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Post by investor1925 on Feb 9, 2022 14:20:59 GMT
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Post by mfaxford on Feb 9, 2022 20:53:59 GMT
Disappointing it's closing down, At least it adds to the small number who've managed to exit the market cleanly. I was hoping to invest more funds over the next few months - Now I'll have to find somewhere else for my Zopa money. ... I suspect that the Board discovered a very serious risk in continuing - no idea what - and decided that the risk wasn't worth taking, hence the winddown. Possibly just that the rate of borrowers isn't high enough to keep lenders happy and it's currently too much work per loan to be worth it.
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Post by Ace on Feb 10, 2022 10:17:35 GMT
The cash balance in my CL account has just been automatically returned to my bank account. I.e. I didn't need to request the withdrawal, it was done automatically.
I hadn't bothered initiating a withdrawal as there was only a small sum in there, so I was going to wait for the loans to be sold.
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nick
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Post by nick on Feb 10, 2022 10:53:14 GMT
"We have already put in place plans to have loans transferred to another lender." - does this mean that they are planning to sell the existing loan book to another p2p company? FYI - I tried calling CL a couple of times to clarify whether they intend to sell the loan book to cash lenders out promptly and to get some colour over their decision to wind down. Just received this email in response from customer services: "I am to understand that you had a question about our wind-down and repayment of the loans. To confirm we will be paying the loans back over the next few days and weeks. We will not be waiting for loans to meet their maturity date for repayment, however, those that are in or near maturity we will wait for the borrower to repay before being transferred. We look to start the process in the next 24hrs and you will be notified as each payment is made." So it would seem that they have sold the bulk of the loan book. My interpretation is that they can obtain cheaper institutional/private funding for the business without the administrative headache and cost of p2p retail investors. Makes commercial sense for them given the low £volume high margin nature of their business, shame for us retail investors.
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Post by Ace on Feb 10, 2022 11:17:52 GMT
"We have already put in place plans to have loans transferred to another lender." - does this mean that they are planning to sell the existing loan book to another p2p company? FYI - I tried calling CL a couple of times to clarify whether they intend to sell the loan book to cash lenders out promptly and to get some colour over their decision to wind down. Just received this email in response from customer services: "I am to understand that you had a question about our wind-down and repayment of the loans. To confirm we will be paying the loans back over the next few days and weeks. We will not be waiting for loans to meet their maturity date for repayment, however, those that are in or near maturity we will wait for the borrower to repay before being transferred. We look to start the process in the next 24hrs and you will be notified as each payment is made." So it would seem that they have sold the bulk of the loan book. My interpretation is that they can obtain cheaper institutional/private funding for the business without the administrative headache and cost of p2p retail investors. Makes commercial sense for them given the low £volume high margin nature of their business, shame for us retail investors. I totally get that they might have closed to retail investors because they have found cheaper and easier finance elsewhere. But what I don't understand, if that is the case, is why they wouldn't just say so. That, together with the quote from Danny in P2PFN today, that he's unable to comment further at this time, makes me feel that there is some other reason. It's pointless to speculate without facts, but that's never stopped me before, so... I wonder if the FCA have forewarned them off some impending new rules that they would find difficult/expensive to comply with!!! IF (a very big IF) that is the case: thanks FCA for "protecting" us from an honest platform and allowing us to be scammed by the dishonest. I'm aware that I may have to eat those words in the near future 😉
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dave4
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Cynical is a hobby not a lifestyle
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Post by dave4 on Feb 10, 2022 11:54:11 GMT
Always pleasant and helpful gentlemen. Will be missed.. Anyhoe.... any alternatives ? except ub.
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tallsuk
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Post by tallsuk on Feb 10, 2022 12:29:04 GMT
I totally get that they might have closed to retail investors because they have found cheaper and easier finance elsewhere. But what I don't understand, if that is the case, is why they wouldn't just say so.Excellent point and does make you wonder.
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jcb208
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Post by jcb208 on Feb 10, 2022 18:19:38 GMT
I never understood why any one would take out loans at nearly 40% on items like gold coins, surely you would sell them and buy back when your funds are available. Gold prices don't move that quick
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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 Feb 10, 2022 19:10:28 GMT
First early redemption just come through
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dh1
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Post by dh1 on Feb 10, 2022 19:24:17 GMT
Sure did. Withdrawal requested - wonder how fast it will be? It has just arrived in my bank account.... 17:00 11/02/22
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dave4
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Cynical is a hobby not a lifestyle
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Post by dave4 on Feb 10, 2022 20:04:01 GMT
Sure did. Withdrawal requested - wonder how fast it will be? Before the closure event, next working day.
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jcb208
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Post by jcb208 on Feb 10, 2022 20:17:45 GMT
Should be in bank tomorrow, just actioned my 2nd withdrawal.
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ukinvestor
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Post by ukinvestor on Feb 10, 2022 21:22:35 GMT
Me too
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Post by df on Feb 10, 2022 22:44:08 GMT
Sure did. Withdrawal requested - wonder how fast it will be? I'm sure it will be in our bank accounts tomorrow and I expect the rest of the exit to be graceful. I do worry about the paintings and clock outcome, but that is probably due to haunting FS experience
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ukinvestor
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Post by ukinvestor on Feb 11, 2022 19:23:12 GMT
Nothing received today - still is showing pending on dashboard
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