littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
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Post by littleoldlady on Nov 30, 2023 8:57:16 GMT
As far as I know, but happy to be corrected if not, CP have never admitted that a loan has failed. Any that have are just left festering. Cetainly the case with all my loans. At my age I would be happy to take whatever haircut is coming just to clear the decks for the executors of my estate. The total amount outstanding is not large and is less than total interest received from CP but it's a Hotel California platform. I'm interested to see how they do handle their first crystallised loss, particularly to see whether they forgo any of their own fees, which some of the better platforms do in loss situations, or whether they stick to the letter of the contracts to maximise platform profits. Forgoing their fees would go a long way to appease lenders, and will help me determine my future lending amounts with them. Re (my) bold, I think this confirms my assertion.
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Post by Ace on Nov 30, 2023 9:30:57 GMT
I'm interested to see how they do handle their first crystallised loss, particularly to see whether they forgo any of their own fees, which some of the better platforms do in loss situations, or whether they stick to the letter of the contracts to maximise platform profits. Forgoing their fees would go a long way to appease lenders, and will help me determine my future lending amounts with them. Re (my) bold, I think this confirms my assertion. I don't see how. You asserted that CP had never admitted that a loan has failed. Surely, the fact that they've admitted that some loans will suffer capital losses is an admission that they have failed. Crystallising a loss is quite another thing. Managing the loss to ensure that the loss is kept as low as possible will take time; in some cases, a lot of time. From the information that I've been provided with on my defaults, they do not appear to be indulging in the proverbial can kicking that was practiced by the scam/incompetent platforms. Hence, I'm happy to increase my exposure by reinvesting my profits.
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littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
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Post by littleoldlady on Nov 30, 2023 19:33:05 GMT
Semantics. It would have been clearer if I had said they have never crystallised a loss, which is what I meant. My gripe with them is not that there have been losses, these are to be expected, it is that they will not crystallise a loss and enable one to exit. In some of my loans they have claimed years ago that they had been offered a way out but had rejected it "in the interests of lenders", meanwhile Admin costs pile up and the asset deteriorates and the outlook just gets worse - but they preserve their precious "Never had a loss" status. This is what I mean by "festering".
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Post by chubby on Nov 30, 2023 21:01:33 GMT
I very rarely post on this forum but I really feel I must comment on the lack of updates on late loans from CP. All too often one of their updates will give a date by which something will be achieved. The date passes substantially and nothing happens. I was a big fan of CP but the recent dearth of updates is extremely disappointing.
Come on CP up your game !!
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Post by Ace on Dec 16, 2023 8:29:13 GMT
Another project is in default, so now 36 (57 defaulted, of which 21 have since fully repaid).
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Post by overthehill on Dec 16, 2023 10:34:42 GMT
Another project is in default, so now 36 (57 defaulted, of which 21 have since fully repaid).
Did someone mention tipping point !
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Post by Ace on Dec 19, 2023 10:13:23 GMT
I received a partial capital repayment (65% of capital plus interest) on one of my defaulted loans this morning (K****s F**m D********n).
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Post by Ace on Dec 21, 2023 12:47:12 GMT
Another project is in default, so now 37 (58 defaulted, of which 21 have since fully repaid).
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Post by Ace on Dec 23, 2023 8:10:20 GMT
Another project in default has repaid, so now 36 in default (58 defaulted, of which 22 have since fully repaid).
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littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
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Post by littleoldlady on Jan 12, 2024 18:39:13 GMT
A time line on one of my loans (not the worst and one I still hope for some return on)
2019 Loan started initial end date 10.3.21
Oct 20 End dated pushed out to Dec 21
Dec 21 End dated pushed out to Q1 22 They claim the initial end date was Dec 21 so I don't know from when they are accruing default interest but I don't expect to get any so not worried.
Mar 22 End dated pushed out to Apr 22
May 22 End dated pushed out to Aug 22
Aug 22 End dated pushed out to Dec 22
Jan 23 End dated pushed out to Mar 23 (but CP think this is optimistic)
May 23 End date postponed indefinitely
Aug 23 End dated pushed out to Q4 23
Nov 23 End date postponed indefinitely
Jan 24 End date postponed indefinitely
Delays in development projects are to be expected and this project was affected by Covid, but even so not pretty.
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Post by Ace on Jan 25, 2024 7:54:36 GMT
Another project in default has repaid, so now 35 in default (58 defaulted, of which 23 have since fully repaid).
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Post by Ace on Feb 8, 2024 8:48:40 GMT
Another project in default has repaid, so now 34 in default (58 defaulted, of which 24 have since repaid). This loan (L**d o** C****h S****t H******s) is the first to declare a capital loss. It was a £273k loan, that lost £40,043 according to the stats page. It was from the 2019 cohort. It was scheduled to be phase 1 of 3 for a total loan of £1m. It's not clear to me whether the other phases went into funding. I'm not in the loan, so don't know the details.
EDIT: Minor correction - the size of the loss on the stats page changed from £40,080 to £40,043.
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Post by overthehill on Feb 8, 2024 12:26:28 GMT
Another project in default has repaid, so now 34 in default (58 defaulted, of which 24 have since repaid). This loan (L**d o** C****h S****t H******s) is the first to declare a capital loss. It was a £273k loan, that lost £40,080 according to the stats page. It was from the 2019 cohort. It was scheduled to be phase 1 of 3 for a total loan of £1m. It's not clear to me whether the other phases went into funding. I'm not in the loan, so don't know the details.
Financial euphemism of the year.
The loan status currently shows as 'Paid Back' not 'Paid Back in Full' . First capital and interest loss, get over it and [wo]man up.
The dev loan only had 1 tranche and replaced a previous bridging loan.
A place I have fond memories of and went on holiday there every year when I was a child. A few weeks ago I tried to find the house I used to stay in on google maps, I wasn't hopeful but within 15 minutes I found it. Used to be a sweetie shop and was built on a very steep hill so had about 4 floors. I remember our car getting jammed by the exhaust at the bottom, couldn't go up or down. Hasn't changed much but shop is gone.
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Post by Ace on Feb 10, 2024 18:09:21 GMT
CP's regular Saturday morning summary email, that usually lists the projects that have repaid and projects that were funded in the previous week, as well as projects that are expected to be funded in the coming week, made no mention of the project that repaid with a loss last week.
This would have been an ideal opportunity to explain the circumstances, prove their claims to be open, honest and transparent, and to demonstrate their statement on the front page of their platform that they "set high operating standards that went above and beyond the regulations on areas such as credit risk management, disclosure and accountability."
They could have taken the opportunity to put the loss in perspective for those with well diversified portfolios etc.
I'm a bit disappointed that they seem to have chosen to avoid mentioning it beyond updating the stats page, which most investors will probably never view.
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Post by multiaccountmanager on Feb 10, 2024 18:37:46 GMT
CP's regular Saturday morning summary email, that usually lists the projects that have repaid and projects that were funded in the previous week, as well as projects that are expected to be funded in the coming week, made no mention of the project that repaid with a loss last week. This would have been an ideal opportunity to explain the circumstances, prove their claims to be open, honest and transparent, and to demonstrate their statement on the front page of their platform that they " set high operating standards that went above and beyond the regulations on areas such as credit risk management, disclosure and accountability." They could have taken the opportunity to put the loss in perspective for those with well diversified portfolios etc. I'm a bit disappointed that they seem to have chosen to avoid mentioning it beyond updating the stats page, which most investors will probably never view. I Agree!!! That is very much below the standard CP seeks to portray.
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