All I get is, sorry you feel...
You should have been completley upront and transparent in November and December when people had a chance to sell out. (I don't want to hear sorry you feel we have not been transparent)
The sell out should be offered again now that people know what you were really up to.
Well said!!!
And I absolutely agree!
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Post by carol167 on Jan 28, 2020 13:28:06 GMT
LW's main webpage in large friendly letters :-
"The fair and simple P2P platform"
I would argue that, sadly, it is now, anything but.
I want to cash out under the arrangements in December.
LW should reopen allowing us to cash out, like in December, now that it's becoming clear just what has happened.
It no longer does what it says on the Tin!
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benaj
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Post by benaj on Jan 28, 2020 13:34:16 GMT
To be honest, there are so many new terms and changes being introduced, and yet it is so uncleared. Projected Interest Rate, Lender Rate, Lender Rate Adjustment, Interest Rate Margin, Review Point. Projected Interest Rate is shown on the dashboard but not mentioned in T&C. Lender Rate cannot be found in the existing loanbook nor dashboard. I really don't understand why no communication was made to investors when the balance of the Contingency Fund is performing worse than expected and LW has already levy "Interest Rate Margin" prior such communication. Is it just me misunderstood the all these changes?
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