baldpate
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Post by baldpate on Feb 25, 2016 17:12:48 GMT
Ditto the other two now - seems someone at FC has been reading this thread.
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goopy
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Post by goopy on Feb 25, 2016 18:57:03 GMT
I guess that the choice for FS is: 1) Instant interest 2) bonuses for large investments 3) underwriting at a premium It looks as if the last of these is most effective, from their point of view. Even the threat underwriting pulls in the laggards. But only FS know the numbers, and they will have to gamble one way or another. Personally I would be prepared to invest more if interest was paid monthly rather than at the end of the term....
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SteveT
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Post by SteveT on Feb 25, 2016 19:08:52 GMT
Impressively fast response by FS! Just need to hunt down some cash now... Incidentally, just in case this is actually a "magic wishes" thread, I quite fancy: - Full interest paid up front - 5% cashback - Free use of the 52ft Sports Cruiser at weekends  |
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webwiz
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Post by webwiz on Feb 25, 2016 20:15:58 GMT
It worked for me. Just sent off my cash.
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huxs
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Post by huxs on Feb 25, 2016 20:38:31 GMT
Wow glad I started this thread. FS step up and introduce instant returns . What shall I ask for now  |
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goopy
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Post by goopy on Feb 25, 2016 21:41:10 GMT
Wow glad I started this thread. FS step up and introduce instant returns . What shall I ask for now Ask for monthly interest payments... 
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Hairbear
He who dares..wins (most of the time)
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Post by Hairbear on Feb 26, 2016 12:04:17 GMT
Funding secure will continue to lose ground to saving stream until it sorts out 2 main issues. 1. Interest needs to be paid to investors on a monthly basis, creating more liquidity and compound interest earnings for investors. 2. The secondary market, IT IS AWASH with people wanting to move there investments and not enough investors willing to buy, especially at a 1,2 or 3% premium plus the sellers interest payments, IT WILL NOT WORK. The people at funding secure should look very closely at the extremely successful platform available at saving stream, until then Funding secure will always be a poor second to saving stream.
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ben
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Post by ben on Feb 26, 2016 12:18:18 GMT
Funding secure will continue to lose ground to saving stream until it sorts out 2 main issues. 1. Interest needs to be paid to investors on a monthly basis, creating more liquidity and compound interest earnings for investors. 2. The secondary market, IT IS AWASH with people wanting to move there investments and not enough investors willing to buy, especially at a 1,2 or 3% premium plus the sellers interest payments, IT WILL NOT WORK. The people at funding secure should look very closely at the extremely successful platform available at saving stream, until then Funding secure will always be a poor second to saving stream. The 1st problem for FS is that will cost them as there business model is that no interest is paid till either 6 months or loan repaid, if FS can afford to do that I have no idea, although they could look at the SS model and charge it upfront. The secondary market is pretty bad the premiums are too much 3% on a 6 month loan is half of what you would get back so not suprised they do not sell the ones at 0% are not to bad, but again SS/MT is better in that it calculates what you have lent to the day and works out the interest on that rather then someone else buying them out. FS has potential but could do with having a look at some of the basics
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mikes1531
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Post by mikes1531 on Feb 26, 2016 12:44:25 GMT
The secondary market, IT IS AWASH with people wanting to move there investments and not enough investors willing to buy, especially at a 1,2 or 3% premium plus the sellers interest payments, IT WILL NOT WORK. The investors offering parts for sale at premium prices are not 'wanting to move their investments' -- they're trying to make a fast profit, hoping that a sucker comes by who's desperate to invest/diversify and/or doesn't understand the tax implications of FS SM purchases. (Or they're investing as a company or are a non-taxpayer.)
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Hairbear
He who dares..wins (most of the time)
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Post by Hairbear on Feb 26, 2016 12:49:01 GMT
I made that exact point back in Dec 15 ... SEE BELOW.
Hello
I wrote to you some time ago with regards to operating a secondary market ,giving investors the opportunity to sell there holding if they needed to exit an investment before the completion date.
Happily you have now put this in place ,and it is up and running and should give serious long term investors, i.e. me, an opportunity to expand their investments.
However.... i cannot believe that some bright spark at funding secure has come up with the ridiculous PREMIUM/DISCOUNT idea, not many in there offering the discount side i notice, in fact zero amount of investors offering a discount, what you have succeeded in creating is a system where a large bunch of people can make a “quick buck” via the PREMIUM option, rather than attracting serious investors who would help your business grow.
You state clearly that fundingsecure does not charge any fees for transactions on the secondary market, so why create this situation?
I have invested in numerous different pitches over the last year or so, always with the intention of full term investment, however that is now almost impossible due to the mad “scramble to invest” that you have created, you now have dubious investors piling in before legitimate investors can get in, and placing there investment straight onto the secondary market with a minimum 1% PREMIUM as i stated at the outset “to make a quick buck”.
You have investors on your secondary market trying to sell their investment at a premium and leaving the “Investor” in some cases, with interest accumulation of 0.34% , and then due to this stupid set up, you have had to place a warning on the site that investors may receive less at the end of the term than they had originally invested, this is a disaster waiting to happen, at some point an investor is unwittingly going to lose money and splash it all over the forum sites and create the kind of advertising you do not need, this is the kind of business set up that usually ends up on TV, with programs such as “Rip off Britain” or “Watchdog”
Why have you got this silly PREMIUM/DISCOUNT in place, the quicker it is removed the better, if an investor needs to exit their investment then they should receive their investment + accrued interest up to the exit date, with the buyer then receiving interest from the purchase date, its simple really.
Please do the right thing and remove the PREMIUM/DISCOUNT option asap, and build your business based upon serious investors, instead of people who see your site as an opportunity to make quick easy money.
A not very happy HAIRBEAR
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ben
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Post by ben on Feb 26, 2016 12:55:25 GMT
I made that exact point back in Dec 15 ... SEE BELOW.
Hello
I wrote to you some time ago with regards to operating a secondary market ,giving investors the opportunity to sell there holding if they needed to exit an investment before the completion date.
Happily you have now put this in place ,and it is up and running and should give serious long term investors, i.e. me, an opportunity to expand their investments.
However.... i cannot believe that some bright spark at funding secure has come up with the ridiculous PREMIUM/DISCOUNT idea, not many in there offering the discount side i notice, in fact zero amount of investors offering a discount, what you have succeeded in creating is a system where a large bunch of people can make a “quick buck” via the PREMIUM option, rather than attracting serious investors who would help your business grow.
You state clearly that fundingsecure does not charge any fees for transactions on the secondary market, so why create this situation?
I have invested in numerous different pitches over the last year or so, always with the intention of full term investment, however that is now almost impossible due to the mad “scramble to invest” that you have created, you now have dubious investors piling in before legitimate investors can get in, and placing there investment straight onto the secondary market with a minimum 1% PREMIUM as i stated at the outset “to make a quick buck”.
You have investors on your secondary market trying to sell their investment at a premium and leaving the “Investor” in some cases, with interest accumulation of 0.34% , and then due to this stupid set up, you have had to place a warning on the site that investors may receive less at the end of the term than they had originally invested, this is a disaster waiting to happen, at some point an investor is unwittingly going to lose money and splash it all over the forum sites and create the kind of advertising you do not need, this is the kind of business set up that usually ends up on TV, with programs such as “Rip off Britain” or “Watchdog”
Why have you got this silly PREMIUM/DISCOUNT in place, the quicker it is removed the better, if an investor needs to exit their investment then they should receive their investment + accrued interest up to the exit date, with the buyer then receiving interest from the purchase date, its simple really.
Please do the right thing and remove the PREMIUM/DISCOUNT option asap, and build your business based upon serious investors, instead of people who see your site as an opportunity to make quick easy money.
A not very happy HAIRBEAR Could not agree more although I am happy for the discount as that allows people to sell quicker if they need to for whatever reason the only reason for a premium is for someone to make a profit
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mikes1531
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Post by mikes1531 on Feb 26, 2016 13:11:11 GMT
Could not agree more although I am happy for the discount as that allows people to sell quicker if they need to for whatever reason the only reason for a premium is for someone to make a profit I agree. At some point yesterday -- and the situation may be the same today but I haven't checked -- there were over 150 parts for sale at par. In that situation, anyone who needs to sell probably will have to offer a discount, so the ability to do that is essential. The opportunity to sell at a premium only encourages flippers, and that ought to be discouraged.
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huxs
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Post by huxs on Feb 26, 2016 14:21:21 GMT
FS seem to be pulling out all the stops over the past 24hrs , instant returns (big tick) and now a bonus for big hitters (I am a not a BH so no impact on me) but so far not much movement !!
For my part I have simple run out of funds available to invest this week but it seems that to try and steal some of SS's customers (who's appetites seem to be endless at the moment) then, as others have mentioned, the key differences between the tow platforms are the SM and monthly interest. I can see how FS has worked to date without monthly interest as that is the norm for pawn items but as it moves more into property I think it needs to take a look at changing this approach.
FS may be trying to use the no interest until the end as USP for Borrowers but if it stops lenders lending then it may well back fire? Could you have monthly returns for Property and leave the rest as is??
Also once you have monthly interest payments then the current SM problems (around buyers picking up the full tax burden) disappear which would improve liquidity and therefore encourage more investors.
I am not saying FS should try and morph into SS but there seem to be key success factors that SS are getting right and copying may ensure FS can fund the current and future pipelines of loans.
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mikes1531
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Post by mikes1531 on Feb 26, 2016 16:31:07 GMT
FS may be trying to use the no interest until the end as USP for Borrowers but if it stops lenders lending then it may well back fire? OTOH, no interest paid until maturity is a USP for investors who sell parts on the SM. It's more than likely that BHs also are higher-rate taxpayers, and they benefit most from the tax savings for SM sales. So that could encourage more investors than the lack of monthly interest discourages. This assumes BHs aren't investing as a business, and they may well be, so perhaps that's not a valid conclusion.
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LittleBear
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Post by LittleBear on Feb 26, 2016 17:29:43 GMT
Unfortunately, I don't have lots of money currently looking for a P2P home. Gone are the days when I first started of investing in everything that launched. I have had my fingers burned with the FS SM, as a loan I had purchased unexpectedly repaid early and I lost money. As others have stated, the SM and lack of monthly interest puts me off FS, so I now invest in SS when I can. It's a pity FS haven't responded to the discussion here of the major failings of the platform, as I would happily invest considerably more, if it was fixed. |
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