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Post by goldservice on Jan 3, 2016 11:32:36 GMT
When I factor in the typical 5 - 10 days hiatus for a PM loan to be accepted, and the fact that maybe 1/4 to 1/3 of E loans ultimately are declined by the borrower Hiatus? Of the last 68 E loans, the 54 accepted had 2.4 DCDs (dead cash days) on average (from launch to start of earning interest). 14 loans were rejected/declined. That is 1/5. For all 68 loans, DCDs averaged 4.3 (counted to start of earning interest or to rejection). For all 68 averaged over only those accepted (54), DCDs were 5.4.
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SteveT
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Post by SteveT on Jan 3, 2016 11:48:10 GMT
When I factor in the typical 5 - 10 days hiatus for a PM loan to be accepted, and the fact that maybe 1/4 to 1/3 of E loans ultimately are declined by the borrower Hiatus? Of the last 68 E loans, the 54 accepted had 2.4 DCDs (dead cash days) on average (from launch to start of earning interest). 14 loans were rejected/declined. That is 1/5. For all 68 loans, DCDs averaged 4.3 (counted to start of earning interest or to rejection). For all 68 averaged over only those accepted (54), DCDs were 5.4. Interesting, thanks. 5.4 days at 17% net means breakeven is about 0.25% for E loans. I still pick up any I spot on the PM and I'm happy to pay 0.3 / 0.4% for others, given the amount of time I'd have to spend at my PC to bag the rest.
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kaya
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Post by kaya on Jan 3, 2016 11:49:02 GMT
It is fairly common to be able to pick up new, or nearly new, E loans at par, if you get the timing right, and happen to be looking when they become available. C's and D's too.
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SteveT
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Post by SteveT on Jan 3, 2016 11:52:45 GMT
It is fairly common to be able to pick up new, or nearly new, E loans at par, if you get the timing right, and happen to be looking when they become available. C's and D's too. Usually only as they approach the 1st / 2nd / 3rd payment. I think paying a small premium for loans just a week or so old is the better bet, although I've got the odd few bought at par around their 1st payment.
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Post by ratrace on Jan 3, 2016 12:46:09 GMT
l myself do buy E loans before their first repayment if l can buy them for between par and +0.3%, But l was worried about giving this advice to newbies, as the E band is not a place for newbies to rush in "like a bull in a china shop". l feel its better for the newbie to take a lower risk route untill they gain more understanding about the markets. As l know you are quite able to get a good return on FC without having to rush into the higher risk E band loans.
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Post by longjohn on Jan 3, 2016 14:54:46 GMT
... l feel its better for the newbie to take a lower risk route until they gain more understanding about the markets ... Good advice and applicable to all investments. John
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Post by smiffy09 on Jan 4, 2016 22:30:34 GMT
*Pretending that the thread is 'newbie selling on the SM'*
Does anyone know if there is a way to sell multiple loan parts by applying a single premium/discount against a number of desired loan parts, rather than having to go through each individual one and apply the premium/discount?
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acky
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Post by acky on Jan 4, 2016 22:56:11 GMT
*Pretending that the thread is 'newbie selling on the SM'* Does anyone know if there is a way to sell multiple loan parts by applying a single premium/discount against a number of desired loan parts, rather than having to go through each individual one and apply the premium/discount? Yes, download the FCViz add-in to Chrome: chrome.google.com/webstore/detail/fcviz/gillfmdmepnpbpfephfgommoeonnbfbm?hl=en-GB
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tomtom
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Post by tomtom on Jan 6, 2016 23:00:34 GMT
Buying on SM. Loan 18705
Before this loan was fully funded I purchased 1 item at £20. Earlier this evening I purchased a further part on the SM at £40.00 and the following information came up regarding this purchase.
Price £40.00 (no premium) Principle £40.00 Interest 0.18, Delta -0.24 fee 0.1
Can someone please explain what the interest of 0.18 and the Delta -0.24 represent?
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am
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Post by am on Jan 6, 2016 23:08:07 GMT
Buying on SM. Loan 18705 Before this loan was fully funded I purchased 1 item at £20. Earlier this evening I purchased a further part on the SM at £40.00 and the following information came up regarding this purchase. Price £40.00 (no premium) Principle £40.00 Interest 0.18, Delta -0.24 fee 0.1 Can someone please explain what the interest of 0.18 and the Delta -0.24 represent? The interest of £0.18 is the interest which has accrued since the last interest payment (or the commencement of the loan if no repayments have been made). What you have bought is the capital and the entitlement to interest since the last payment. The delta of £0.24 means that it was sold at a discount of 0.6%. In which case you should have paid £39.94, not £40.00.
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blender
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Post by blender on Jan 6, 2016 23:29:37 GMT
am, you mean paid £39.76 for a £40 loan part, ie 0.6% discount? In practice you do pay the £40 principal and are paid the discount of 24p by the seller - which comes to the same thing. The fee of 10p is paid by the seller.
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tomtom
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Post by tomtom on Jan 6, 2016 23:35:09 GMT
well I have just checked and it is now showing delta 0, interest 0,fee 0.1 which I think is correct as there was no discount shown when i purchased this item
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ablender
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Post by ablender on Jan 7, 2016 0:37:03 GMT
am, you mean paid £39.76 for a £40 loan part, ie 0.6% discount? In practice you do pay the £40 principal and are paid the discount of 24p by the seller - which comes to the same thing. The fee of 10p is paid by the seller. I think that £39.94 should be the overall correct amount when you consider the £0.18 of interest.
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Post by GSV3MIaC on Jan 7, 2016 9:24:27 GMT
well I have just checked and it is now showing delta 0, interest 0,fee 0.1 which I think is correct as there was no discount shown when i purchased this item Checked how? Looking on the sell page won't help, you need to look on the transaction report.
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tomtom
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Post by tomtom on Jan 7, 2016 10:32:17 GMT
well I have just checked and it is now showing delta 0, interest 0,fee 0.1 which I think is correct as there was no discount shown when i purchased this item Checked how? Looking on the sell page won't help, you need to look on the transaction report. thank you looked again and see ther was 2% cash back
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