sqh
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Before P2P, savers put a guinea in a piggy bank, now they smash the banks to become guinea pigs.
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Post by sqh on Mar 15, 2015 8:34:14 GMT
Not great news really, yes I am involved in this loan. I do find it rather poor form that folks are listing their holdings on the SM. Perhaps if there was a clear message warning new buyers that the loan is now in 'Default'. BUt until that time, I find it wrong to try and dump any of my holding onto the less well informed. Listing your parts on the SM may not be a smart move. Interest payments stop, and you can't buy them back without buying all the other parts listed before yours.
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star dust
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Post by star dust on Mar 15, 2015 9:06:36 GMT
I see that savingstream have now amended the loan description tab to reference the default - although you could be forgiven for missing it! Could be a bit more prominent perhaps or in red? Perhaps they could also enlighten lenders as to the interest situation etc. They say on their site that lenders will be emailed (or informed?) with regard to next steps in this situation; I'm not in this loan myself, have any investors received anything? |
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Post by duncandive on Mar 15, 2015 9:33:31 GMT
I see that savingstream have now amended the loan description tab to reference the default - although you could be forgiven for missing it! Could be a bit more prominent perhaps or in red? Perhaps they could also enlighten lenders as to the interest situation etc. They say on their site that lenders will be emailed (or informed?) with regard to next steps in this situation; I'm not in this loan myself, have any investors received anything? Woww I see what you mean star dust about the notification being easy to miss. I just took a look and would have expected a similar note to appear when you click on the 'INVEST' but nothing has changed on that. I have not as yet received anything apart from the weekly update from SS, so I'm sure that will follow in a few days time when we reach zero days left on the loan. Also if I was SS, I would think that, even with it being a small loan, it would make good business sense to return all funds and interest to lenders as soon as zero days are reached. That way they would NOT need to worry about any further interest growth that would need to be payed back. In fact since it would be done with their money any such further interest would go into their own coffers. It may only be £55.23 per day in interest but a month down the line that is already £1,680..
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oldgrumpy
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Post by oldgrumpy on Mar 15, 2015 11:18:07 GMT
"Please note this loan is now in default and is in the process of recovery. All investors will still earn interest upon commitment to this loan."
I am amazed that ths statement does not also appear on the invest now page.
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chrisf
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Post by chrisf on Mar 15, 2015 15:16:41 GMT
Indeed, one punter bought £1700 of it today, I wonder if they had checked their email?
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star dust
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Post by star dust on Mar 15, 2015 15:37:01 GMT
Indeed, one punter bought £1700 of it today, I wonder if they had checked their email? Unfortunately it could have been a new lender who hasn't even had an email yet, which is one reason I think it should be far more visible on the loan tabs themselves. On the other hand it could be someone who doesn't mind living dangerously  , and hopefully it'll turn out ok in the end anyway.
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mikes1531
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Post by mikes1531 on Mar 15, 2015 18:35:27 GMT
They say on their site that lenders will be emailed (or informed?) with regard to next steps in this situation; : Where did they say that? The only thing I've seen is the line on the loan's Description page that oldgrumpy quoted a few messages ago. Also if I was SS, I would think that, even with it being a small loan, it would make good business sense to return all funds and interest to lenders as soon as zero days are reached. That way they would NOT need to worry about any further interest growth that would need to be payed back. In fact since it would be done with their money any such further interest would go into their own coffers. It may only be £55.23 per day in interest but a month down the line that is already £1,680.. It also would make good business sense from the point of view that they wouldn't have an overdue loan on their list. I'd expect SS were smart enough to build a 'default' interest rate into their loan contract, so they might not be too worried about a loan not being repaid on time -- as long as they're convinced that the security can be sold for enough to repay all the capital and accrued interest, plus all the fees associated with the security sale. If the sale can be organised quickly -- as this one appears to have been -- then the chance of a shortfall of proceeds should be reduced. Indeed, one punter bought £1700 of it today, I wonder if they had checked their email? Unfortunately it could have been a new lender who hasn't even had an email yet, which is one reason I think it should be far more visible on the loan tabs themselves. On the other hand it could be someone who doesn't mind living dangerously , and hopefully it'll turn out ok in the end anyway. If you believe in the overall viability of SS, and their ability to do what they've said they will -- "All investors will still earn interest upon commitment to this loan." -- then the only real uncertainty left is when investors will get their money back. Will it be in five days? Or will it be a month or so after end-April? I expect most investors really would like to know when they'll have access to their money again, so that's one area where they'd really appreciate receiving some guidance from savingstream. I hope we'll get that shortly.
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star dust
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Post by star dust on Mar 15, 2015 19:52:24 GMT
They say on their site that lenders will be emailed (or informed?) with regard to next steps in this situation; : Where did they say that? The only thing I've seen is the line on the loan's Description page that oldgrumpy quoted a few messages ago.
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Post by savingstream on Mar 16, 2015 10:55:53 GMT
Thanks for your comments, we have now made it more obvious that this loan is now in default and that investors will continue to earn interest on this loan on a monthly basis until disposal of security has taken place.  |
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oldgrumpy
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Post by oldgrumpy on Mar 16, 2015 11:04:33 GMT
Very good! No one can say they missed that.  |
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Post by xyon100 on Mar 16, 2015 17:36:33 GMT
As newbie I was unaware of this. I think I kind of understand why SS don't really want to highlight a defaulted loan on the loans list. Anyway, when I clicked on it today it was immediately obvious. More than a bit naughty that is was ever anything else. Wonder if anybody will buy parts now?
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mikes1531
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Post by mikes1531 on Mar 16, 2015 18:11:24 GMT
Wonder if anybody will buy parts now? Probably. The amount of parts available for sale does seem to be continuing to drop.
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ramblin rose
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“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
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Post by ramblin rose on Mar 16, 2015 18:24:27 GMT
Wonder if anybody will buy parts now? Probably. The amount of parts available for sale does seem to be continuing to drop. I'm certain they will. I don't believe there is any serious danger of losing money here; it's a small loan - any shortfall in sales value would be very small. It would be easily covered.
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Post by solicitorious on Mar 16, 2015 20:05:01 GMT
Not great news really, yes I am involved in this loan. I do find it rather poor form that folks are listing their holdings on the SM. Perhaps if there was a clear message warning new buyers that the loan is now in 'Default'. BUt until that time, I find it wrong to try and dump any of my holding onto the less well informed. Listing your parts on the SM may not be a smart move. Interest payments stop, and you can't buy them back without buying all the other parts listed before yours. Can you explain how that works? Interest payments stop just because you've listed them for sale? What's the difference between buying back parts ahead of yours, and your own?
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ilmoro
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'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 Mar 16, 2015 20:14:09 GMT
Probably. The amount of parts available for sale does seem to be continuing to drop. I'm certain they will. I don't believe there is any serious danger of losing money here; it's a small loan - any shortfall in sales value would be very small. It would be easily covered. Down to £300 left (that may have gone by now)
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, and hopefully it'll turn out ok in the end anyway.
