criston
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Post by criston on Jun 24, 2020 15:38:30 GMT
Update at 16.19pm today.
Receivers have been appointed and we await their initial report and recommendations.
Yet I watched it sell at auction for £350k at around 13.30 today.
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criston
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Post by criston on Jun 24, 2020 16:34:04 GMT
Update at 16.19pm today. Receivers have been appointed and we await their initial report and recommendations.Yet I watched it sell at auction for £350k at around 13.30 today. Spoke to Administrators. It appears they were not aware of the auction. Why the update three hours after the auction-something going on here.
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criston
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Post by criston on Jun 25, 2020 8:08:42 GMT
Should be a positive update today, now that the administrators have been pointed in the right direction.
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criston
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Post by criston on Jun 25, 2020 10:20:57 GMT
Should be a positive update today, now that the administrators have been pointed in the right direction. Update now correct.
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Post by multiaccountmanager on Jun 25, 2020 16:51:26 GMT
Interest by July 7 should be about 40k so total loan and interest 300k.
That might permit a full recovery.
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criston
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Post by criston on Jul 4, 2020 11:49:50 GMT
Would anyone who follows the payout procedure, care to make any assumptions on lenders payout.
I note when there is a surplus on some loans payouts, the lender still gets less than full interest, which I believe is being contested & rightly so.
The auction sale price is £350k. The loan was £260k. The interest to date is 15.25%.
Will it go something like this.
Auction sale £350k
Investors Capital payout £260k 100%
Investors interest £16k 40%
C & G fees 2.5% + vat. £11k
Receivers fees £42k
Auction fees £9k
Balance to return to borrower. £12k
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sqh
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Post by sqh on Jul 6, 2020 2:33:51 GMT
Would anyone who follows the payout procedure, care to make any assumptions on lenders payout. I note when there is a surplus on some loans payouts, the lender still gets less than full interest, which I believe is being contested & rightly so. The auction sale price is £350k. The loan was £260k. The interest to date is 15.25%. Will it go something like this. Auction sale £350k Investors Capital payout £260k 100% Investors interest £16k 40% C & G fees 2.5% + vat. £11k Receivers fees £42k Auction fees £9k Balance to return to borrower. £12k I think the following need to be considered: FS are holding 6 months interest from borrower payment last October. Auction stated buyer premium, so auction fees should be much lower than £9k. Receiver fees should be less than £10k. The receivers were appointed by the administrators, so the fees should be sensible, not the extortionate receiver fees that FS directors agreed to. There will be FS interest and FS default interest to pay.
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criston
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Post by criston on Jul 14, 2020 11:51:18 GMT
If the completion was due 7/7/20, how long should we expect the funds to go through; from the borrowers solicitors to the receivers solicitors to our administrators & then to the lenders ?
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criston
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Post by criston on Jul 29, 2020 14:36:56 GMT
Any news on the payout on this one yet ?
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criston
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Post by criston on Aug 12, 2020 14:23:24 GMT
Redeemed today with £115.67 interest for every £1000.
The loan was for £260k; the auction price was £350k.
The actual return was 8.6% (£30,402) against the 12% actual loan interest.
So £60k has been distributed elsewhere in charges etc.
I have seen some payouts talked about, where funds have been returned to the borrower even though there was enough to pay full interest.
Where does one find a complete breakdown showing all the charges etc.
I do not get emails from them; should I ?
Edit. Just found the breakdown & indeed £12854 was paid to the borrower. Still studying the breakdown
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huxs
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Post by huxs on Aug 12, 2020 14:40:15 GMT
What don't understand is that CG fees where taken from our payments rather than from the money returned to the lender ?? surely we should have got full payment plus full interest (plus penalty interest as not sure who that goes to) and then CG take their fees and then the borrower gets what's left ??
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iRobot
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Post by iRobot on Aug 12, 2020 14:49:23 GMT
What don't understand is that CG fees where taken from our payments rather than from the money returned to the lender ?? surely we should have got full payment plus full interest (plus penalty interest as not sure who that goes to) and then CG take their fees and then the borrower gets what's left ?? I'd tend to agree with you but, as has been outlined elsewhere, it's possible the borrower has a contract which sets out the deductions in the circumstances of a disposal. It's possible that FS' five percent is stipulated, but as CG&Co's 2.5% + VAT has (annoyingly) been agreed outside of that 5%, then rather than CG&Co deducting it from the borrowers returns - who would object and cause CG&Co grief - CG&Co have pragmatically taken it from lenders' returns who can't really say much, other than formally challenge the whole process. It's been suggested that the Adminsitrators action in this regard might be taken as an indicator that their 2.5%+VAT should be deducted from FS' 5%. I suspect it will take a court to decide.
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rogerthat
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Post by rogerthat on Aug 12, 2020 15:15:12 GMT
"It's been suggested that the Adminsitrators action in this regard might be taken as an indicator that their 2.5%+VAT should be deducted from FS' 5%.
I suspect it will take a court to decide"
I hope this is still being contested..and IF a court decides in investors favour, so much the better but if not, then at least we have a definitive answer, rather than 'thats the way the cookie crumbles'
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criston
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Post by criston on Aug 12, 2020 15:19:58 GMT
Am I allowed to post this here ?
For those that are not aware, this is how lenders get shafted.
Sale Proceeds: H*****wood Road £ 350,000.00
Funds withheld held at start of loan £ 25,235.55
Total Received £ 375,235.55
Less;:
Estate Agents Fees (1.5% of sale price - £ 6,300.00
Agents - Marketing, Admin & Entry Fee - £ 300.00
Conveyancing Costs. and Disbursements - £ 2,185.80
Litigation Costs - £ 10,360.60
Receivers' fees & Disbursements - £ 6,250.00
Pre-Recovery costs (Site Inspection) - £90.00
Total Costs - £ 25,486.40
Net Receipts £349,149.15
Investors Capital £ 260,000.00
(Full amount)
Investors interest £ 30,403.63
(should have been £42,500)
CG Fees 2.5 + VAT £ 10,492..47
FS Monthly Accrued Admin Fees £ 21,894.74
Default interest due £14,104.11
Surplus Monies to Borrower £12.854.19
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iRobot
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Post by iRobot on Aug 12, 2020 15:32:32 GMT
Am I allowed to post this here ? Don't see why not - doesn't identify the asset (although you may wish to obfuscate the road name as it could be tied back via land registry on the sale amount). (Edit: taken care of I see  ) Very useful. All other things being equal goes to show the costs associated with property disposals and maybe why 35% headroom on a £120k property's LTV isn't necessarily more attractive than 20% headroom on on that of a £1.2m property. Those costs which aren't fixed (by £-value or %) can be proportionally way more on a low cost property and really bite into the capital returns.
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