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Post by overthehill on May 18, 2022 10:26:42 GMT
I think I'll abandon my investment plans in Elfin Market.
I've just heard from a colleague that he invested an amount of money and withdrew it after 28 days but before the first interest payment date. Elfin have refused to pay the accrued interest due. I can't see anything in the T+C's which covers this. Bonkers, I won't being doing business with any company who has this kind of attitude.
Also:
Money withdrawn from a product is sent direct to your bank account and as the IFISA is not flexible you lose the allowance
It's not possible to switch between products so you're forced to withdraw.
You can't transfer IN from another ISA.
Of course, the question on every investor's mind is what happens when you withdraw at anytime. Do you lose 1->30 days interest depending on the payment date ?
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Greenwood2
Member of DD Central
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Post by Greenwood2 on May 18, 2022 11:38:32 GMT
I think I'll abandon my investment plans in Elfin Market.
I've just heard from a colleague that he invested an amount of money and withdrew it after 28 days but before the first interest payment date. Elfin have refused to pay the accrued interest due. I can't see anything in the T+C's which covers this. Bonkers, I won't being doing business with any company who has this kind of attitude.
Also:
Money withdrawn from a product is sent direct to your bank account and as the IFISA is not flexible you lose the allowance
It's not possible to switch between products so you're forced to withdraw.
You can't transfer IN from another ISA.
Of course, the question on every investor's mind is what happens when you withdraw at anytime. Do you lose 1->30 days interest depending on the payment date ?
Elfin do at least allow you to cash in an investment before the term date with no penalty, the investments are for fixed terms of 6 months to three years. Apparently the penalty may be you lose up to a month's interest if you choose to cash in early and don't time it right. Why would you cash in any of your IFISA, when it's not flexible and you can't pay it back in? Wouldn't you transfer it to another provider if you want to keep the ISA status, I assume Elfin would facilitate that. It would be nice to be able to move funds from the standard account, to cash, to the IFISA account, but it's not too much of a chore to withdraw and re-invest. Edit: I'm not sure you can use the term 'accrued interest' on a P2P investment, you don't really know what you will actually get until the borrowers pay. Although Elfin give a figure for the next payment amount, that figure does vary through the month, not by a lot for me so far but I suspect it could if there were big defaults in a particular month.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on May 18, 2022 13:28:11 GMT
So the objection is that Elfin didnt pay something they didnt say they would pay anywhere? There is no mention of accrued interest and there would need to be because the person taking over the loans would need to pay for the accrued interest when the loans are novated.
You can use the term accrued interest, you just have to be clear that it isnt guarenteed and therefore the person purchasing the accrued interest is taking the interest risk.
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Post by overthehill on May 18, 2022 14:32:39 GMT
So the objection is that Elfin didnt pay something they didnt say they would pay anywhere? There is no mention of accrued interest and there would need to be because the person taking over the loans would need to pay for the accrued interest when the loans are novated. You can use the term accrued interest, you just have to be clear that it isnt guarenteed and therefore the person purchasing the accrued interest is taking the interest risk.
They manage to make it clear that withdrawals are free but fail to make it clear that an investor could lose up to 30 days of interest effectively not making the withdrawal free. No P2P platform's secondary market I'm with works this way which is fine but at the very least all it takes is a warning with about 10 words before you withdraw. Their transparency is less than 100%.
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Greenwood2
Member of DD Central
Posts: 4,243
Likes: 2,686
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Post by Greenwood2 on May 18, 2022 16:03:08 GMT
So the objection is that Elfin didnt pay something they didnt say they would pay anywhere? There is no mention of accrued interest and there would need to be because the person taking over the loans would need to pay for the accrued interest when the loans are novated. You can use the term accrued interest, you just have to be clear that it isnt guarenteed and therefore the person purchasing the accrued interest is taking the interest risk.
They manage to make it clear that withdrawals are free but fail to make it clear that an investor could lose up to 30 days of interest effectively not making the withdrawal free. No P2P platform's secondary market I'm with works this way which is fine but at the very least all it takes is a warning with about 10 words before you withdraw. Their transparency is less than 100%.
It's the ability to cash in early that Elfin say is penalty free (ie, you don't have to wait till the end of the fixed term) asking for funds back that you don't yet have is maybe a step too far. It's not a secondary market you're not selling on your investment.
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Post by nooneere on Jul 26, 2022 21:47:39 GMT
New Tweet from Elfin Market yesterday: "IT'S FINALLY COMING We'll be making a huge announcement on Monday Can you guess what it might be?" Must be the first P2P credit card - interesting times for this company. (No one suggest "Administration" please.) I guessed wrong; though it's not administration ... their mobile app will be launched on 1 March. Not being a smartphone-centric borrower, I'm not able to assess the impetus this will give, but they seem excited. And finally the "credit card" arrives! p2pfinancenews.co.uk/2022/07/26/elfin-market-launches-p2p-payment-card/Will be interesting to see how their market receives it.
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Post by jono75 on Aug 25, 2022 9:23:16 GMT
Hi, has anyone else got zero showing for the next interest payment, mine says due on 17th October, there was a figure in there a few days ago?
Only got a bare minimum in there to test the water, literally put in £100. Interesting how the "Overall Realised AER" goes down during the month, must be a live figure updated daily.
Liking the platform so far, simple but I like that. Maybe a bit more info about number of loans we're in would be nice etc.
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Nomad
Member of DD Central
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Post by Nomad on Aug 25, 2022 9:26:36 GMT
Hi, has anyone else got zero showing for the next interest payment, mine says due on 17th October, there was a figure in there a few days ago? Only got a bare minimum in there to test the water, literally put in £100. Interesting how the "Overall Realised AER" goes down during the month, must be a live figure updated daily. Liking the platform so far, simple but I like that. Maybe a bit more info about number of loans we're in would be nice etc. I have a figure showing for September 15.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
Posts: 10,848
Likes: 11,076
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Post by ilmoro on Aug 25, 2022 9:29:20 GMT
Hi, has anyone else got zero showing for the next interest payment, mine says due on 17th October, there was a figure in there a few days ago? Only got a bare minimum in there to test the water, literally put in £100. Interesting how the "Overall Realised AER" goes down during the month, must be a live figure updated daily. Liking the platform so far, simple but I like that. Maybe a bit more info about number of loans we're in would be nice etc. No, mine's there and due on 15th Sept
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firedog
Member of DD Central
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Post by firedog on Aug 25, 2022 9:38:26 GMT
Mine looks fine too.
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Post by birdie on Aug 25, 2022 9:53:04 GMT
15th September.
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Post by jono75 on Aug 25, 2022 10:05:13 GMT
Thanks, must be a glitch on my account then, thought it was strange it said October.
I'll get in touch.
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travolta
Member of DD Central
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Post by travolta on Aug 25, 2022 17:44:25 GMT
Nothing but good to say about Elfin Mkt . I'll say it again ....good !
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Post by Ace on Aug 25, 2022 20:01:24 GMT
I'm happy to have a small investment with Elfin which I've been slowly increasing, but only because the actual returns so far are way above their advertised target returns. My XIRR is currently 8.43%
Their stated target return for a completely unsecured 6 month loan is a rate of only 3.8%. That's way too low compared to the likes of Loanpad who offer 4.2% for a 60 day notice account with (IMO) the best security of all platforms.
I also find Elfin to still be overly opaque. The only small hint I can find regarding loan performance is via my once per year tax statement, and that has to be requested via email.
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Post by df on Aug 25, 2022 22:02:04 GMT
I'm happy to have a small investment with Elfin which I've been slowly increasing, but only because the actual returns so far are way above their advertised target returns. My XIRR is currently 8.43% Their stated target return for a completely unsecured 6 month loan is a rate of only 3.8%. That's way too low compared to the likes of Loanpad who offer 4.2% for a 60 day notice account with (IMO) the best security of all platforms. I also find Elfin to still be overly opaque. The only small hint I can find regarding loan performance is via my once per year tax statement, and that has to be requested via email. I'm happy with small investment too. I'm not increasing and even thinking of decreasing. Nothing wrong with the platform, just a bit of fear about recession that can bring higher default rates to unsecured consumer lending. Can't really decide whether to reinvest or withdraw my next return. My XIRR is 6.19% (1st investment 15th Feb 2021). Significantly lower than yours as usual . Most of the gap is probably due to an extra cash drag (loosing about 4 weeks interest per year for 6 month option). I like the fact that their returns are significantly higher than advertised, this adds to confidence. Some time ago I've looked at EM on fb, I liked what I've seen there. I think it's a good product, innovative and inclusive. I hope it will survive through upcoming crisis.
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