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Post by chrismellish on Aug 1, 2023 6:31:22 GMT
They could easily code up a solution to distribute our capital as it was repaid or as an end of day process. But AC do love a manual process, so I imagine they're still manually deciding how much to release at the end of each month. Investment levels are tracked to the second so if it's coded correctly the fee should only be calculated on the amount invested excluding repaid capital that is sat as cash. But then they should be paying the target interest rate on that amount whilst our cash is not accessible.. They should, but the performing part of the loan book won't be generating much interest after the fee is deducted so, without really thinking it through, I don't think it makes any difference to the actual interest paid.
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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 Aug 1, 2023 6:50:40 GMT
So they've taken it upon themselves, it seems, to keep any returned capital held until the first of the month. Was there any mention that they would do this? Plus, are those repayments considered performing loans while they're hanging onto our capital (in the client money account, perhaps?) just so they can slap us with a full month's worth of fees? Given the FCA's complete disregard, what's their incentive to return us any of our capital? The question has been asked ... so far, despite chases, it hasnt been answered. No fees are payable on free cash. There is no reason they cant release free cash, as chris says just need to code something ... it shouldnt be any different to withdrawals pre-lockdown just need to change from FIFO to pro-rata queue. Idea that AC can do anything easily or quickly is fantasy ... over 3 years to sort out written off loans & even then its only half a solution, multiple other issues that have taken considerable poking to get fixed ... multiple others in progress or haven't even poked yet.
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Post by chrismellish on Aug 1, 2023 7:18:42 GMT
So they've taken it upon themselves, it seems, to keep any returned capital held until the first of the month. Was there any mention that they would do this? Plus, are those repayments considered performing loans while they're hanging onto our capital (in the client money account, perhaps?) just so they can slap us with a full month's worth of fees? Given the FCA's complete disregard, what's their incentive to return us any of our capital? The question has been asked ... so far, despite chases, it hasnt been answered. No fees are payable on free cash. There is no reason they cant release free cash, as chris says just need to code something ... it shouldnt be any different to withdrawals pre-lockdown just need to change from FIFO to pro-rata queue. Idea that AC can do anything easily or quickly is fantasy ... over 3 years to sort out written off loans & even then its only half a solution, multiple other issues that have taken considerable poking to get fixed ... multiple others in progress or haven't even poked yet. Distributing capital is already coded, it just needs to be scheduled to occur automatically. The amount to be distributed could have a manually set reserve if there are reasons for retaining some cash rather than distributing it all. The main problem with things like writing off loans was being able to agree with all internal stakeholders what the solution actually needed to look like, how it would operate, alongside the volume of work in the queue alongside it.
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Post by bob2010 on Aug 1, 2023 13:59:33 GMT
So no interest received this month
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blender
Member of DD Central
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Post by blender on Aug 1, 2023 15:18:30 GMT
Surely that's not all they are going to return?
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Post by cj on Aug 1, 2023 15:19:56 GMT
Anyone know what is happening with Castellite Ltd? Q&A shows Assetz Capital stated they will have a meeting in April 2023 then they said June 2023, to pay us from the Privision Fund, but no news or updates since.
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Post by brightspark on Aug 1, 2023 15:28:17 GMT
Assetz Capital web page states "The existing loan book relating to the Retail platform is now in run-off and this will, over time, deliver the return of capital to investors." (My bolding). I believe that investors will, if they are lucky, get back a proportion of their capital. The interest or its equivalence will be deducted in various spurious ways so that the return on capital for repaying loans is effectively zero at a time of high inflation. The unpalatable alternative is that the platform is placed into administration. Operators of the platform continue to feather their own nest at the expense of investors and put two fingers at the FCA who in turn well know what is going on and do nothing but twiddle their thumbs or issue pious and meaningless advice notes.
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rscal
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Post by rscal on Aug 1, 2023 15:39:58 GMT
Anyone know what is happening with [loan #921]? Q&A shows Assetz Capital stated they will have a meeting in April 2023 then they said June 2023, to pay us from the Privision Fund, but no news or updates since. We voted to accept full and final offer in the MLA. Investors in the GBBA2/PSA/AAs are differently affected I'd imagine given they had no say. (Does anyone know the extent of these remaining holdings under each account type?) I have some in GBBA2 but no AA balance at all so that PF might already be emptied b4 it's even looked into whereas AAs may have more PF remaining I imagine. [What of future inputs to the PF for AAs again once charging drops to 0.9% allowing the target rate plus a bit to be attained? If the PF starts to receive net additions those will extend its life.]
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Post by garreh on Aug 1, 2023 16:46:47 GMT
So looks like they've distributed this months amount, by far the lowest amount so far - despite taking all our interest AND them stating in their latest email that all future funding commitments is accounted for. There is no longer a requirement to retain further loan redemptions to meet future commitments on development facilities as this is now covered. If there's no need to accumulate any further cash amounts - you would expect distribution amounts to increase, not decrease. These crooks need to be investigated, they really are taking the micky. |
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rscal
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Post by rscal on Aug 1, 2023 18:52:15 GMT
So looks like they've distributed this months amount, by far the lowest amount so far - despite taking all our interest AND them stating in their latest email that all future funding commitments is accounted for. There is no longer a requirement to retain further loan redemptions to meet future commitments on development facilities as this is now covered. If there's no need to accumulate any further cash amounts - you would expect distribution amounts to increase, not decrease. These crooks need to be investigated, they really are taking the micky. Out of curiosity, is there a compilation of the pro-rata percentage distribution(s) of capital (and dates) for the AAs?
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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 Aug 1, 2023 23:47:07 GMT
So looks like they've distributed this months amount, by far the lowest amount so far - despite taking all our interest AND them stating in their latest email that all future funding commitments is accounted for. There is no longer a requirement to retain further loan redemptions to meet future commitments on development facilities as this is now covered. If there's no need to accumulate any further cash amounts - you would expect distribution amounts to increase, not decrease. These crooks need to be investigated, they really are taking the micky. I havent had time this month to do the numbers but the main issue will be lack of redemptions ... only 3 loans totalling around £400k plus amortisation. Distribution levels will inevitably fluctuate as dependent on redemptions which are inconsistent. That said by my maths there is £6m free cash and the outstanding funding required is less than £4m so there is at least £2m that could have been returned. Ill be raising it for the 4th time this week.
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blender
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Post by blender on Aug 2, 2023 8:32:24 GMT
Assetz Capital web page states "The existing loan book relating to the Retail platform is now in run-off and this will, over time, deliver the return of capital to investors." (My bolding). I believe that investors will, if they are lucky, get back a proportion of their capital. The interest or its equivalence will be deducted in various spurious ways so that the return on capital for repaying loans is effectively zero at a time of high inflation. The unpalatable alternative is that the platform is placed into administration. Operators of the platform continue to feather their own nest at the expense of investors and put two fingers at the FCA who in turn well know what is going on and do nothing but twiddle their thumbs or issue pious and meaningless advice notes. Let's not be too pessimistic or lower our expectations. Our captors (may they live forever) seem to have returned only about 1% of AA capital this month and have paid no interest (so far), which suggests that loan repayments were barely enough to provide for their needs, which must take priority of course. However, these are loans secured on property and all the money taken for fees will no doubt ensure that in default both we an our captors will be fully compensated by taking full advantage of our rights on security. It may take a time, and inflation will nibble on the value of our capital.
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Post by nbk on Aug 2, 2023 8:43:34 GMT
So looks like they've distributed this months amount, by far the lowest amount so far - despite taking all our interest AND them stating in their latest email that all future funding commitments is accounted for. If there's no need to accumulate any further cash amounts - you would expect distribution amounts to increase, not decrease. These crooks need to be investigated, they really are taking the micky. I havent had time this month to do the numbers but the main issue will be lack of redemptions ... only 3 loans totalling around £400k plus amortisation. Distribution levels will inevitably fluctuate as dependent on redemptions which are inconsistent. That said by my maths there is £6m free cash and the outstanding funding required is less than £4m so there is at least £2m that could have been returned. Ill be raising it for the 4th time this week.
Agree, redemptions from borrowers will decrease and defaults will increase as we progress. Of course this is why Assetz have adjusted their fee structure to front load their fees to be paid from interest now while there is still some coming in. When their fess drop next year (unless they re-adjust again), the interest incoming may be significantly less but only investors will feel the real impact of this at that point. The approach is clear, but however distasteful I have to agree that its better than the alternative of going into administration which would further increase our losses. The real kick in the teeth would be down the road if Assetz still decide to eventually put retail into administration having milked all they can from the dying corpse before letting the administration scavengers tuck in.
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dh1
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Post by dh1 on Aug 2, 2023 10:00:22 GMT
Look on the bright side - at least we won't be paying tax on the interest. Flawless logic or what?!
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blender
Member of DD Central
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Post by blender on Aug 2, 2023 12:03:15 GMT
Just received my interest for the QAA in July. 1p. Are they giving the 'p' or taking it?
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