Post by gt94sss2 on Mar 28, 2015 3:53:58 GMT
I have received an email from AC regarding Loan 127.
You will be aware that the borrower was set a deadline of the end of March to provide a proposal with regards to the increased Loan to Value (LTV) position following the delayed commissioning of the Wind Turbine. Lenders may remember that the original expected LTV on this loan was due to be around 57% but this has increased to 67.9% once the reduction to the loan of residual drawdown funds of c.£38,000 was taken into account.
Since this happened, borrower has completed the turbine and arranged commissioning with G59 confirming this uploaded to the website. They have also met all the interest payments due in the intervening months.
As such, they are now proposing to continue with the loan at the increased LTV but in order to recompense lenders for accepting this position the interest rate payable on this loan will increase from the current 9.75% per annum equivalent up to 10.25% per annum equivalent.
Since this happened, borrower has completed the turbine and arranged commissioning with G59 confirming this uploaded to the website. They have also met all the interest payments due in the intervening months.
As such, they are now proposing to continue with the loan at the increased LTV but in order to recompense lenders for accepting this position the interest rate payable on this loan will increase from the current 9.75% per annum equivalent up to 10.25% per annum equivalent.
1. I wasn't aware of the history of the loan.
2. The only holdings of #127 I hold are in the GEIA and I don't recall getting any other updates for loans held in the GEIA including the one issued for this loan on the 18th Mar 2015
I presume it makes no difference to holders in the GEIA apart from the fact that the margin that AC earn from the loan increases - as GEIA lenders we won't benefit (which doesn't seem very fair!)? - or does the interest go into the PF? - or will it be excluded from the GEIA?
