jonah
Member of DD Central
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Post by jonah on Jul 29, 2015 19:21:00 GMT
Do folk put as much, more or less DD into a loan part on th SM? I am still trying to get my head around FC (the most complex p2x site?) and the dynamics of this are still somewhat opaque.
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Post by GSV3MIaC on Jul 30, 2015 8:07:39 GMT
"It depends".
Problem with SM parts is they may be 4 years old. That means you have 4 years repayment history (good!) But all the financials and other data in the loan application are 4 years out of date (FC never update them) .. Makes it hard to do the same sort of DD you might do on day1.
You may also be buying a £1.31 part instead of £20, which reduces most folks' interest in spending a lot of effort. 8>.
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blender
Member of DD Central
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Post by blender on Jul 30, 2015 10:06:44 GMT
P2P independent forum, FC lenders board, Cephalopods sub-board members, finding better ways to spend their time than performing DD on old loan parts.  ![]() |
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Post by ratrace on Aug 28, 2015 20:17:13 GMT
Picked up a rare treat on the SM today. Managed to buy loan parts in a A rated property loan at a rate of 12.1% (they were been sold with -1.4% discount). Will help to make up for missing out on the chance of buying a A loan at 10% with a 2% cash back on the PM. Don't understand why people sell their loan parts out so cheaply, but l ain't complaining.  |
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SteveT
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SM rates
Aug 28, 2015 20:35:27 GMT
via mobile
Post by SteveT on Aug 28, 2015 20:35:27 GMT
Picked up a rare treat on the SM today. Managed to buy loan parts in a A rated property loan at a rate of 12.1% (they were been sold with -1.4% discount). Will help to make up for missing out on the chance of buying a A loan at 10% with a 2% cash back on the PM. Don't understand why people sell their loan parts out so cheaply, but l ain't complaining. I think they fail to notice (or understand) the magnified impact that a particular level of discount (or premium) has on the resulting Buyer rate when the term has shortened appreciably from the original.
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Post by ratrace on Aug 28, 2015 20:39:09 GMT
Also while am hear, just a quick update after 7 months on my investment plan where l buy new loans to hold for 2to5 months and also buy loans on the SM after at least 21 repayments. Current result is GY 13.9% AR 10.4% EFDR 7.7%
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Post by ratrace on Aug 28, 2015 20:55:53 GMT
Picked up a rare treat on the SM today. Managed to buy loan parts in a A rated property loan at a rate of 12.1% (they were been sold with -1.4% discount). Will help to make up for missing out on the chance of buying a A loan at 10% with a 2% cash back on the PM. Don't understand why people sell their loan parts out so cheaply, but l ain't complaining. I think they fail to notice (or understand) the magnified impact that a particular level of discount (or premium) has on the resulting Buyer rate when the term has shortened appreciably from the original. Yes its a loan that has only 8 months to run, but with a return of over 12% it was looking a nice place to park some of my money. 
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registerme
Member of DD Central
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Post by registerme on Aug 29, 2015 9:55:44 GMT
Seems to be a lot (>50 parts) on the SM at the moment at -3% in size from £20 to £1000, A+ down to D.
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SteveT
Member of DD Central
Posts: 6,875
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SM rates
Aug 29, 2015 11:32:59 GMT
via mobile
Post by SteveT on Aug 29, 2015 11:32:59 GMT
The SM seems a little strange at the moment. After 2 or 3 quiet days, I've had plenty of property parts picked up at par in the last 24 hours. Oddly, someone has just cleaned up the last of my 12052 London Property Development at par (8%, but originally bought with 2%CB) which has just 2 months notionally to run. Must be a manual buyer as it was multiple parts at once, but none of the earlier tranches look yet to have repaid.
Is it a cunning strategy that I've missed (hoping for a mid-month redemption maybe to gain a week or two's extra interest, but why choose a 6th tranche?) or just naiive?
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Post by ratrace on Aug 29, 2015 17:32:04 GMT
The SM seems a little strange at the moment. After 2 or 3 quiet days, I've had plenty of property parts picked up at par in the last 24 hours. Oddly, someone has just cleaned up the last of my 12052 London Property Development at par (8%, but originally bought with 2%CB) which has just 2 months notionally to run. Must be a manual buyer as it was multiple parts at once, but none of the earlier tranches look yet to have repaid. Is it a cunning strategy that I've missed (hoping for a mid-month redemption maybe to gain a week or two's extra interest, but why choose a 6th tranche?) or just naiive? Yes strange days indeed, today l even managed to buy some E loan parts that were selling on a slight discount. There does seem be have been a increase in both buying and selling in the SM in recent days. Am wondering if it has anything to do with the recent fall and then gain in the stock market.
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Post by GSV3MIaC on Aug 29, 2015 18:05:19 GMT
The par parts shifting could be blamed on the unlocking of the backed up repayment runs from the last few days, plus the relative lack of new loans Friday .. plus maybe some of those property loan repayments actually happened? There is more money around. Why someone would be unloading stuff at 4% discount is a bit of a mystery, unless the rates were really pitiful on the parts themselves.
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chrisf
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Post by chrisf on Aug 29, 2015 18:55:52 GMT
Does anyone else notice that they sell a large number of not-very-attractive loan parts to someone who is either named after a brand of margarine or is a royal academician? They seem keen on buying parts with loan ID in the range 4000-8000 and don't mind a 3% mark-up. I sold 10 parts today to this buyer over several loans, but also 6 one day late last week and about 10 on a day early last week. Maybe they have a strategy?
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Post by loanstar on Aug 29, 2015 19:25:49 GMT
Just tried to put some loans on the SM and had a message "There was a problem putting your loan part(s) up for sale" Anyone else had that. Are the shelves full?
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david42
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Post by david42 on Aug 29, 2015 20:18:44 GMT
Just tried to put some loans on the SM and had a message "There was a problem putting your loan part(s) up for sale" Anyone else had that. Are the shelves full? I find refreshing the browser screen and trying again clears that problem.
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Post by GSV3MIaC on Aug 29, 2015 20:59:59 GMT
If you try selling a part with only one repayment left, (or where the buyer rate comes out <4%?), you will certainly get that error. Check which parts you were trying to sell, and then try half of them, until you figure out which one is causing the problem. You =can= also get it when the server goes mad and can't find the part it just told you you could sell, but that goes away after a while.
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