Post by Ukmikk on Sept 11, 2024 15:08:56 GMT
I have one where hindsight was required by us lenders, but should not have been needed by the platform if it had done even the minimum amount of DD. The crucial facts were known to the CP person responsible, but not, according to him, by the owner, at the time of the launch. Then after the loan had defaulted they had opportunities to offload and the only reason that I can imagine why not was to preserve the "no losses" claim which they were making at the time.
As for the comment about the discontent with CP reducing the number of new projects, I am in alignment with the unhappiness regarding that: as far as I am concerned, CP should not be reducing the number of new project launches but killing them off altogether.
CP obviously have a very substandard vetting process in terms of the borrowers they bring on board. Just under 50% of my CP loans are more than 12 months in default, with many an incredibly long 24+ months overdue!
It's an enormous amount of my life savings that is now stuck. It causes me untold daily, and nightly, distress.
Capital redemptions are very thin on the ground.
The avalanche of 1 star Trustpilot reviews from disgruntled CP lenders demonstrates my situation is very common.
Such a massive long-term default ratio proves that CP's processes have been very inadequate thusfar. If a car manufacturer was releasing motor vehicles of which 50% of their engines burst into flames when on the road, they would immediately stop selling new cars until the causes of the problems were resolved.
CP need to do the same. Stop all new loan launches. Dramatically overhaul processes. Bring in new staff who perform. And not launch a single new loan until they get on top of the growing mountainful of loans in long-term default.
CP's staff and resources need to be focused on getting existing borrowers to pay back lenders' capital and accrued interest, not making the problem even worse by launching new loans that are also likely not to pay back as advertised to lenders.
Unfortunately I have to agree. I have only defaulted loans left now and have not received a payment for months.
Luckily I do not have an enormous proportion of my savings in CP, and this illustrates the importance of not ever putting too many eggs in one basket, no matter how attractive that basket may appear to be initially. I hope p2pfan gets their money back in due course, and the rest of us too of course.