benaj
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Post by benaj on Dec 26, 2019 23:52:53 GMT
blog.mintos.com/new-status-functionality-on-mintos-pending-payment/So what exactly is Pending payment on Mintos? Well, the borrower "has already made a payment" but an IOU is recorded on the Mintos account, in other words, the pending payment cannot be reinvested straight away. It's kinda confusing, late loans repayment are not included in pending payment. Account Balance = Availabe funds + Outstanding loans / Invested Funds + Pending payment Not all LOs have pending payment, I notice one of the 2 of the LOs with A- Mintos ratings or higher have pending payment.  Conclusion, it's better to have 0 pending payment than having 20% of funds stuck in pending payment. Interesting side effect, pending payment does not reduce your Net Annual Return because the borrower "has already made a payment" 
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Post by southseacompany on Dec 27, 2019 1:26:22 GMT
Here's some anecdotal evidence to show just how bad pending payments can be. I had a lot of cash in my account recently as I was in the process of gradually (nearly) exiting Mintos. The day the Finko/SunFi campaign was announced, I deployed all of the cash in very short Finko loans. Most were promptly repaid, but without funds flowing to me. As a result, my account now looks like this:  So that's 48% of funds stuck in non interest bearing limbo. As I understand it, we're still exposed to the LO's credit risk as long as the payments are "pending", so this is a raw deal indeed. Since places like Lendermarket and Twino (manually) offer 12% with no grace period or "pending" feature, the true rates at Mintos don't see that attractive to me now, excluding the current short-term spike. |
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Post by scottyffm on Dec 27, 2019 13:49:18 GMT
Wow - thats quite... - "interesting". But Finko is not the only one with long time outstanding/ pending payments. But due to this interesting possibility - I would be very interested to see how much will stay how long in the pending payments and if they are solved as a bunch together or more or less slightly reduced according the new refinanced loans.
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benaj
Member of DD Central
N/A
Posts: 5,591
Likes: 1,735
|
Post by benaj on Dec 27, 2019 13:52:53 GMT
Here's some anecdotal evidence to show just how bad pending payments can be. I had a lot of cash in my account recently as I was in the process of gradually (nearly) exiting Mintos. The day the Finko/SunFi campaign was announced, I deployed all of the cash in very short Finko loans. Most were promptly repaid, but without funds flowing to me. As a result, my account now looks like this: So that's 48% of funds stuck in non interest bearing limbo. As I understand it, we're still exposed to the LO's credit risk as long as the payments are "pending", so this is a raw deal indeed. Since places like Lendermarket and Twino (manually) offer 12% with no grace period or "pending" feature, the true rates at Mintos don't see that attractive to me now, excluding the current short-term spike. Unbelievable, I have the same as well. Early rebuy as pending payment showing up as "Finished Investment" (23rd Dec - 26th Dec), about 3.4% of my account balance stuck as pending payment. There are something else does not add up in my account balance, I wonder if this is just me. It seems cashback rewards are not added in my account anywhere even it is recorded. Not a trace of cashback reward from account statement. UPDATE:My bad, Mintos shows Cashback as Desposit in the account statement. So, now I can rest and confirm Mintos shows correct account balance.
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benaj
Member of DD Central
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Posts: 5,591
Likes: 1,735
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Post by benaj on Dec 29, 2019 0:23:38 GMT
The pending payment is definitely an interesting topic. Different LOs transfer payment in different ways. One LO may randomly transfer more recent repayment than slightly older one. The pending payment can be built up quickly but not cleared / transferred quickly. Some even reported cash have been held by LO for over a week. Interestingly, some LOs have slightly higher interest short term loans, but it seems it is impossible to work out what would be the real return when they are bought back early with long period of pending payment. Here's a breakdown of loan status of my Finko loans: Current: 80% Late: 16% Pending: 4% (2-6 days, 3 loans bought back way early, 1 loan repaid on time) Other LO pending payment: Cashwagon: 7 days Akulaku: 7 days or more  from INVEST & ACCESS, capital repayment already transferred but interest payment pending Not all LOs pending payment listed above. |
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Post by geldregiertdiewelt on Dec 29, 2019 18:58:19 GMT
Here's some anecdotal evidence to show just how bad pending payments can be. I had a lot of cash in my account recently as I was in the process of gradually (nearly) exiting Mintos. The day the Finko/SunFi campaign was announced, I deployed all of the cash in very short Finko loans. Most were promptly repaid, but without funds flowing to me. As a result, my account now looks like this: So that's 48% of funds stuck in non interest bearing limbo. As I understand it, we're still exposed to the LO's credit risk as long as the payments are "pending", so this is a raw deal indeed. Since places like Lendermarket and Twino (manually) offer 12% with no grace period or "pending" feature, the true rates at Mintos don't see that attractive to me now, excluding the current short-term spike. In my opinion the holiday season is the wrong time to assess or even adjudge the "pending payments" indication. For obvious reasons flow of payments must be abnormaly delayed these days and thus pending payments just don't look good or make no sense for a few days. Maybe Mintos did not consider this time of the year when they added this indicator. Let's check again in the week of Jan 6. Further, my understanding of Mintos' explanation when they introduced this feature was that they are just showing something that was happening already all the time. If that is correct, there should be no change as to exposure to LO risk or displayed Net Annual Return.
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from INVEST & ACCESS, capital repayment already transferred but interest payment pending 