pikestaff
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Post by pikestaff on Mar 19, 2014 10:29:47 GMT
There has been a software update this morning (announced on the TC forum) which seems to have sped the system up significantly. For me at least, it is faster than it has ever been.
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pikestaff
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Post by pikestaff on Mar 19, 2014 16:45:25 GMT
If I have understood today's announcement correctly, the speed of payment runs will be addressed soon ("...batching loan repayments to do next month..."). IO loans on the secondary market have been correct for some weeks now, and I do not believe there is a material issue with accruals (just some trivial issues with the manual calculation of pre-drawdown interest, on the few loans where it applies).
I agree, however, that there have been too many problem loans recently. I think TC has been too heavily biased toward business turnaround situations - partly because of the sponsor profile, but also partly because lenders have been unwilling to fund some of the better quality propositions that have appeared on the platform. I'm hoping this will change...
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Post by bracknellboy on Mar 19, 2014 16:53:40 GMT
I agree, however, that there have been too many problem loans recently. I think TC has been too heavily biased toward business turnaround situations - partly because of the sponsor profile, but also partly because lenders have been unwilling to fund some of the better quality propositions that have appeared on the platform. I'm hoping this will change... I'm not sure that the better propositions have failed to fill, but rather that there has been a preponderance of business turnarounds. Things like wind turbines have largely flown off the shelf, some of the business expansions have been well subscribed (e.g. some restuarants...ummm). Agree that the automotive one currently running is not filling as fast as might have been expected and may not make the max amount. Probably not helped by being at too low a rate to qualify for TLC contributions.
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pikestaff
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Post by pikestaff on Mar 19, 2014 17:08:29 GMT
My perception is the wind farms rather limped over the line, but they did get there.
One lower-risk deal that lenders rejected was H******d, in its original form with a first charge. It got away only after restructuring as a smaller loan at a higher rate, with a second charge behind Santander. I think the original version of the deal was much better. Another that did not get away (with the same sponsor as the automotive deal) was H**** B**** B*****.
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Post by bracknellboy on Mar 19, 2014 17:31:20 GMT
Another that did not get away (with the same sponsor as the automotive deal) was H*** B**** B*****. Excellent use of ***'s. Unfortunately way too cryptic for me. Must be an age thing: my memory ain't what it was. :-) Ah, now I get it. Hadn't realised one of theirs hadn't completed. I already had exposure so probably decided not to bid on that one.
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pikestaff
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Post by pikestaff on Mar 19, 2014 22:35:43 GMT
Pls ignore, senior moment. (Don't know how to delete.) If I find what I was looking for I will revise. Found it... bracknellboy, I may have confused you because (a) I got the number of ***s wrong (now corrected) and (b) my memory was playing some tricks on me. First of all it was not the same sponsor, although they posted on the subject at much the same time that the automotive one went live. The very interesting post is on the old TC forum here (members only): www.forum.thincats.net/forums/topic/success-of-sposred-loans/page/5/#post-10964. Heavily edited extract below: "...TC lenders have seemed generally to demand a 10% + interest rate. A 10% interest rate for lenders normally implies , after costs/fees, a c 12 or 13% annual cost of funds for borrowers and there are fewer good credits prepared to pay those kinds of rates. ...
We still regret that [...] did not achieve the 7 or 8% interest rate which we (and they) thought fairly reflected its credit risk [...] . We expected to do c £*** of TC loan issuance each year for [...]. We were disappointed to learn that the TC lenders at that time (and probably still) did not have appetite on those terms. Occasional TC loans do get chased down to sub 10% interest rates but many good quality credits are refusing to consider TC because of the general expectation that they will get a 12 or 13% annual cost of funds , which is an implausibly higher rate than what they could achieve at the bank."Reading this post again, I may have jumped to the wrong conclusion when I said that it did not get away. I think perhaps it did get away but the borrower is not coming back.
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Post by bracknellboy on Mar 20, 2014 8:44:01 GMT
That was the 'H* B* B*' I was thinking of. I do have a slice of one of theirs (using the term slighltly loosely as they had different vehicles setup). Can't recall whether that particular one got away or not. And yes it could mean they are not coming back. Pity.
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pikestaff
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Post by pikestaff on May 20, 2014 9:56:09 GMT
You've done very well to get that. I've had no losses so far, and my XIRR after dead time is well under 10% (although still ahead of the other platforms I'm on).
But I agree, the choice of loans on TC is unrivalled if you don't want to put all your eggs in the property basket. I've got more on TC than on all the other platforms put together, and I expect it to remain my No.1 for the foreseeable future.
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Post by tybalt on Jun 2, 2014 13:07:52 GMT
One improvement today the Suspense Account, bids made on either the Primary or Secondary Market not yet vested, now only lists the outstanding items.
Still has two forums running and for good reason but interesting to note how many of the comparisons with other sites UIs have now either been resolved or the other sits have had problems.
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Post by lynnanthony on Jun 3, 2014 7:31:12 GMT
.... or the other sits have had problems. The biggest problem I can see with other sites is the lack of investment opportunities (of a similar nature and variety to those at Thincats). The best interface in the world is worth nothing if the opportunities are not there. And whilst Thincats keeps the opportunities coming, I will put up with the interface.
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shimself
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Post by shimself on Jun 3, 2014 9:34:16 GMT
Still has two forums running and for good reason but interesting to note how many of the comparisons with other sites UIs have now either been resolved or the other sits have had problems. Oh no, the UI is still criminally awful, but now the site runs at a decent speed then having to click 10 steps instead of the 1 or 2 steps that it should be is tolerable.
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