ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jan 19, 2015 23:57:25 GMT
Merely trying to assist you in getting the investor opportunity 'off the ground' by giving you an insight into the lenders perspective. Canny bunch of lenders on this forum you know! Seem to remember a recent email from the Ablrate team that there are now over 400 members on the site but this loan filled from investment from just 78 lenders. Wondering if the other 322+ (a) missed out as they did not want to tie the investment up too early, (b) did not want to participate in this particular loan at all, having completed their DD, (c) are vouyeur members only sitting quietly waiting in the wings for the deal rate to increase before committing any funds to the platform, or (d) any other reason you can think of. I suspect the biggest impediment at the moment is lack of loans & therefore diversification restrictions.
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unmadem
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Post by unmadem on Jan 20, 2015 11:33:26 GMT
They are looking to extend the loan from 4 to 7 months, You should have an email if you are a lender.
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unmadem
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Post by unmadem on Jan 20, 2015 11:59:10 GMT
Merely trying to assist you in getting the investor opportunity 'off the ground' by giving you an insight into the lenders perspective. Canny bunch of lenders on this forum you know! Seem to remember a recent email from the Ablrate team that there are now over 400 members on the site but this loan filled from investment from just 78 lenders. Wondering if the other 322+ (a) missed out as they did not want to tie the investment up too early, (b) did not want to participate in this particular loan at all, having completed their DD, (c) are vouyeur members only sitting quietly waiting in the wings for the deal rate to increase before committing any funds to the platform, or (d) any other reason you can think of. I suspect the biggest impediment at the moment is lack of loans & therefore diversification restrictions. I think that is a factor too. If you go on and see that there is 1 or no loans it is not encouraging. There is however a bit of a chicken and egg situation here as they have previously reported that the constraint in bringing new loans to the platform is lack of investors. Hope they get some momentum soon.
I do think they should keep instant investment even on the relatively quick loans until they can get larger. With so few lenders they really don't need people to come onto site and leave without investing especially as people take confidence from others investing. Obviously once they have reached critical mass I'd understand this might not be continued but I'd note that saving stream have instant interest and a 12% rate and usually 0.5 cashback for early investment.
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jan 20, 2015 13:47:55 GMT
Theres been a email update to this loan which is being extended to 7 months. Anyone not happy with the extended period can contract Ablrate to have their bid cancelled. Loan expected to drawdown 22nd. ablrate. Probably need to update details on the loan on the site, including a banner highlighting the change as some investors may not get the email. I notice the details box has changed but not any of the preamble/headers which still refer to 4 months. Revised proposal also needs adding to docs. Edit. Missed unmadem earlier post.
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Post by ablrate on Jan 20, 2015 13:52:13 GMT
I suspect the biggest impediment at the moment is lack of loans & therefore diversification restrictions. I think that is a factor too. If you go on and see that there is 1 or no loans it is not encouraging. There is however a bit of a chicken and egg situation here as they have previously reported that the constraint in bringing new loans to the platform is lack of investors. Hope they get some momentum soon.
I do think they should keep instant investment even on the relatively quick loans until they can get larger. With so few lenders they really don't need people to come onto site and leave without investing especially as people take confidence from others investing. Obviously once they have reached critical mass I'd understand this might not be continued but I'd note that saving stream have instant interest and a 12% rate and usually 0.5 cashback for early investment.
Hi Loans are not the issue at the moment, we have £11 million that could (and may) go on the platform shortly between 6 loans, it is just a case of being able to know that they will be funded. That will come with more investors on the platform. We are very much getting there with new institutions coming on board and increased marketing to attract retail lenders along with our own fixed interest funding plans. The new platform will be a watershed too, there are new functions that will make it much easier to invest and manage the loans, much easier for borrowers to request loans and much easier for us to pre-schedule loans with underwriters/institutions. We know that some are offering higher rates/cashback etc... but we have our own model of sustainable business with a zero default rate. Regards Ablrate
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ilmoro
Member of DD Central
'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
Posts: 10,877
Likes: 11,101
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Post by ilmoro on Jan 20, 2015 13:56:41 GMT
I suspect the biggest impediment at the moment is lack of loans & therefore diversification restrictions. I think that is a factor too. If you go on and see that there is 1 or no loans it is not encouraging. There is however a bit of a chicken and egg situation here as they have previously reported that the constraint in bringing new loans to the platform is lack of investors. Hope they get some momentum soon.
I do think they should keep instant investment even on the relatively quick loans until they can get larger. With so few lenders they really don't need people to come onto site and leave without investing especially as people take confidence from others investing. Obviously once they have reached critical mass I'd understand this might not be continued but I'd note that saving stream have instant interest and a 12% rate and usually 0.5 cashback for early investment.
Their post on the loans page implies a pipeline of 6 loans, totalling 11 million, which hopefully they will get going soon to get some momentum. Edit: ha, cross post with the man himself there
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shimself
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Post by shimself on Jan 20, 2015 15:46:34 GMT
..... That will come with more investors on the platform. ....there are new functions that will make it much easier to invest and manage the loans, much easier for borrowers to request loans and much easier for us to pre-schedule loans with underwriters/institutions. I recollect you had an institutional investor with 20M to spend, no? Seems odd that you need a platform to get underwriter types involved?
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Post by ablrate on Jan 20, 2015 17:01:30 GMT
..... That will come with more investors on the platform. ....there are new functions that will make it much easier to invest and manage the loans, much easier for borrowers to request loans and much easier for us to pre-schedule loans with underwriters/institutions. I recollect you had an institutional investor with 20M to spend, no? Seems odd that you need a platform to get underwriter types involved? Hi Yes we do, but we have ambitions of doing a lot more than 20 million.... and it allows us to allocate institutional funds across a number of loans in advance, alongside underwriters... also some institutions are not as up front as Synth... ie they want to invest 100k here and 500k there, not commit to a large chunk... That is difficult to manage in terms of pipeline flow if we are uncertain of the loans they will invest in, by giving a 'preview' to these investors they can express their interest or not and it gives us time to 'build a book' of underwriters before the loan goes live. It will also give the retail investor (albeit with larger sums to invest) an opportunity to plan a portfolio of loans out over a year for example (as we can predict a pipeline in aircraft especially up to one year in advance (longer if it is new). - Do not despair with worries of favoritism, there is a tool coming that will level the playing field for all. Basically we want to have our origination team concentrating on getting loan requests on the platform (however far ahead) and our business development guys covering those loans with underwriters and institutions so that when they are live we, and you guys, know they will fill. That way we get more loans and you get more diversification. Regards Ablrate
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Post by ablrate on Jan 21, 2015 10:08:22 GMT
Think everyone was waiting to jump in closer to the end, if I remember correctly this one not pay interest from the bid date and being a short (4 month?) loan, anyone investing early takes a significant hit on their return. Think ablrate need to take a look at this otherwise some larger future loans may not fund due to the Prisoners Dilemma. I have a suspicion this loan would have filled in less than a week if it had the 'Instant Returns' interest from bid date applied to it. I think the instant returns is applied to loans where the transaction has already been done and we are taking out underwriters/other lenders but I also think loans will drawn down earlier if fully funded early, so maybe Albrate need to emphasise this point. There is obviously a risk to lenders of tying up funds in this case so maybe Albrate should look at some form of shadow bidding/pledge system where funds are only required once the loan is funded. Certainly this would speed up any small loans. Hi Investor The new system is due in March and will have the facility to have scheduled loans. This means that we can upload loans and begin building a book before the loan goes live as per your suggestion. We will also be redesigning the information flow and simplifying a lot of the site to make it more intuitive; making the instant returns facility more obvious is one of those on the list. Regards Ablrate
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Post by ablrate on Feb 9, 2016 16:58:41 GMT
Hi Guys This loan matured a while ago, but I thought you might like to see what you helped finance: Bottling plant videoRegards Ablrate
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registerme
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Post by registerme on Feb 13, 2016 9:10:20 GMT
Just a short note to say how positive I think it is, for lenders, borrowers, and the platform to have repeat business from SMEs. Establishing lending relationships like the this is possibly the healthiest form of lending going.
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unmadem
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Post by unmadem on Feb 19, 2016 14:53:57 GMT
Business with a history of repaying loan always good.
Given this is another amortizing loan when do you expect to have bug on secondary market with these fixed ?
Is Dave Sweeney, part of the management team at Morrow Brothers, related ablrateandy ? Not saying this is a bad thing but good for transparency to know.
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Post by ablrateandy on Feb 19, 2016 14:58:03 GMT
No relation although funnily enough I am from very near the Morrow Brothers factory.*
Amortising loans is getting there.... it is the sole IT focus.
*no relation going back five generations though there is probably some Irish vagabond involved somewhere back in the seventeenth century.
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hazellend
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Post by hazellend on Feb 19, 2016 20:24:19 GMT
Does the interest remain 10% APR paid monthly on the entire loan amount even as the capital is paid back or does the interest payment drop as the capital is repaid?
I,e if I invest 12000 do I get 100pounds per month interest until the loan is repaid?
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alanp
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Post by alanp on Feb 20, 2016 21:51:00 GMT
No as it is an amortising loan. Each month you will receive CAPITAL + INTEREST and as the months roll by the proportions change from nearly 100% interest in Month1 to nearly 0% interest at the ened.
Works the same way as a repayment mortgage for the borrower essentially.
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