ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
Posts: 11,329 
Likes: 11,549
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Post by ilmoro on Aug 25, 2020 11:56:07 GMT
stuartassetzcapital Could you just confirm that AC has not removed any 'excess' from the PFs as 'profit' (excluding any recovery of initial seed money)? If money has been removed, has it or will it now be replaced?
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Post by jasonnewman on Aug 25, 2020 11:58:44 GMT
My 10¢ worth ... 1) An Access Account Market Place (AAMP) was mooted for weeks / months and delivered on Wednesday, 12th of August. 2) Nine days later, on the 21st of August, an email is sent titled: "Reinvesting your interest via the Access Accounts", explaining the impact of the AAMP and how to utilise it to re-invest interest, should the lender choose to. 3) Today, not even a fortnight after the launch of the AAMP, AC send an email outlining "Important Information" around the Provision Fund's future performance. It seems to me that 3) was predictable - by those who have the responsibility and information available to make these important forecasts - and could and should have been communicated before events 1) & 2).If not predictable - maybe the FCA have re-interpreted something somewhere causing AC to re-evaluate the Ring-Fencing situation - then the effects of releasing 3) after 1) and 2) were definitely predictable, and a pausing of the AAMP to allow lenders time to evaluate the new information and decide whether they wanted to cancel or amend buy/sell/re-invest instructions would not have been a bad idea, IMO. I've been broadly supportive of AC's response to the CV-19 situation, but as an outsider looking in, they definitely seem to have gotten the cart before the horse on this one. PS: I don't see any information about the potential impact to the Provision Fund / Ring Fencing on the AC website. Appreciate that, in essence, nothing has actually changed - this is just a flagging of something that always could happen becoming significantly more likely to happen - but I might have expected to see an update to " Access Accounts update" page which was last updated to reflect the availability of the AAMP. At least that page is available to those perhaps looking to sign up to AC and therefore won't have received the email. I have said many many times I have 0 CONFIDENCE in the people that run this company, I can't get my money out fast enough from this platform, twists and turns by these people - I am VERY ANGRY with how business is conducted here. This is the another case in point where people have sold bad loans on to others and now they are stuck with the bad apples! AC do you know what you are doing? You had months to deliver this change, why do they mess up so much.
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jlend
Member of DD Central
Posts: 1,840
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Post by jlend on Aug 25, 2020 11:58:48 GMT
stuartassetzcapital Could you just confirm that AC has not removed any 'excess' from the PFs as 'profit' (excluding any recovery of initial seed money)? If money has been removed, has it or will it now be replaced? Including the money removed for the wind turbine payments?
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agent69
Member of DD Central
Posts: 6,043
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Post by agent69 on Aug 25, 2020 12:16:24 GMT
Will the access accounts still pay interest on untradable loans?
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dead-money
Rocket to the Moon
Posts: 746
Likes: 654
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Post by dead-money on Aug 25, 2020 12:19:41 GMT
Interest is paid based on the full amount invested in the Access account;
Cash in the AA, provision fund, suspended and defaulted loans never had an impact on that.
Nothing in the email suggests that has changed or is predicted to change in the future.
Although AC seem quite happy to change the mechanics of their platform at any time without notice nor opportunity to exit beforehand, so who knows!
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garfield
Member of DD Central
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Likes: 268
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Post by garfield on Aug 25, 2020 12:20:16 GMT
OK, I read "If there is not sufficient money within the relevant Provision Fund to fully cover the assessment of the Loss Given Default then the loan will not be allowed to trade within the Access Accounts" as applying separately to each account. It makes much more sense for a loan to be suspended from trading across the board. At least we have clarification now.  |
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Post by wanderer on Aug 25, 2020 12:22:35 GMT
stuartassetzcapital Could you just confirm that AC has not removed any 'excess' from the PFs as 'profit' (excluding any recovery of initial seed money)? If money has been removed, has it or will it now be replaced? Including the money removed for the wind turbine payments? No money has been removed from the PF this year for the windmill payments as no PF payments have been made this year, nor does it look like any will, since there's clearly little to no non ring fenced money in the PF, let alone any excess available for windmill payments. If AC had money available to replenish what was taken from the PF for refunds, then the refunds wouldn't have had to be made from the PF in the first place. Seems very likely to me the AC endgame is now being played out. I don't expect to receive any more windmill refunds from these clowns. Even if AC manages to limp along for another 6 months, and that's a charitable estimate, constantly changing its terms and conditions in an attempt to get away with whatever it wants, when these CBILS loans go bad, and the Daily Telegraph was reporting the other day the Government believes thousands of them are fraudulent, that will put AC to the wall, and it will do it right quick.
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Post by stuartassetzcapital on Aug 25, 2020 12:25:01 GMT
Will the access accounts still pay interest on untradable loans? Yes untradeable loans, as and when there are any, would often still be paying interest no problem - that is because some will have become untradeable through a risk assessment saying the pricing for the loan (the interest rate) is not currently correct for the current loan risk - it doesn't mean there is a loan default. It comes from the FCA regulations on fair pricing of traded loans. They will also be contributing to the PF to support any actually defaulted loans.
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Post by stuartassetzcapital on Aug 25, 2020 12:27:42 GMT
Including the money removed for the wind turbine payments? No money has been removed from the PF this year for the windmill payments as no PF payments have been made this year, nor does it look like any will, since there's clearly little to no non ring fenced money in the PF, let alone any excess available for windmill payments. If AC had money available to replenish what was taken from the PF for refunds, then the refunds wouldn't have had to be made from the PF in the first place. Seems very likely to me the AC endgame is now being played out. I don't expect to receive any more windmill refunds from these clowns. Even if AC manages to limp along for another 6 months, and that's a charitable estimate, constantly changing its terms and conditions in an attempt to get away with whatever it wants, when these CBILS loans go bad, and the Daily Telegraph was reporting the other day the Government believes thousands of them are fraudulent, that will put AC to the wall, and it will do it right quick. The Telegraph article referred to BBLS loans not your loans or CBILS loans so we dont agree with your conclusion therefore. Its quite hard to put it mildly to do a fraudulent property secured loan in the way that we operate.
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Post by stuartassetzcapital on Aug 25, 2020 12:28:56 GMT
Interest is paid based on the full amount invested in the Access account;
Cash in the AA, provision fund, suspended and defaulted loans never had an impact on that.
Nothing in the email suggests that has changed or is predicted to change in the future.
Although AC seem quite happy to change the mechanics of their platform at any time without notice nor opportunity to exit beforehand, so who knows!
This isn't a change, its what was described in the provision fund operation documentation. We are just letting you know it may well happen for a period.
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dead-money
Rocket to the Moon
Posts: 746
Likes: 654
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Post by dead-money on Aug 25, 2020 12:39:07 GMT
Interest is paid based on the full amount invested in the Access account;
Cash in the AA, provision fund, suspended and defaulted loans never had an impact on that.
Nothing in the email suggests that has changed or is predicted to change in the future.
Although AC seem quite happy to change the mechanics of their platform at any time without notice nor opportunity to exit beforehand, so who knows!
This isn't a change, its what was described in the provision fund operation documentation. We are just letting you know it may well happen for a period.
Several things definitely changed yesterday / overnight regarding being able to make investments into Access accounts whilst also having withdrawal instructions.
Also regarding which withdrawal capital repayments are applied to and how the withdraw and investment instructions are displayed.
It would be better for customer confidence if platform changes were clearly publicly documented and communicated.
Currently it's a daily whodunit to know if the platform's broken, not working as intended or the mechanics have been changed without notice.
The unannounced pause in capital repayments after the secondary market went live left many concerned / confused; this all causes a hit to investor confidence; markets react to fear far more than facts.
PS Also there's the disappearance of 'View Loan Holdings' from the menu for a day and then it's reappearance.
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SteveT
Member of DD Central
Posts: 6,875
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Post by SteveT on Aug 25, 2020 12:46:46 GMT
I have said many many times I have 0 CONFIDENCE in the people that run this company, I can't get my money out fast enough from this platform, twists and turns by these people - I am VERY ANGRY with how business is conducted here. This is the another case in point where people have sold bad loans on to others and now they are stuck with the bad apples! AC do you know what you are doing? You had months to deliver this change, why do they mess up so much. Yet you opted against exiting cleanly at just 5-6% discount last week? Curious.
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marky
Posts: 21
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Post by marky on Aug 25, 2020 12:59:22 GMT
This is a mess although I do believe that AC were only trying to do the right thing and warn us that the PF may not cover future loses.
This should not really be a surprise to anyone.
The high street banks (Lloyds etc) have been reserving billions of pounds to cover post Covid impairment - so why should AC be any different (in that they are likely to experience large impairments too).
Whether rushing to bale out at 10% discount will prove wise - only time will tell but I do applaud AC in trying to do the right thing.
It's also very courteous of Stuart from AC to personally post on this forum and try and address some of the hysterical comments that are being posted.
For me - I always viewed AC as a long term investment and I remain totally convinced that this will all be fine in the end.
If I had more liquidity - I would definitely be greedy and buy all these loans at 10% discount for the fearful.
GLA
Marky
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warn
Member of DD Central
Curmudgeon
Posts: 637
Likes: 658
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Post by warn on Aug 25, 2020 13:50:10 GMT
I have said many many times... Yes. And at least one person agrees with you. I know, because he 'liked' your post.
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Post by gobuchul on Aug 25, 2020 13:52:39 GMT
I have said many many times... Yes. And at least one person agrees with you. I know, because he 'liked' your post. I suspect he also gives himself a little applause after every post.
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