|
|
Post by ranjeb on Feb 18, 2015 14:53:56 GMT
13.5%? I thought you had a moral obligation to keep borrower rates low?  |
|
blender
Member of DD Central
Posts: 5,719
Likes: 4,272
|
Post by blender on Feb 18, 2015 15:13:06 GMT
Hi, Ranjeb. Not quite - to do what I can to reduce the rate, to some extent - was my generous offer and I do that by bidding on the loan rather than not bidding. 12.8% is not bad for a very large C, especially when you add FC's fee on top. Would have been higher in late 2014.
|
|
coop
Member of DD Central
Posts: 714 
Likes: 571
|
Post by coop on Feb 18, 2015 15:33:41 GMT
Was watching with 5mins to go and got distracted.. meh only got 260 uninvested
|
|
oldgrumpy
Member of DD Central
Posts: 5,087
Likes: 3,233
|
Post by oldgrumpy on Feb 18, 2015 15:38:00 GMT
I was distracted  as that finale came up, so didn't replace my 13.7% with a 13.5%, which I would surely have got. I don't look at many Cs these days, but thought this crowd were better than C. Didn't think they would accept, though I anticpated they would get stuck at 13%. They may still not, if they have read all the comments on Q&A!! |
|
|
|
Post by ranjeb on Feb 18, 2015 15:42:11 GMT
I didn't like the credit rating and factoring always puts me off.
|
|
blender
Member of DD Central
Posts: 5,719
Likes: 4,272
|
Post by blender on Feb 18, 2015 17:03:47 GMT
Agreed, and I would not want to be holding for 3 years, in case working capital to drive growth becomes cash to keep going with low profitability. A good use of cash for 6 months - there being no property loans worth buying.
|
|
|
|
Post by GSV3MIaC on Feb 18, 2015 19:36:56 GMT
Forgive my w but dont really see how putting in a big bid at 15% would prohibit/put off others bidding and pushing the rate down... on the other hand I never autobid so dont know how that operates. I'm lolling at moral obligation though! Autobid is designed to fill all loans equally, god knows why, so it will ignore 100% funded Loans if there are any which are not 100% funded. Basically it bids on what nobody else wanted. Dumb but true (last time we checked). So if you 100% fill a loan it MAY keep autobid at bay.
|
|
wysiati
Member of DD Central
Posts: 397
Likes: 86
|
Post by wysiati on Feb 19, 2015 15:19:21 GMT
Forgive my w but dont really see how putting in a big bid at 15% would prohibit/put off others bidding and pushing the rate down... on the other hand I never autobid so dont know how that operates. I'm lolling at moral obligation though! Autobid is designed to fill all loans equally, god knows why, so it will ignore 100% funded Loans if there are any which are not 100% funded. Basically it bids on what nobody else wanted. Dumb but true (last time we checked). So if you 100% fill a loan it MAY keep autobid at bay. It is working on a % (un)filled basis. It previously appeared to be working on more of a £ basis thereby contributing to an even more extreme range of % aggregate rate outcomes within the same risk band for different sizes of loan.
|
|
|
|
Post by GSV3MIaC on Feb 19, 2015 15:34:07 GMT
It ought, IMO, be operating on a 'highest rate on offer' basis, but that wouldn't do much when loans were unfilled and all therefore offered 15%, so I suppose it would then have to fall back to one of the algorithms described, neither of which is very satisfactory .. just because someone(s) have filled a loan at 15% should not send autobid away looking for something that nobody wanted to touch with a bargepole.
Bidding X% into every auction (filled or not) would make sense I guess (but you'd have to have some memory of what you had done already). Topping them all up to get them to Z% doesn't make sense, but it avoids the need to look at what autobid has already done, and just level up the % filled. Easy, but (IMO) dumb, and not in the best interest of the autobid users.
|
|
blender
Member of DD Central
Posts: 5,719
Likes: 4,272
|
Post by blender on Feb 19, 2015 15:52:26 GMT
All loan applications have passed FC's rigorous assessment process, have been banded for risk and given a minimum bid, below which Autobidders cannot go (on auctions). Does that not make them all equally eligible for FC's creature, Autobid? Autobid works for borrowers and lenders on new auctions - it's not really there to be optimised just for the lenders. I cannot see FC having a further grading within each band with little symbols ranging from a star to a bargepole.
I think your case is much stronger on the SM, where the purpose of Autobid is to sell unwanted loan parts. Not giving Autobidders the choice to switch off the SM purchasing is hard to justify (except that personally I rely on it to sell property).
|
|
blender
Member of DD Central
Posts: 5,719
Likes: 4,272
|
Post by blender on Feb 19, 2015 18:57:43 GMT
The loan the subject of this thread now taken just a day after close. Should help my gross rate.
Parts on sale at 0.3% (not from me) which is giving it away at the top rate.
|
|
|
|
Post by bracknellboy on Feb 19, 2015 19:17:28 GMT
The loan the subject of this thread now taken just a day after close. Should help my gross rate. Parts on sale at 0.3% (not from me) which is giving it away at the top rate. Thanks. Picked some up. Why does anyone bid such big tranches and then immediately sell making a net of 0.05% ? I can only assume that they overbid beyond what they ever wanted to keep. But even then, I think I would have been inclined to keep for a month or two to snag the interest and potentially let the aftermarket settle down and then reduce.
|
|
wysiati
Member of DD Central
Posts: 397
Likes: 86
|
Post by wysiati on Feb 19, 2015 19:57:22 GMT
The loan the subject of this thread now taken just a day after close. Should help my gross rate. Parts on sale at 0.3% (not from me) which is giving it away at the top rate. Thanks. Picked some up. Why does anyone bid such big tranches and then immediately sell making a net of 0.05% ? I can only assume that they overbid beyond what they ever wanted to keep. But even then, I think I would have been inclined to keep for a month or two to snag the interest and potentially let the aftermarket settle down and then reduce. Perhaps they were fulfilling some perceived 'moral' obligation to help get the rate down and then sell on on an almost not-for-profit basis? Any thoughts blender?
|
|
wysiati
Member of DD Central
Posts: 397
Likes: 86
|
Post by wysiati on Feb 19, 2015 20:12:13 GMT
The loan the subject of this thread now taken just a day after close. Should help my gross rate. Parts on sale at 0.3% (not from me) which is giving it away at the top rate. Thanks. Picked some up. Why does anyone bid such big tranches and then immediately sell making a net of 0.05% ? I can only assume that they overbid beyond what they ever wanted to keep. But even then, I think I would have been inclined to keep for a month or two to snag the interest and potentially let the aftermarket settle down and then reduce. Looks like it could well be J*******n given a likely 5-figure sum in £100s. Overbid / short of cash for new auctions would explain it. Poor sweetie.
|
|
blender
Member of DD Central
Posts: 5,719
Likes: 4,272
|
Post by blender on Feb 19, 2015 20:12:37 GMT
I think there might have been a flipper war going on - because I cannot see where the cash would be better placed at present, to the extent that one would sell stock at cost.
|
|
as that finale came up, so didn't replace my 13.7% with a 13.5%, which I would surely have got. I don't look at many Cs these days, but thought this crowd were better than C. Didn't think they would accept, though I anticpated they would get stuck at 13%.
