niceguy37
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Post by niceguy37 on Sept 18, 2015 13:11:04 GMT
I'm new to SS, and trying to understand how it all works.
It says on the Loan Part Detail: Selling your Loan Part
"Interest will cease to accrue on your loan part at the point at which you confirm you wish to sell it."
So does this mean if you put up a loan part for sale, and it sells 2 weeks later you'll lose 2 weeks worth of interest?
If so does the buyer get the extra interest?
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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 Sept 18, 2015 13:13:16 GMT
I'm new to SS, and trying to understand how it all works. It says on the Loan Part Detail: Selling your Loan Part "Interest will cease to accrue on your loan part at the point at which you confirm you wish to sell it." So does this mean if you put up a loan part for sale, and it sells 2 weeks later you'll lose 2 weeks worth of interest? If so does the buyer get the extra interest? Yes, interest stops accruing from the point a loan part is put up for sale, No, the buyer only starts earning interest from the point of purchase
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niceguy37
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Post by niceguy37 on Sept 18, 2015 13:15:49 GMT
I'm new to SS, and trying to understand how it all works. It says on the Loan Part Detail: Selling your Loan Part "Interest will cease to accrue on your loan part at the point at which you confirm you wish to sell it." So does this mean if you put up a loan part for sale, and it sells 2 weeks later you'll lose 2 weeks worth of interest? If so does the buyer get the extra interest? Yes, interest stops accruing from the point a loan part is put up for sale, No, the buyer only starts earning interest from the point of purchase Thanks. I guess we can consider it a secondary market fee.
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jonno
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nil satis nisi optimum
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Post by jonno on Sept 18, 2015 13:19:55 GMT
Yes, interest stops accruing from the point a loan part is put up for sale, No, the buyer only starts earning interest from the point of purchase Thanks. I guess we can consider it a secondary market fee. What you can do is split your loan into smaller chunks when you want to sell, and release them bit by bit onto the SM so that if they don't sell that day (unusual) you will only lose the interest on that small part.
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ilmoro
Member of DD Central
'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 Sept 18, 2015 13:19:59 GMT
Yes, interest stops accruing from the point a loan part is put up for sale, No, the buyer only starts earning interest from the point of purchase Thanks. I guess we can consider it a secondary market fee. The latest T&Cs are available here www.savingstream.co.uk/documents/lenderterms.pdf The specific section is 10 (NB. Unclear if these are in full operation yet but that bit is unchanged)
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sam i am
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Post by sam i am on Sept 18, 2015 13:53:05 GMT
What I do is sell in smaller chunks (as il moro suggests) and if any bits don't sell then buy them back. The most likely scenario here is that a few pennies are left which prevents the whole of that loan part from being repaid.
Having said that, in nearly four months with SS, the SM has been very liquid and most sales go through very quickly. I've never actually had to buy back any parts.
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