Only 6% if you assume the interest deduction stops at the end of the year, rather than say increases during 2020...
Presumably a bullet loan taken now would incur no haircut if RS predictions are right because the haircut will stop in December and these loans would have no interest paid until next May or have RS stated that they will take a pro rata amount at redemption?
No, 1 year loans are, indeed, affected as anyone who has them knows.
Frankly I think many of you are living in a provision fund-induced fantasy. You have been protected from the impact of the virus so far by (i) the RS provision fund, and (ii) the far bigger entire society level provision fund put in place by the government where money has been handed out for free in the forms of grants and furlough costs. Once these things are taken away then many borrowers will collapse. To imagine you are going to finally get 5% or 9% of whatever is a fantasy. RS should have cut the interest way earlier (in the same way the govt stopped all the big banks paying out divis) and the small haircut they have done is nowhere near enough. Its just the cushions are deflating slowly.
As long as it is money you can live with losing then it is fine. I am willing to admit for me, I intend to keep a small amount in and keep relending partly out of curiosity about how all this plays out.
P2p, especially in the old days of Zopa, Listings etc was always more than just about higher return (if you allowed for the added time people spent on their various spreadsheets, I would say it was often marginal extra return...).