michaelc
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Post by michaelc on Jun 22, 2020 15:55:23 GMT
I'm generally pulling out of p2p largely due to platform risk which I see as a result of most platforms not investing in all loans. Stupid me thinks maybe I'll make an exception.....
So K says on their website that they invest "up to" 5% in every loan. I'd rather see the "at least" figure though to be honest.
Does anyone know how much they invest in loans - is it public information for each loan? Where do they get their cash from to own "up to" 5% of their loan book?
Any other info plus/minus that might help in making a decision would be gratefully received.
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Post by Ace on Jun 22, 2020 16:35:59 GMT
I'm generally pulling out of p2p largely due to platform risk which I see as a result of most platforms not investing in all loans. Stupid me thinks maybe I'll make an exception..... So K says on their website that they invest "up to" 5% in every loan. I'd rather see the "at least" figure though to be honest. Does anyone know how much they invest in loans - is it public information for each loan? Where do they get their cash from to own "up to" 5% of their loan book? Any other info plus/minus that might help in making a decision would be gratefully received. I currently have 8 self select loans with them. In 5 loans K has a 5% stake, the others are all over 5%. The higher ones may be due to them being originated before they dropped from promising to invest 20% in each loan on a first loss basis. Now that was a worthwhile USP. In mid 2019 they dropped this promise to 5% and they've also dropped the first loss part. I put very little store by their 5% stake. They have exactly 5% in the 6 currently available loans. Also, i don't think they invest in their black box deals (autoinvest and IFISAs). I have a small investment in their autoinvest, but would stick to self select in future. I just don't understand the autoinvest thing. There's very little info, and what there is seems to be incorrect. E.g. it tells me I've received some interest, but there's no record of this in the transaction statement. I've notified them, but they haven't bothered to reply. You aren't allowed to self select in their IFISA. They seem to manage the loans well, which is the most important thing. Very little loses so far (see their stats page). All in all they're OK and I do invest small sums there for diversification, but I can't help but compare them to CrowdProperty and it that comparison K come up a little short all round. I suppose K do win on availability, but that in itself speaks volumes. Good luck.
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michaelc
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Post by michaelc on Jun 22, 2020 16:47:40 GMT
I'm generally pulling out of p2p largely due to platform risk which I see as a result of most platforms not investing in all loans. Stupid me thinks maybe I'll make an exception..... So K says on their website that they invest "up to" 5% in every loan. I'd rather see the "at least" figure though to be honest. Does anyone know how much they invest in loans - is it public information for each loan? Where do they get their cash from to own "up to" 5% of their loan book? Any other info plus/minus that might help in making a decision would be gratefully received. I currently have 8 self select loans with them. In 5 loans K has a 5% stake, the others are all over 5%. The higher ones may be due to them being originated before they dropped from promising to invest 20% in each loan on a first loss basis. Now that was a worthwhile USP. In mid 2019 they dropped this promise to 5% and they've also dropped the first loss part. I put very little store by their 5% stake. They have exactly 5% in the 6 currently available loans. Also, i don't think they invest in their black box deals (autoinvest and IFISAs). I have a small investment in their autoinvest, but would stick to self select in future. I just don't understand the autoinvest thing. There's very little info, and what there is seems to be incorrect. E.g. it tells me I've received some interest, but there's no record of this in the transaction statement. I've notified them, but they haven't bothered to reply. You aren't allowed to self select in their IFISA. They seem to manage the loans well, which is the most important thing. Very little loses so far (see their stats page). All in all they're OK and I do invest small sums there for diversification, but I can't help but compare them to CrowdProperty and it that comparison K come up a little short all round. I suppose K do win on availability, but that in itself speaks volumes. Good luck. Thanks Ace. Interesting you don't put much store into their 5%. Yes its a lot less than 20% but its still quite a significant interest? I might give it a go - start small.....
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benaj
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Post by benaj on Jun 22, 2020 16:47:53 GMT
Here's an example of K's stake Borrowers Loan Amount: £15,733.96 Kuflink Bridging Stake: £786.70 Expected loan end date: 19-09-2020 90 Day Valuation: £205,000.00 LTV : 43% First Legal Charge Defaults stats is available on their website. www.kuflink.com/statistics/Despite some borrowers encountered financial difficulties, no realised losses for investors so far. Some NPLs is taking longer to recover, but their historical track record is good, average actual term is 12 months, except 2016 cohort - 19 months Secondary market transaction below 2Mil, it has worked for me in the past.
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michaelc
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Post by michaelc on Jun 22, 2020 20:30:42 GMT
Well, I tried but got stuck on the verification process. After all the usual forms with my details I had to first upload a good quality scan of my driving licence front and back but then I realised their software wanted seperate files for front and back and also they wanted them well aligned so rather than a scan I took two photos.
These passed and I went to the next mountain step. I had to enter my mobile number so that they could send a link to my mobile which would enable the camera requiring me to take a picture of my perfectly formed facial features.
After all that lot, I received an email 2 minutes later (suggesting the face match to driving licence photo is automated) to say they had been unable to verify my identity and would I like to try again? I also received an automated from Narinder Khattoare, the CEO, welcoming me to the family.
To be fair I was very much on the fence anyway but after that experience I'd rather eat sand than try again. Good new for Bridgecrowd I fear...
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benaj
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Post by benaj on Jun 23, 2020 7:35:32 GMT
Well, I tried but got stuck on the verification process. After all the usual forms with my details I had to first upload a good quality scan of my driving licence front and back but then I realised their software wanted seperate files for front and back and also they wanted them well aligned so rather than a scan I took two photos. These passed and I went to the next mountain step. I had to enter my mobile number so that they could send a link to my mobile which would enable the camera requiring me to take a picture of my perfectly formed facial features. After all that lot, I received an email 2 minutes later (suggesting the face match to driving licence photo is automated) to say they had been unable to verify my identity and would I like to try again? I also received an automated from Narinder Khattoare, the CEO, welcoming me to the family. To be fair I was very much on the fence anyway but after that experience I'd rather eat sand than try again. Good new for Bridgecrowd I fear... I failed the check initially IIRC. I contacted Kuflink and customer support sorted it out.
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Post by df on Apr 21, 2021 15:23:30 GMT
My verification process was instant. Next step is to verify bank account details. Tried to upload my bank statement, tried both choosing the pdf from my HD and dragging it in, none of it worked. Tried live chat, didn't get any answer, but received an e-mail with the link to instructions how to change your bank details..... very obvious - sort code, account number and upload the file - which is exactly what I did. My browser is up to date as far as I know.
I gave up for now, too much hassle for one low interest high risk loan (I have very low appetite for multimillion development loans, had enough of them in the past)... and there's nothing on SM.
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dave4
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Post by dave4 on Apr 21, 2021 15:39:49 GMT
I had this issue, i believe it was file size related (maybe ).
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Post by df on Apr 21, 2021 16:03:31 GMT
I had this issue, i believe it was file size related (maybe ). I doubt it, it's only 82kb. I suspect that their uploading tool doesn't work. Meanwhile I've received e-mail asking me to e-mail my bank statement and they will arrange a manual upload. EDIT: e-mailed pdf and it was done for me immediately. Very quick.
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dave4
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Cynical is a hobby not a lifestyle
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Post by dave4 on Apr 21, 2021 16:23:50 GMT
And just in time for you (maybe) 2 more offerings arrive on the website.
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Post by df on Apr 21, 2021 17:42:04 GMT
And just in time for you (maybe) 2 more offerings arrive on the website. Actually 3 more, one that was already 100% funded suddenly appeared to have a small amount available. How does it work, can investors pull out before the loan is complete?
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dave4
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Cynical is a hobby not a lifestyle
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Post by dave4 on Apr 21, 2021 19:01:13 GMT
I believe yes that is my understanding of the most common reason is a funding issue arising with a lender. Kuflink are very help full and answer most questions even random kuflink inner working queries. note.. I have noticed that they seem on occasion to populate there shop window with recently (grayed out)filled loans , i liken this to just like a estate agent having sold properties in there shop window.
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Post by df on Apr 21, 2021 19:59:43 GMT
Can't get my head around KUF's compounded interest. Where do monthly repayments go, back in the same loan increasing the original value of borrowing? Wouldn't re-investing monthly interest payments into new loans deliver the same returns?
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Post by Ace on Apr 21, 2021 20:36:55 GMT
Can't get my head around KUF's compounded interest. Where do monthly repayments go, back in the same loan increasing the original value of borrowing? Wouldn't re-investing monthly interest payments into new loans deliver the same returns? You're not alone. I've never quite got my head round it either. No, the funds aren't invested back in the same loan. They are held onto by kuflink. My suspicion is that they hold on to it to reduce the extra capital they need to keep up their 5% skin in the game across all loans (but this is pure speculation). Importantly, Kuflink state that the compound interest is not secured and not subject to the CASS 7 Client Money rules. Another advantage for Kuflink is that it allows them to quote higher rates. Yes, reinvesting monthly repayments has the same effect as compounding, and is a lot cleaner IMO. It also allows you to drawdown the interest if you wish, or allows further diversification.
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Post by uksoul on Apr 21, 2021 21:29:02 GMT
Can't get my head around KUF's compounded interest. Where do monthly repayments go, back in the same loan increasing the original value of borrowing? Wouldn't re-investing monthly interest payments into new loans deliver the same returns? Yeah you get the same reinvesting the M.I.P into another loan or more if you reinvest into a higher interest rate which i try to do. I like the convenience of the compounded interest option but have no illusion that the financial benefit is more in Kuflink's favor.
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