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Post by p2plender on Mar 12, 2014 16:37:28 GMT
Is there a thread for this one? Provision fund and aimed at payday borrowers. Sorry if wrong place.
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Post by elljay on Mar 13, 2014 8:49:27 GMT
There wasn't, but there is now!
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Post by p2plender on Mar 13, 2014 10:38:59 GMT
thanks admin. Post any thoughts anyone!
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Post by davee39 on Mar 13, 2014 18:25:17 GMT
Avoid.
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Post by elljay on Mar 13, 2014 18:37:06 GMT
Care to expand on that?
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Post by oldnick on Mar 13, 2014 19:45:34 GMT
Care to expand on that? Might it be the words "pay day" that are the problem?
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Post by davee39 on Mar 13, 2014 20:51:30 GMT
1) For borrowers - Representative APR: 52.30%
2) For savers - Website funded by crowd funding not mainstream private equity, may not survive the loss making years
3) Just one loan request currently listed, at only 8%, with an estimated 5% failure risk and an untried provision fund
4) The proprietors mugshot on the blog
5) Similar 12% rates available from the asset backed pawnbroking websites
6) Similar rates currently available from FC, with small risk if a good spread of loans
7) Rates as low as 4.5% for the less risky borrowers
8) Reminds me of Y** S*****.
9) If it looks too good to be true, IT IS!
10) The P2P market does not need a slew of possibly under-financed minnows, it needs profitable and substantial growth from major players who can challenge the banks.
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Post by emoney on Mar 18, 2014 10:23:45 GMT
Good morning davee39.. Avoid? On what grounds? I would love to engage to answer any valid concerns you may have?
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Post by emoney on Mar 18, 2014 10:46:13 GMT
1) For borrowers - Representative APR: 52.30% CORRECTION. Borrowers are from 11.3% APR up to 86% APR. All below the FCA High Cost Short Term Threshold of 100% APR2) For savers - Website funded by crowd funding not mainstream private equity, may not survive the loss making years CORRECTION. Website NOT funded by Crowdfunding but over 100 private Peer to Peer lenders.3) Just one loan request currently listed, at only 8%, with an estimated 5% failure risk and an untried provision fund CORRECTION. Loans for Risk Grade A, AA, AAA and C1 C2 C3 are all auto-matched so won't appear on the newly created eMarketPlace, the eMarketPlace is only utilised for unmatched lower yielding loans, very few expected to appear as per Lending Club & Prosper in the states. The eMarkePlace will be utilised by Whole Loan Buying Porgrammes
4) The proprietors mugshot on the blog Can't do anything about that I'm affraid.5) Similar 12% rates available from the asset backed pawnbroking websites Accepted.6) Similar rates currently available from FC, with small risk if a good spread of loans Accepted.7) Rates as low as 4.5% for the less risky borrowers On par with Zopa and Ratesetter.8) Reminds me of Y** S*****. Don't understand? 9) If it looks too good to be true, IT IS! Correction. 108 people have just invest £480,000 in our substantially overfunded Crowdcube equity fundraising, plus additional lending capacity if we need it, very unlikely after April 1st.10) The P2P market does not need a slew of possibly under-financed minnows, it needs profitable and substantial growth from major players who can challenge the banks. Correction, see answer to 9)
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Post by emoney on Mar 18, 2014 11:01:07 GMT
Is there a thread for this one? Provision fund and aimed at payday borrowers. Sorry if wrong place. Hi P2PLender, no we are not aiming at Pay Day Borrowers, it's just that millions of credit worthy people have found themselves in the Pay Day space through no fault of there own. We don't believe in mainstream credit blacklisting and if someone can prove they can afford to repay an eMoneyUnion loan, then we will look at their position just as the old fashioned bank manager did today and going forward with a common sense approach, not just a computer says NO. If they are borderline for an approval of a Risk Grade due to a very poor credit history; we will accept the applicants mum or dad, family member or friend to act as Personal Guarantor to help get them back on track. We are all about financial inclusion, not exclusion. We wan't people who may have to borrow at 40% p.a. as a C1 Risk Grade borrower to be able to improve their eMoneyUnion Risk Grade rating and become a 10% A1 Risk Grade eMoneyUnion borrower in the future.
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Post by davee39 on Mar 18, 2014 17:46:17 GMT
I have not used your service and am not in a position to offer considered advice regarding either your integrity or long term survival chances. My reference to Y** S***** relates to a P2P lender which appears to have been suffering a lingering death for several years with lenders, I believe, suffering losses of 40%. For now I will stick with with the major players, but I genuinely wish you good luck in establishing a long term sustainable operation, even if I am not tempted.
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mikes1531
Member of DD Central
Posts: 6,452
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Post by mikes1531 on Mar 18, 2014 22:38:03 GMT
2) For savers - Website funded by crowd funding not mainstream private equity, may not survive the loss making years CORRECTION. Website NOT funded by Crowdfunding but over 100 private Peer to Peer lenders.9) If it looks too good to be true, IT IS! Correction. 108 people have just invest £480,000 in our substantially overfunded Crowdcube equity fundraising ...Are you saying you don't consider Crowdcube equity fundraising to be crowdfunding?
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bugs4me
Member of DD Central
Posts: 1,841
Likes: 1,466
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Post by bugs4me on Mar 18, 2014 23:29:27 GMT
Is there a thread for this one? Provision fund and aimed at payday borrowers. Sorry if wrong place. Hi P2PLender, no we are not aiming at Pay Day Borrowers, it's just that millions of credit worthy people have found themselves in the Pay Day space through no fault of there own. We don't believe in mainstream credit blacklisting and if someone can prove they can afford to repay an eMoneyUnion loan, then we will look at their position just as the old fashioned bank manager did today and going forward with a common sense approach, not just a computer says NO. If they are borderline for an approval of a Risk Grade due to a very poor credit history; we will accept the applicants mum or dad, family member or friend to act as Personal Guarantor to help get them back on track. We are all about financial inclusion, not exclusion. We wan't people who may have to borrow at 40% p.a. as a C1 Risk Grade borrower to be able to improve their eMoneyUnion Risk Grade rating and become a 10% A1 Risk Grade eMoneyUnion borrower in the future. Like many others I wish you well as the P2P/P2B market is still very much in it's infancy and irrespective as to the figures often 'boasted' by the main players in the overall scheme of things the market is a minnow compared with traditional lenders. I think the involvement of the FCA will give the platforms a boost but at the same time the costs of regulation, which IMO is being severely underestimated by some, will probably mean a 'wither on the vine' situation for a few. This though will result in greater opportunities for those that have got it right. Whilst your goals regarding lending may have some virtue, nonetheless lenders/investors are just that. In my case I require a certain degree of protection regarding my lending. I have experienced on another platform the sheer folly of accepting PG's from borrowers which have proved to be totally worthless when the grim reaper called. So I wish you luck and will keep an eye on progress before falling off the fence. Whether the returns offered to lender/investors will be adequate we will have to wait and see.
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Post by emoney on Mar 19, 2014 14:32:49 GMT
Thanks bugs4me, the Personal Guarantee is an extremely credit worthy third party, not the actual borrower.
Great news on the Peer to Peer ISA inclusion today that makes the risk to reward ratio a great deal more attractive I am sure you will agree. It's going to be an exciting and rapid growth sector, good for lenders, borrowers and the economy at large. Win-Win!
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Post by emoney on Mar 19, 2014 14:36:52 GMT
Are you saying you don't consider Crowdcube equity fundraising to be crowdfunding? Hi Mikes1531 Sorry for the confusion, the comment seemed to intimate that we had used Crowdcube as a lending fund as opposed to using the money for the platforms regulatory and technological developments. Great news on the ISA front?
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