ian
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Post by ian on Dec 4, 2020 8:01:29 GMT
I actually dropped a note highlighting the delay in this loan going live. So I was delighted to ultimately receive this response.
Dear Social Investors - Unfortunately the borrower has pulled out of this loan and your capital has been returned. The borrower has been gazumped. The borrower does not know if he can win the property back and we had to call time on it. As such we are cancelling the loan, for now. We appreciate that this is frustrating as you had funds allocated in this loan. It is also frustrating for us as the team have spent a lot of time and effort preparing this loan for completion. We are conscious that many investors have had their funds lying dormant in this loan for between 10 and 56 days. This is part and parcel of the investment and loan industry. You will be aware that you may receive a higher return with us over and above many other forms of investment. We factor in this higher return due to the non-interest earning time that can occur - such as waiting for pipeline loans to complete. However, on this occasion and this occasion only, as a gesture of goodwill we are willing to compensate you for an element of the unearned interest. We will therefore be willing to credit your e-wallet with an ex-gratia payment as follows 0.6% pcm x your capital invested in B**** loan x the amount of days that your funds were invested in the pipeline, capped at 30 days. You will note that we have reduced the interest rate earned to 0.6%. This is because you have earned money quickly and risk free. Furthermore the loan has generated zero revenue for SoMo and as such, by paying investors, SoMo will be out of pocket. We would like to re-iterate that this payment is an exception to the rule. It was a long period of time of unearned interest and therefore an exceptional time. As you may or may not know, it is very rare for a pipeline loan to not to complete. Over 98% of loans in pipeline complete within 14 days. We would like to thank you for your continued support.
This is one of the reasons I believe BC is head and shoulders above any other P2P lender for investors.
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qwakuk
Member of DD Central
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Post by qwakuk on Dec 4, 2020 12:27:56 GMT
I actually dropped a note highlighting the delay in this loan going live. So I was delighted to ultimately receive this response. Dear Social Investors - Unfortunately the borrower has pulled out of this loan and your capital has been returned. The borrower has been gazumped. The borrower does not know if he can win the property back and we had to call time on it. As such we are cancelling the loan, for now. We appreciate that this is frustrating as you had funds allocated in this loan. It is also frustrating for us as the team have spent a lot of time and effort preparing this loan for completion. We are conscious that many investors have had their funds lying dormant in this loan for between 10 and 56 days. This is part and parcel of the investment and loan industry. You will be aware that you may receive a higher return with us over and above many other forms of investment. We factor in this higher return due to the non-interest earning time that can occur - such as waiting for pipeline loans to complete. However, on this occasion and this occasion only, as a gesture of goodwill we are willing to compensate you for an element of the unearned interest. We will therefore be willing to credit your e-wallet with an ex-gratia payment as follows 0.6% pcm x your capital invested in B**** loan x the amount of days that your funds were invested in the pipeline, capped at 30 days. You will note that we have reduced the interest rate earned to 0.6%. This is because you have earned money quickly and risk free. Furthermore the loan has generated zero revenue for SoMo and as such, by paying investors, SoMo will be out of pocket. We would like to re-iterate that this payment is an exception to the rule. It was a long period of time of unearned interest and therefore an exceptional time. As you may or may not know, it is very rare for a pipeline loan to not to complete. Over 98% of loans in pipeline complete within 14 days. We would like to thank you for your continued support. This is one of the reasons I believe BC is head and shoulders above any other P2P lender for investors. Can I ask if they have added the interest to your account yet. I did invest in this on 5th Oct, moaned about the delay and they released my cash on 24th Oct. I will ask for some interest once I know others who were locked in until today / yesterday got their interest.
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Nomad
Member of DD Central
Posts: 727
Likes: 494
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Post by Nomad on Dec 4, 2020 13:20:26 GMT
I actually dropped a note highlighting the delay in this loan going live. So I was delighted to ultimately receive this response. Dear Social Investors - Unfortunately the borrower has pulled out of this loan and your capital has been returned. The borrower has been gazumped. The borrower does not know if he can win the property back and we had to call time on it. As such we are cancelling the loan, for now. We appreciate that this is frustrating as you had funds allocated in this loan. It is also frustrating for us as the team have spent a lot of time and effort preparing this loan for completion. We are conscious that many investors have had their funds lying dormant in this loan for between 10 and 56 days. This is part and parcel of the investment and loan industry. You will be aware that you may receive a higher return with us over and above many other forms of investment. We factor in this higher return due to the non-interest earning time that can occur - such as waiting for pipeline loans to complete. However, on this occasion and this occasion only, as a gesture of goodwill we are willing to compensate you for an element of the unearned interest. We will therefore be willing to credit your e-wallet with an ex-gratia payment as follows 0.6% pcm x your capital invested in B**** loan x the amount of days that your funds were invested in the pipeline, capped at 30 days. You will note that we have reduced the interest rate earned to 0.6%. This is because you have earned money quickly and risk free. Furthermore the loan has generated zero revenue for SoMo and as such, by paying investors, SoMo will be out of pocket. We would like to re-iterate that this payment is an exception to the rule. It was a long period of time of unearned interest and therefore an exceptional time. As you may or may not know, it is very rare for a pipeline loan to not to complete. Over 98% of loans in pipeline complete within 14 days. We would like to thank you for your continued support. This is one of the reasons I believe BC is head and shoulders above any other P2P lender for investors. Can I ask if they have added the interest to your account yet. I did invest in this on 5th Oct, moaned about the delay and they released my cash on 24th Oct. I will ask for some interest once I know others who were locked in until today / yesterday got their interest. On the day my 5K principal was returned I also received a "deposit" of £29.59 which I assume to be the "ex-gratia payment".
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qwakuk
Member of DD Central
Posts: 241
Likes: 90
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Post by qwakuk on Dec 4, 2020 13:44:29 GMT
Can I ask if they have added the interest to your account yet. I did invest in this on 5th Oct, moaned about the delay and they released my cash on 24th Oct. I will ask for some interest once I know others who were locked in until today / yesterday got their interest. On the day my 5K principal was returned I also received a "deposit" of £29.59 which I assume to be the "ex-gratia payment". I will send the email as my philosophy is if you don't ask, you don't get
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qwakuk
Member of DD Central
Posts: 241
Likes: 90
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Post by qwakuk on Dec 6, 2020 13:16:16 GMT
A deposit of £18.71 with no explanation has been added to my account, assume it was the ex gratia interest.
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Post by multiaccountmanager on Dec 6, 2020 14:05:00 GMT
Can I ask if they have added the interest to your account yet. I did invest in this on 5th Oct, moaned about the delay and they released my cash on 24th Oct. I will ask for some interest once I know others who were locked in until today / yesterday got their interest. On the day my 5K principal was returned I also received a "deposit" of £29.59 which I assume to be the "ex-gratia payment". I too received 29.59 which is the max (30 days for £5k) afaik. Also there is an autoinvest loan just filled which is based on a property purchase so could have this issue again. It can't be easy to time the fund raising when legalities of purchase have to be completed.
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michaelc
Member of DD Central
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Post by michaelc on Dec 7, 2020 19:25:55 GMT
Not sold. The price in total to BC of a few hundred quid is a nice touch but I'd rather the fundamentals were better covered.
Transparency being the main one. That's not something unique to BC. In fact I agree with the OP that BC are head and shoulders above the rest but they need to do more and publish more figures for me to get back in.
Every small investment business is often seen as fantastic while they pay the big buck interest. They are fantastic until they fold. Having quality information on the loan book allows the investor to make a better judgement. Really the FCA should mandate it but until then perhaps BC could lead the way....
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