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Post by GSV3MIaC on Oct 30, 2016 16:26:06 GMT
FC assign 'red / amber / green' to defaults, which is similar but not identical.
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mnm
Posts: 65 
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Post by mnm on Oct 30, 2016 22:42:44 GMT
The figures I like to use to work out my return and wished platforms would use it is:Interest earned Defaults Total losses = Losses + expected losses This can be an accumulated figure or per year figure.
I can see what percentage of my returns I am losing. If I also have my interest earned percentage I can make more use of the data.
On TC for example, I have earned about £22k, have £5k total losses(estimate) and have earned 11.5% on funds invested.
Losses as a percentage of interest = 22%(below 25% is fine, below 20% is good)
Return on funds 11.5%
so, Net return = 8.89%
A simple figure on a platform of; Total Interest earned vs Expected losses of all members, would be useful. Data that is comparable between p2p sites would also be useful. How do you get an accurate expected loss figure.
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Liz
Member of DD Central
Posts: 2,426
Likes: 1,297
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Post by Liz on Oct 30, 2016 22:50:48 GMT
The figures I like to use to work out my return and wished platforms would use it is:Interest earned Defaults Total losses = Losses + expected losses This can be an accumulated figure or per year figure.
I can see what percentage of my returns I am losing. If I also have my interest earned percentage I can make more use of the data.
On TC for example, I have earned about £22k, have £5k total losses(estimate) and have earned 11.5% on funds invested.
Losses as a percentage of interest = 22%(below 25% is fine, below 20% is good)
Return on funds 11.5%
so, Net return = 8.89%
A simple figure on a platform of; Total Interest earned vs Expected losses of all members, would be useful. Data that is comparable between p2p sites would also be useful. How do you get an accurate expected loss figure. That is the big unknown! I look at each individual loan, look at the assets and try and work out the recovery rate, usually starting below 50% is a good start and being pessimistic from there. The more you know from the likes of regular updates from the platform, administration reports etc, the more you can adjust your expectations of recovery. The longer you invest, the more more info you will have on losses and recovery rates.
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Post by dodgeydave on Oct 31, 2016 3:33:33 GMT
How do you get an accurate expected loss figure. You have more chance of winning the lottery jackpot 3 weeks on the trot , than get an accurate figure. Assume the worse and if you get a penny back it will be a bonus. Giving REBS the benefit of doubt . Of the 1.6 million owed they have recovered very little. Aim low is my advice
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Post by dodgeydave on Nov 3, 2016 5:36:24 GMT
Recovery's Good News! News received via lender update this evening. one of Rebuilding society.com's oldest defaults M****** & S*** is entering the final stages of a 2 1/2 year hard fought recovery process. Subject to general acceptance by Company's Creditors the expected Dividend: £0.6418/£1.00. I shall update to this posting with relevant redacted information.Thank you and well done to Rebuilding Society.com recovery's led by (M****** L******). Any comments danraj ? dodgeydave , black marker pen at the ready.  @magenta14 I would wait until the money hits your bank account. Nothing to get excited about just yet. Still it does only leave 34 loans in default.
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Post by dodgeydave on Nov 22, 2016 12:38:28 GMT
We can now safely add P*P*Y K*T to our long list of defaulters.
Borrowed 25k over 60 months and made 24 payments.
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jonno
Member of DD Central
nil satis nisi optimum
Posts: 2,806
Likes: 3,237
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Post by jonno on Nov 22, 2016 14:39:37 GMT
We can now safely add P*P*Y K*T to our long list of defaulters. Borrowed 25k over 60 months and made 24 payments. Yep. I think we can confidently say that P*P*Y K*T has officially become P*P*Y SH*T 
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09dolphin
Member of DD Central
Posts: 638 
Likes: 866
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Post by 09dolphin on Nov 22, 2016 18:39:45 GMT
As a new investor I can only say why on earth do people continue to invest. After only a few months investing on this site I can confidently say that, given the level of communication and the default rate, I value my money too much to give it away. RbS will be happy to know that I will not invest another penny and will withdraw as money becomes available.
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Post by dodgeydave on Jan 6, 2017 5:16:14 GMT
Just to bring this up to date with 2 more loans in default . p2pindependentforum.com/thread/5333/more-defaults-facts?page=5P***Y K*T borrowed 25 k @ 17.36 % for a term of 60 months and made 23 full payments and 1 interest only P*******n p******ies borrowed 25k @ 13.66% for a term of 24 months and made 16 full and 1 interest only |
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Post by rb5286 on Jan 6, 2017 11:41:55 GMT
It's a good thing that this thread has evolved into a very informative guide for those investors who are contemplating investing in Rebs.
P.s. Always remember the 2 rules of investing:
1. Don't lose money
2. Don't lose money!!
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Post by dodgeydave on Feb 2, 2017 13:20:11 GMT
A default by ReBS is typically classified as having missed 3 months payments. Previous years can be found listed p2pindependentforum.com/thread/5333/more-defaults-facts?page=5January 2017 P***Y K*T borrowed 25 k @ 17.36 % for a term of 60 months and made 23 full payments and 1 interest only P*******n p******ies borrowed 25k @ 13.66% for a term of 24 months and made 16 full and 1 interest only 3 more to be added this month ( February ) Cr*****e B******g borrowed 70k at 19.59 % for a term of 48 months and made 7 full payments. ReBS defaulted this loan R****n t/a Fr****on B***i Ltd borrowed 30K at 17.93% for a term of 36 months and made 16 full payments. K*****y G******on borrowed 81K at 15.24% for a term of 48 months made 13 full and 1 interest only payments. |
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Post by captainconfident on Feb 2, 2017 21:14:58 GMT
dodgydave, your listing these loans in this way is, I assume, to give the impression that Rebuildingsociety is a bad place to invest. Would you consider listing the loans that default on Funding Circle? I stopped investing there when bidding changed to fixed rate and still headline 12.6% gross but my 7.4% actual is way lower than my net interest last year and this on Rebs. Of course there are too many to do on FC but because Rebs has a smaller portfolio you find them an easy target.
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Post by dodgeydave on Feb 3, 2017 0:21:26 GMT
dodgydave, your listing these loans in this way is, I assume, to give the impression that Rebuildingsociety is a bad place to invest. Would you consider listing the loans that default on Funding Circle? I stopped investing there when bidding changed to fixed rate and still headline 12.6% gross but my 7.4% actual is way lower than my net interest last year and this on Rebs. Of course there are too many to do on FC but because Rebs has a smaller portfolio you find them an easy target. I make no such suggestion. We have already been informed that approx 50% of defaults will be recovered. Defaults should be listed. I invest on other platforms some bigger and some smaller then Rebs. When they get a default i will be highlighting on the relevant forum page. If not all ready highlighted by others. Could you tell me what the default rate is on Funding Circle. It must be very high if you stopped investing ?
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Post by captainconfident on Feb 3, 2017 13:02:43 GMT
I invested on FC for about four years using two accounts, one with only A+/A rated loans, one with B-E loans. The first shows gross rate 10%, the second gross rate 12.6%. But both accounts run at an actual rate net defaults and charges of 7.4 - 7.5%. So an interesting result which tells me there was in fact no reason to run two accounts.
I am happy with that return and it was not the reason I stopped investing. FC switched to fixed rates which were and are not very attractive. There are hundreds of defaults there for you to get your teeth into and my account recovery rates are about 25%. You really never invested in FC? I think most of us started there.
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Post by captainconfident on Feb 3, 2017 19:09:07 GMT
You fail to engage with my point which is that listing defaults in this thread alongside the "dissuade other people from investing here" comments of other contributors does commercial damage to this loan provider, while nobody performs the same service in the Funding Circle section of the website.
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