goopy
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Post by goopy on Sept 30, 2016 13:59:17 GMT
Just wanting to know why interest was not paid. You really cannot default a loan one day after the payment was due! How many days late does a payment have to be before a loan is defaulted?
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Post by ablrate on Sept 30, 2016 15:00:51 GMT
We must now be looking at accruing interest added to default interest. i.e 17 per cent should have been paid from June 1st onwards - clearly this has not happened. On this basis alone ATR532 should have been defaulted as from June 29th. There is no room in business for Mr nice guys, just look at the container loans. There can be no excuse for nonpayment of Sept interest - do Pheonix have cash flow problems? If not where is the interest sat as of today - in ablrates coffers? It's my money and I would like to know. I have already sold all of my other aircraft loans due to this fiasco. No more aircraft loans for me. Too prone to the old pals act! The interest is being paid today as we had to change the cash flows within the system which is being done as we speak (and an update is going out on news we received today). The penalty interest will be paid on the final redemption date along with the accrued interest and capital and is being back dated to the first extension. If the loan was defaulted in May then us, essentially lenders, would have been paying for storage and we would be managing the sale of the asset. I do, however, appreciate your frustration when loans extend. We do try to avoid things like this happening but respect your right to invest in what you feel comfortable with. Best Ablrate
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stevio
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Post by stevio on Sept 30, 2016 15:16:11 GMT
We must now be looking at accruing interest added to default interest. i.e 17 per cent should have been paid from June 1st onwards - clearly this has not happened. On this basis alone ATR532 should have been defaulted as from June 29th. There is no room in business for Mr nice guys, just look at the container loans. There can be no excuse for nonpayment of Sept interest - do Pheonix have cash flow problems? If not where is the interest sat as of today - in ablrates coffers? It's my money and I would like to know. I have already sold all of my other aircraft loans due to this fiasco. No more aircraft loans for me. Too prone to the old pals act! The interest is being paid today as we had to change the cash flows within the system which is being done as we speak (and an update is going out on news we received today). The penalty interest will be paid on the final redemption date along with the accrued interest and capital and is being back dated to the first extension. If the loan was defaulted in May then us, essentially lenders, would have been paying for storage and we would be managing the sale of the asset. I do, however, appreciate your frustration when loans extend. We do try to avoid things like this happening but respect your right to invest in what you feel comfortable with. Best Ablrate I don't think anyone really wanted the loan to be defaulted However, it would have been appreciated if you could have updated us, when you updated us about the progress, the future dates of payments of interest, penalty interest and capital so we too can manage our cashflows. If you don't, then you get this type of speculation
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Balder
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Post by Balder on Sept 30, 2016 15:46:22 GMT
For me the lesson here is that any loan covering a sale of an aircraft like this needs an initial term of more than 3 months.
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Post by ablrate on Sept 30, 2016 16:01:56 GMT
The interest is being paid today as we had to change the cash flows within the system which is being done as we speak (and an update is going out on news we received today). The penalty interest will be paid on the final redemption date along with the accrued interest and capital and is being back dated to the first extension. If the loan was defaulted in May then us, essentially lenders, would have been paying for storage and we would be managing the sale of the asset. I do, however, appreciate your frustration when loans extend. We do try to avoid things like this happening but respect your right to invest in what you feel comfortable with. Best Ablrate I don't think anyone really wanted the loan to be defaulted However, it would have been appreciated if you could have updated us, when you updated us about the progress, the future dates of payments of interest, penalty interest and capital so we too can manage our cashflows. If you don't, then you get this type of speculation There have been many lessons learned with this one. Many of which we are now reflected in updated procedures.
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pom
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Post by pom on Sept 30, 2016 16:56:32 GMT
I think any loan reliant on sale of an asset as an exit route is always likely to be a bit unpredictable...as those of us that have been involved in bridging loans are well aware. Given the average plane costs considerably more than the average house AND the safety aspect making the findings of any required surveys rather more critical we probably shouldn't really be surprised that there's been a bit of turbulence (couldn't resist) towards the end. So I'm very happy for lessons to be learned..(not least as I never invest an amount I can't afford to lose/wait for a while on)..and am sure things will be better next time
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blender
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Post by blender on Sept 30, 2016 17:01:56 GMT
You really cannot default a loan one day after the payment was due! How many days late does a payment have to be before a loan is defaulted? Elsewhere 90 days is normal, but I agree that an interest only loan like this is a special case. The second extension to the loan was agreed and so 29th Sept was the agreed due date. Having done that the borrower needs to be treated fairly. Presumably a formal default is a credit event which gets registered somewhere.
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SteveT
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Post by SteveT on Sept 30, 2016 17:33:26 GMT
September interest now paid
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Post by alamosurvivor on Sept 30, 2016 17:41:07 GMT
We must now be looking at accruing interest added to default interest. i.e 17 per cent should have been paid from June 1st onwards - clearly this has not happened. On this basis alone ATR532 should have been defaulted as from June 29th. There is no room in business for Mr nice guys, just look at the container loans. There can be no excuse for nonpayment of Sept interest - do Pheonix have cash flow problems? If not where is the interest sat as of today - in ablrates coffers? It's my money and I would like to know. I have already sold all of my other aircraft loans due to this fiasco. No more aircraft loans for me. Too prone to the old pals act! The interest is being paid today as we had to change the cash flows within the system which is being done as we speak (and an update is going out on news we received today). The penalty interest will be paid on the final redemption date along with the accrued interest and capital and is being back dated to the first extension. If the loan was defaulted in May then us, essentially lenders, would have been paying for storage and we would be managing the sale of the asset. I do, however, appreciate your frustration when loans extend. We do try to avoid things like this happening but respect your right to invest in what you feel comfortable with. Best Ablrate
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ptr120
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Post by ptr120 on Oct 6, 2016 12:38:00 GMT
Dear ablrate may we have an update? As I understand it the boroscope on the engines was due to be completed last week. I dont subscribe to the 'no news is good news' theory - can you provide some more info?
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Post by ablrate on Oct 6, 2016 17:05:45 GMT
Dear ablrate may we have an update? As I understand it the boroscope on the engines was due to be completed last week. I dont subscribe to the 'no news is good news' theory - can you provide some more info? I spoke with the Borrower today and will be doing an update tomorrow, but so far all looks good. Regards Ablrate
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Balder
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Post by Balder on Oct 7, 2016 16:36:41 GMT
Ablrate have you been writing software for Asian currency trading £ v $.
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oldgrumpy
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Post by oldgrumpy on Oct 7, 2016 16:58:01 GMT
"...Subject to there being no last minute hiccups we would expect to be in funds next week or latest the following. The funds will be coming to us as Dollars ..."Oh dear!
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Post by Butch Cassidy on Oct 7, 2016 17:03:46 GMT
"...Subject to there being no last minute hiccups we would expect to be in funds next week or latest the following. The funds will be coming to us as Dollars ..."Oh dear! Why "oh dear"? With the latest weakness in £sterling, selling in US$ & converting back is great news for us & Abirate; more £'s for our $'s - Well done Abirate now just finalise those containers & all is well again
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jonah
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Post by jonah on Oct 7, 2016 18:50:16 GMT
"...Subject to there being no last minute hiccups we would expect to be in funds next week or latest the following. The funds will be coming to us as Dollars ..."Oh dear! Naaah, a strong dollar here helps us get pounds back more easily. Which is one reason I don't understand the issues with the crates.
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