hazellend
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Post by hazellend on Aug 20, 2016 6:46:17 GMT
....... Not complaining at all, just find it quite interesting to see the dynamics of this loan. ..... From a lenders point of view I like this loan but blame my spreadsheets for my not buying much more! My spreadsheets calculate exposure (£) against a nominal max holding per loan (also takes into account where a borrower has more than one project) and % of total holdings across MT (personal, business and wife's accounts) and when the conditional formatting turns a cell red I stop buying! As cash injections are made to the site (direct investment and interest) buying opportunities arise since the % against total invested drop. Perhaps it is time I looked at my spreadsheet calculations Whilst my approach may not be typical I thought you might like a bit of lender feedback MoneyThingVery scientific but most lenders won't bother doing this
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Post by GSV3MIaC on Aug 20, 2016 7:37:31 GMT
At least one other does it very similarly. 8>.
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archie
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Post by archie on Aug 20, 2016 10:03:17 GMT
It's always the longer loan terms that take ages to fill. If the longer terms were initially only a maximum of 12 months but then renewed they might fill more quickly. They should be staggered so they don't all renew at once. Just a thought
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ali
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Post by ali on Aug 20, 2016 10:06:40 GMT
It's always the longer loan terms that take ages to fill. If the longer terms were initially only a maximum of 12 months but then renewed they might fill more quickly. They should be staggered so they don't all renew at once. Just a thought Not sure that's completely right. My complete unscientific impression is that it's the mid-term ones that are the slowest to fill. As you say, the 12 month ones are the fastest.
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archie
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Post by archie on Aug 21, 2016 7:00:39 GMT
It's always the longer loan terms that take ages to fill. If the longer terms were initially only a maximum of 12 months but then renewed they might fill more quickly. They should be staggered so they don't all renew at once. Just a thought Not sure that's completely right. My complete unscientific impression is that it's the mid-term ones that are the slowest to fill. As you say, the 12 month ones are the fastest. What I had in mind was something like this :- 6 months - as now 12 months - as now 18 months - 9 months, 1 renewal 24 months - 8 months, 2 renewals 30 months - 10 months, 2 renewals 36 months - 12 months, 2 renewals 42 months - 11 months, 2 renewals, then renewed again for 9 months 48 months - 7 months, 5 renewals, then renewed again for 6 months That gives a wide range of terms but each individual one is short. The renewals fall in different months (usually) so won't need a lot of money to cover.
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ali
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Post by ali on Aug 21, 2016 7:17:04 GMT
What I had in mind was something like this :- 6 months - as now 12 months - as now 18 months - 9 months, 1 renewal 24 months - 8 months, 2 renewals 30 months - 10 months, 2 renewals 36 months - 12 months, 2 renewals 42 months - 11 months, 2 renewals, then renewed again for 9 months 48 months - 7 months, 5 renewals, then renewed again for 6 months That gives a wide range of terms but each individual one is short. The renewals fall in different months (usually) so won't need a lot of money to cover. I can see that such a scheme would be good for the SM so that new investors would be more likely to find loans to diversify into. I'm not convinced it would make any difference to the primary market. I'm not quite clear what MT's "problem" is. Why are they struggling to fill FP455 et. al.? (and, perhaps more importantly, why did they decide they couldn't be confident of filling the new loan they were considering?). For my part, I have put as much into FP455 as my diversity limits would allow (and I've got cash sitting in the platform looking for loans). Is that true for the majority of investors or is there some inertia which is preventing people swapping some of their old loans for new ones thus improving their diversity and allowing newer investors like me to spread our cash further and thus put more cash into the platform? And if there is such an inertia, would your scheme help reduce it?
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archie
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Post by archie on Aug 21, 2016 7:30:28 GMT
I always go for the shorter terms. I guess people prefer to know they can get out quickly if need be.
Not sure if my scheme would help. I suspect people would invest across several tranches initially rather than just picking the one with the term they prefer.
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KoR_Wraith
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Post by KoR_Wraith on Aug 21, 2016 8:16:47 GMT
I'd been holding back from these loans due to the age old 'never invest in a restaurant' wisdom, coupled with the extended payback period. However, upon further thought the low LTV brings a good safety cushion which will only be further reduced as earlier tranches complete, £2k chucked in.
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Post by Deleted on Aug 21, 2016 9:22:59 GMT
I have an upper limit on MT which it is at.
I follow my rules
I like MT because of the 6 month rotation of deals, because of that I think of it as 6 month deal maker so the long deals put me off. I know that makes little sense but I like horses to behave like horses and ducks to behave like ducks.
If I were Ed, I'd break these deals into 6 monthly renewables (with likely duration commented on) as has been suggested above.
I would also like Ed to fnd more borrowers, I know it takes resouorces but I don't like lending such large proportions of my total P2P to one borrower. With MT I have reached 2% with one and that is my limit.
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archie
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Post by archie on Aug 21, 2016 9:58:08 GMT
I have an upper limit on MT which it is at. I follow my rules I like MT because of the 6 month rotation of deals, because of that I think of it as 6 month deal maker so the long deals put me off. I know that makes little sense but I like horses to behave like horses and ducks to behave like ducks. If I were Ed, I'd break these deals into 6 monthly renewables (with likely duration commented on) as has been suggested above. I would also like Ed to find more borrowers, I know it takes resources but I don't like lending such large proportions of my total P2P to one borrower. With MT I have reached 2% with one and that is my limit. The reason I didn't go for just 6 month renewals is MoneyThing would need to have available funds to potentially repay a large amount on the same day (unlikely as most MT investors renew everything). By staggering the renewal dates it reduces the potential liability considerably. I'd like more borrowers too. I don't limit to a particular borrower, instead I try to assess how easy it would be to recover if anything did go wrong.
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duck
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Post by duck on Aug 21, 2016 17:03:09 GMT
... I know that makes little sense but I like ....ducks to behave like ducks. ... I apologise in advance if my conduct does at any time give you cause for concern
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spiral
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Post by spiral on Aug 21, 2016 17:59:53 GMT
I apologise in advance if my conduct does at any time give you cause for concern Its not so bad for you. I often see people post "spiral out of control" and I wonder - how can they know that!
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SteveT
Member of DD Central
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Post by SteveT on Aug 23, 2016 14:50:15 GMT
And then there was one ...
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n
Member of DD Central
Yet another Nick
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Post by n on Aug 23, 2016 15:22:14 GMT
And then there was one ... You've been waiting a long time to say that.
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drgonzo
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Post by drgonzo on Jan 22, 2018 11:28:03 GMT
Sad news for investors... loan is expected to repay early Feb. This was one of my favorites.
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