|
Post by martins on Apr 28, 2015 14:13:52 GMT
Loan mintos.lv/en/2014-10019 is indeed late, but it is not in recovery. In fact, we changed the name of "In recovery" status to "60+ days late" as the previous name did not properly describe situation. For example, for above mentioned loan we are in a contact with borrower that is due to make the payment in a near future; thus, there is no point of taking it to a bailiff. According to Latvian legislation we have to follow certain order how we allocate received payments that are late (1-interest, 2-principal, 3-late payment fee). Thus, even though loan 2014-10019 is shown as 60+ days late, it is technically behind just one payment. You can see it also under Payment Schedule - last two payments have been fully settled for interest (+delayed interest) for payment due on 25.02.2015 and partially settled for interest for payment due on 25.03.2015.
|
|
|
Post by roedvin on Apr 29, 2015 17:18:52 GMT
That's correct, but ist still shown as 60++. And I don't understand, why partial payments are not used to fill up the oldest outstanding rates first. About 2 months ago I already dicussed that topic with Martins Sulte and he promised a soon solution. I hope, "soon" will be soon.
|
|
|
Post by martins on Apr 30, 2015 16:23:36 GMT
Partial payments are used to fill up the oldest outstanding rates first, but in an order as defined by the law - first, payment should cover all outstanding interest payments, once all outstanding interest payments are covered then outstanding principal, and after that has been covered - outstanding late payment fees.
Example: the borrower is late with two payments, say for March and April, and makes a partial payment on May. In this case the partial payment would cover payments in this order: first interest part of March payment, then interest part of April payment, and only then principal part of March payment followed by principal part of April payment.
In fact, there was a partial payment for loan 2014-10019 and you can see under Payment Schedule how this applies in real case. Technically the loan is 31-60 days late because the principal part of 25.03.2015 payment is not covered, but in substance the loan is late for 5 days for the part of last payment.
|
|
olavi
New Member
Posts: 4
Likes: 1
|
Post by olavi on May 27, 2015 6:27:13 GMT
Fantastic news in todays newsletter regarding buyback of all 60+ delinquent loans back by vehicles. My question is if buyback includes accumulated interest or is it principal only?
|
|
|
Post by martins on May 27, 2015 11:49:24 GMT
Buyback price includes outstanding principal plus accrued interest as stipulated in Assignment Agreement:
10.5. In case Mogo exercises the buyback rights, the buyback price of the Claim paid by Mogo to the Assignee for buyback is equal to the total amount of the remaining principal amount of the Claim and accumulated and outstanding Interest specified in the Portal as at the time of exercising the buyback rights.
|
|
shimself
Member of DD Central
Posts: 2,561
Likes: 1,170
|
Post by shimself on May 28, 2015 21:10:43 GMT
Enthused by the car loans guarantee I put in a reasonable amount today, set some filters, and I just want to feedback some difficulty
1 I would like to be able to filter byt COUNTRY (which I vcan do using filter by town but as there are 300odd it's too much effort) 2 I picked the loans I liked and invested various amounts in them. It looks like I have to press CONFIRM (the suitcase symbol) for each of the loans I liked, rather than have one button at the bottom to confirm all.
|
|
|
Post by martins on May 29, 2015 9:10:10 GMT
Thanks for the feedback. Filtering is indeed suboptimal at the moment and we are looking to update the whole filter experience. If you are investing various amounts in selected loans you can press ENTER for each investment. If you are looking to invest the same amount in selected loans then Invest in All button at the top right comes in handy. In either case, the loan parts will be put in the basket for final review and approval which is done with one click. Enthused by the car loans guarantee I put in a reasonable amount today, set some filters, and I just want to feedback some difficulty 1 I would like to be able to filter byt COUNTRY (which I vcan do using filter by town but as there are 300odd it's too much effort) 2 I picked the loans I liked and invested various amounts in them. It looks like I have to press CONFIRM (the suitcase symbol) for each of the loans I liked, rather than have one button at the bottom to confirm all.
|
|
shimself
Member of DD Central
Posts: 2,561
Likes: 1,170
|
Post by shimself on May 29, 2015 10:27:23 GMT
... If you are investing various amounts in selected loans you can press ENTER for each investment. ... True but not obvious and also adds time as some sort of refresh follows I think. Why not a CONFIRM INVESTMENTS button at the bottom of the page If the filtering worked better then I could use INVEST ALL but it doesn't.
|
|
shimself
Member of DD Central
Posts: 2,561
Likes: 1,170
|
Post by shimself on Jun 28, 2015 16:03:42 GMT
|
|
|
Post by martins on Jun 29, 2015 11:52:13 GMT
As of now there are 1275 car loan parts available on the secondary market. The total number of loan parts selling on the secondary market is higher because we group together loan parts of the same loan that are sold with the same discount/premium.
|
|
|
Post by kissmyjazz on Oct 13, 2015 3:21:22 GMT
Mintos, is the implicit repurchasing guarantee of the real estate-backed loans still in place? For some reason I see with every month the deterioration of repayment discipline of the Latvian real estate-backed loans in my portfolio and one is being 60+ days late for some time already. Mogo loans also seem to be defaulting at high rate, I hope the company can withstand this.
|
|
|
Post by Deleted on Oct 13, 2015 8:34:10 GMT
I didn't think we had buy back guarantee for asset backed loans?
|
|
|
Post by kissmyjazz on Oct 13, 2015 8:49:57 GMT
Not a guarantee, more like a promise for the time being, at least it was so in the spring, so I wonder if anything has changed recently. Look at the page 3 of this discussion. Today we repurchased loan 2014-1005 that is in recovery so that investors don’t have to wait until resolution that might include repossession of collateral. We exercised our rights as stipulated in General Terms and Conditions of Assignment Agreement: 9.2. Mintos has the right, but not an obligation to use its repurchase rights in any of the following events: 9.2.1. the Borrowers delays the payments arising from the Loan Agreement by more than 60 (sixty) days. We expect to exercise these rights in similar manner also in the future.
|
|
|
Post by gmaxkenny on Oct 13, 2015 8:58:32 GMT
Mintos, is the implicit repurchasing guarantee of the real estate-backed loans still in place? For some reason I see with every month the deterioration of repayment discipline of the Latvian real estate-backed loans in my portfolio and one is being 60+ days late for some time already. Mogo loans also seem to be defaulting at high rate, I hope the company can withstand this. If car loans default it is Mogo not Mintos that take the hit,same with Creamfinance loans.
|
|
|
Post by martins on Oct 13, 2015 11:51:26 GMT
The mortgage loans do not have a buyback guarantee. Mintos loan originator is considering each late paying loan case separately and might exercise the buyback rights, but investors should not rely on that. But with the average LTV of 33% across the portfolio the collateral should easily cover any outstanding liabilities in case of a loan default.
The buyback guarantee for loans is indeed managed by the loan originators, not Mintos. The loan originators maintain the buyback guarantee based on the the spread between what the borrowers pay and what the investors receive.
|
|