|
|
Post by dualinvestor on Feb 12, 2018 18:46:34 GMT
How much breathing space, a month, six months (that they nearly have had already) a year, longer? Whatever the duration might be, we can't influence the process, all we can do is just wait and see what happens. I quite agree, so why did magenta14 raise the subject?
|
|
|
|
Post by dualinvestor on Feb 13, 2018 13:49:45 GMT
But the person with whom the buck stops probably doesn't have any money
(now that is a succinct reply)
|
|
TitoPuente
Member of DD Central
Posts: 624 
Likes: 655
|
Post by TitoPuente on Mar 2, 2018 17:47:48 GMT
Back to the headless chicken act.
|
|
rrrupert
Member of DD Central
Posts: 121
Likes: 99
|
Post by rrrupert on Mar 2, 2018 18:34:32 GMT
The DFL001 comment is a straight cut and paste from the DFL 002 comment. (or perhaps the other way around). I think its probably just a bit of slackness in the way Lendy makes and uses standardised comments.
|
|
micky
Member of DD Central
Posts: 669
Likes: 572
|
Post by micky on Mar 7, 2018 12:17:22 GMT
That's what I believe also and I do hope that we are accurate.
However, regarding Exter loan 2, I wish that they would just get a move on and sell the unit for the quoted 1 million and use these funds to build it out, job done. Or is just not that simple?
|
|
dandy
Posts: 427
Likes: 341
|
Post by dandy on Mar 7, 2018 12:59:57 GMT
I think you're getting confused between loan contract terms and platform terms and conditions. In DFL 1/2, Lendy are the borrower and they are therefore liable for full repayment. This new term is merely saying that Lendy shall not be liable where the borrower doesn't pay I.e a third party borrower, not Lendy themselves. For clarity, Lendy cannot refuse to pay the shortfall on these 2 loans whatever changes they make to t's and c's. We have a contract with Lendy as the borrower. Having had Lendy confirm in writing to me in Nov. '17 that DFL's 1 & 2 are " under Lendy’s model 1 terms (i.e old terms)", I thought it prudent to have Lendy confirm that the latest changes haven't affected that situation and have resurrected the ticket (by creating a follow-up ticket) accordingly. Under the old model has it actually been accepted that Lendy are liable for any losses? What if they claim that funds were matched to particular loans and dependent on those repaying (as in they were back to back loans but intended to have the same direct-loan effect?) Does anyone here really think Lendy are going to pay up any losses on DFL001 or any other loan? It is wishful thinking in my opinion
|
|
coda
Posts: 21
Likes: 23
|
Post by coda on Mar 7, 2018 14:19:40 GMT
Guys, I am pretty sure that the old T&Cs state that Lendy shall be bound to repay the lenders only up to the amounts received from the ultimate borrower. This is a very common provision which is perfectly legally valid (and I say that as a lawyer drafting finance documentations everyday).
|
|
dandy
Posts: 427
Likes: 341
|
Post by dandy on Mar 7, 2018 14:36:00 GMT
We (investors) entered into a loan contract with Lendy as the borrower. This loan which Lendy are liable for is now 200+ days overdue. Why are we not collectively taking legal action against Lendy, our borrower ? Whatever's going on at the site and Lendy's borrower is irrelevant to us. We have a loan contract with Lendy. Lendy has a seperate loan contract with their borrower which is nothing to do with us. But do we? Where is it? What does it say? the old t & c's are not a loan agreement and if that is all there is, I do not fancy our chances of Lendy paying up a dime
|
|
xpubman1
Member of DD Central
Posts: 62
Likes: 40
|
Post by xpubman1 on Mar 7, 2018 15:19:34 GMT
I am pretty sure we just have to sit back and wait, there is all this talk of repaying losses and by whom, just let Lendy get on with it. If there is no further information to update us with. How can we be updated?
|
|
izigor
Member of DD Central
Posts: 162
Likes: 86
|
Post by izigor on Mar 7, 2018 22:26:18 GMT
The Important clauses from the old T&Cs (i.e. the one applicable to DFL001 and DFL002):
In Section 4, it is clear that the loan is to Lendy, not to the end Borrowers:
4.4 Saving Stream guarantees the enforceability of all its existing Loan Agreements.
4.5 By funding a loan, you are agreeing to enter into a Loan Agreement with Saving Stream. Once you have Invested in a loan, the funds cannot be removed for the duration of that loan.
In Section 12, Lendy has the terms for "Limits on liability"
12.2 Except as otherwise expressly stated in these terms and conditions, we shall only be liable for foreseeable loss or damage arising directly out of our own breaches of these terms and conditions, negligence or wilful misconduct.
12.3 Our liability to you on any basis whatsoever shall not exceed the total amount of revenue earned by Saving Stream in respect of transactions entered into by you through SavingStream.co.uk, save in relation to errors in the Market Value which can be shown, by reference to an appropriately qualified independent third party, were outside the Specified Tolerance at the time the valuation was made, in which case our liability to you shall not exceed the proportion of the principal amount of the loan which was funded by you.
So contrary to what someone has mentionned here, there is no limit stipulated on where Lendy's liability fall with respect to fulfilling the terms of our loan. The Limits above in clauses 12.2 and 12.3 does not remove our rights to recover our Loan. There is a difference between suing Lendy to recover the loan from the end borrower and suing Lendy to recover a loan that we have lent to them. We are not allowed the former but the latter is perfectly within our rights. This is the reason, I suspect, why they had to make the new T & C's (Otherwise what would have been the point).
|
|
registerme
Member of DD Central
Posts: 6,624
Likes: 6,437
|
Post by registerme on Mar 7, 2018 23:08:34 GMT
Id DFL001 is not on Lendy's balance sheet, who's balance sheet is it on?
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
|
Post by littleoldlady on Mar 8, 2018 8:41:52 GMT
Id DFL001 is not on Lendy's balance sheet, who's balance sheet is it on? AIUI the borrower's debt will be on Lendy's BS and they will have an accounts payable entry for lenders. They are liable to repay lenders only to the extent that the borrower has repaid them. So until the borrower repays, if ever, the obligation to lenders just sits on their BS opposite the debt. Whether or not this legally allows Lendy not to repay lenders will need to be tested in Court. IMHO (but I'm not a lawyer) it probably does because Lendy can argue that it is always possible that the loan might be repaid by the borrower in the future, when they will then, but not before, be obliged to repay lenders.
|
|
|
|
Post by winger on Mar 8, 2018 18:39:53 GMT
DFL001 was lent by lenders directly to Lendy. That brought to mind the warning I read a few years ago in the review of Lendy/SS by "Financial Thing" (http://www.financialthing.com/lendy-saving-stream/), which included this comment on December 2015: " Am I Lending to Saving Stream or to Borrowers? SS recently emailed investors announcing they were changing their structure so all new loans and some older loans (when they deemed it necessary) would be ring-fenced. This means investors would no longer be lending to SS (or Lendy Ltd.) but directly with borrowers, meaning that in the event of a platform failure, investors interests would be transferred to a 3rd party who would continue to service the loans. Since the announcement, it remains murky as to the progress of this situation. At this point all investment is to Lendy Ltd.": That section currently reads: " Am I Lending To Lendy Or To Borrowers?In the olden days, ok 2015, lenders were lending to Lendy (or Lendy Ltd). In 2016 Lendy announced they were changing their legal structure to better protect lenders. All new loans are ring-fenced and some of the older loans are too (when Lendy deems it necessary). This means investors are lending directly to borrowers rather than to Lendy; good news for lenders."
|
|
|
|
Post by winger on Mar 8, 2018 18:44:06 GMT
|
|
littleoldlady
Member of DD Central
Running down all platforms due to age
Posts: 3,045
Likes: 1,862
|
Post by littleoldlady on Mar 8, 2018 18:57:39 GMT
Yes yes but it's a question of the timing of the repayment. Lendy's position, yet to be tested in the Court, is that they only have to repay when the borrower repays them, which is what the "old" T&C say.
|
|
