jonbvn
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Post by jonbvn on Feb 18, 2015 20:01:07 GMT
Anyone else get this email from FS?
As you are aware we have been steadily increasing both the frequency and the size of the loans available. We continue to see a good steady growth, with a current loan book of slightly more than £3,000,000.
In addition to the loans already listed we are currently discussing one very large loan of £2m, secured against an asset valued at £5m. In advance of accepting this loan we would like to identify those investors who might be interested in funding at a higher level, to ensure that the loan would be filled.
At this stage we are looking to hear from those who would be willing to lend between £50k-£500k. This would of course be conditional upon the appropriate return and security - a substantially higher interest rate would be payable to the larger investors.
If you are interested please contact us for further details
Personally, I believe this is a step too far for an immature platform that has lent out less than £5million.
However, you pays your money...........
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jonbvn
Member of DD Central
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Post by jonbvn on Feb 18, 2015 20:13:17 GMT
I have to add that I responded to the email informing FS that I considered their proposal madness, given the immaturity of their platform.
What does any other lender think?
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Post by mrclondon on Feb 18, 2015 20:30:54 GMT
I felt the same 12 months ago when they first started soundings for the £0.5m+ Italian Books. But they managed to get that away with just a few tens of thousands below target (£525k vs £550k IIRC)
There are some very deep pockets hovering around the p2p sector these days ... aka institutions. If you don't indicate you potentially have something to offer, you're certainly not going to get into any discussions that might lead somewhere, perhaps too late for this loan but yielding a contact list ready for the next big one. Whilst its unlikely that any current lender could stump up £500k, I know people investing many times that amount day in day out. It only takes one casual conversation with such people to generate a spark.
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Post by mrclondon on Feb 18, 2015 20:46:45 GMT
I should really add that in my view FS still come across as quite an amateurish operation, and the involvement of some institutional or HNWI funds could help sharpen up the platform.
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mikes1531
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Post by mikes1531 on Feb 18, 2015 22:39:17 GMT
I have to add that I responded to the email informing FS that I considered their proposal madness, given the immaturity of their platform. What does any other lender think? My first reaction was similar to jonbvn's. Thinking about it a bit more, however, maybe it isn't so crazy. The proposed loan is less than double the £1.125M they've already offered to lend on the collection of old Italian books -- though only £855k has actually been lent on those so far -- so perhaps it might be achievable. For that matter, it may just be a coincidence, but the last tranche of the book loan indicated that they were worth £5M. Might the owner of those have decided that they've done so well by FS so far that they'd like to up their loan to £2M? I haven't a clue what sort of response FS will receive to their request for £50+k investors, but my name isn't going to be on the list. I have a big chunk of a couple of FS loans, but I'm questioning the advisability of having so much of my FS holding concentrated in a small number of FS loans. I'd really rather that my FS investment was better diversified. I was thinking that before the recent capital loss was revealed, and now I'm even more convinced.
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