Post by Mike on Aug 5, 2015 12:37:03 GMT
Reading through a few 'upcoming' credit reports today and in my pile of 'yet to read' were #191 and #194 both offering 12%.
Is it only me or does one of these seems much more risky, in almost every way? I am a little surprised the pub loan is only offering 12% while the care home appears to be more complicated in structure but if there has been no errors in the net worth of the director then I see 12% as quite generous...
Do other lenders price in an expected 'ease of exit' based on the size of the loan?
I generally make little differentiation in loan size when it comes to long-term size-of-investment, rather only consider it when planning how important it may be to free up cash or else where I could 'park' money short term knowing I can quickly get it out again.
Is it only me or does one of these seems much more risky, in almost every way? I am a little surprised the pub loan is only offering 12% while the care home appears to be more complicated in structure but if there has been no errors in the net worth of the director then I see 12% as quite generous...
Do other lenders price in an expected 'ease of exit' based on the size of the loan?
I generally make little differentiation in loan size when it comes to long-term size-of-investment, rather only consider it when planning how important it may be to free up cash or else where I could 'park' money short term knowing I can quickly get it out again.