09dolphin
Member of DD Central
Posts: 630
Likes: 856
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Post by 09dolphin on Jul 30, 2020 9:42:49 GMT
A clothing and textile department store with an abysmal payment record on their second loan has "renegotiated" a payment plan so that the term of the loan reverts to the original date instead of the extra 4 months they were facing due to non payment and interest only payments in 2019 and 2020. This payment plan involves an increase in their monthly payment (which they obviously couldn't make in 2019) and having been in lockdown for about 3 months now believe they can increase their repayments. This company also has a propensity to establish and then cancel their DD.
Information in the "repayments" section for the present loan has been erased for 2019 and 2020 up until June. If I was buying into the secondary market I would suggest the payment history is essential knowledge - so ReBs why has this been done.
Why exactly, with their awful payment history, do ReBs believe that this company is now able to pay more than they could in 2019?
I don't understand the actions of ReBs. Can someone explain please?
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Post by Ace on Jul 30, 2020 10:30:25 GMT
ReBs is one of the few platforms that I've never tried, but...
Could it be that they have received, or are expecting to receive, cheap Covid related loans or handouts from the government that might allow them make higher payments?
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Post by df on Jul 30, 2020 20:40:55 GMT
A clothing and textile department store with an abysmal payment record on their second loan has "renegotiated" a payment plan so that the term of the loan reverts to the original date instead of the extra 4 months they were facing due to non payment and interest only payments in 2019 and 2020. This payment plan involves an increase in their monthly payment (which they obviously couldn't make in 2019) and having been in lockdown for about 3 months now believe they can increase their repayments. This company also has a propensity to establish and then cancel their DD. Information in the "repayments" section for the present loan has been erased for 2019 and 2020 up until June. If I was buying into the secondary market I would suggest the payment history is essential knowledge - so ReBs why has this been done. Why exactly, with their awful payment history, do ReBs believe that this company is now able to pay more than they could in 2019?I don't understand the actions of ReBs. Can someone explain please? According to the e-mail they've refactored this loan and "The refactoring process creates a 'new' loan with a new repayment calendar". "In the past few weeks, the store has reopened and the focus on online sales has improved the revenue. With this in mind, the borrower asked us if they could increase the monthly repayment amounts beyond what the normal full repayment amount is to ensure that the loan is repaid within the original 5 year term."
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optimist
Member of DD Central
Posts: 122
Likes: 72
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Post by optimist on Aug 4, 2020 23:18:47 GMT
A clothing and textile department store with an abysmal payment record on their second loan has "renegotiated" a payment plan so that the term of the loan reverts to the original date instead of the extra 4 months they were facing due to non payment and interest only payments in 2019 and 2020. This payment plan involves an increase in their monthly payment (which they obviously couldn't make in 2019) and having been in lockdown for about 3 months now believe they can increase their repayments. This company also has a propensity to establish and then cancel their DD. Information in the "repayments" section for the present loan has been erased for 2019 and 2020 up until June. If I was buying into the secondary market I would suggest the payment history is essential knowledge - so ReBs why has this been done. Why exactly, with their awful payment history, do ReBs believe that this company is now able to pay more than they could in 2019? I don't understand the actions of ReBs. Can someone explain please? I have to admit to quite liking this particular loan.
High interest rate, the business is growing, loan to security ratio appears good, there's a debenture with first priority fixed and floating charge, the owner's a millionaire with three properties and the company has been going for 51 years.
I have no links to RBS, I expect they followed their process and took a %. Caveat Emptor
RBS often have a link in the loan "overview" tab at the bottom of the page with "view existing loan here"
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