PBL107 to 115 - Flats & Houses, London REPAID

SS could have avoided a lot of drama here if they had assured us at the start that the lease extensions had all been completed. Also (which as far as I know still hasn't been done) assuring us that the refurbishments have also been completed. While it is reasonable to assume that SS wouldn't have released the loans without these conditions being satisfied, until the principles of "trust, but verify" and "don't assume" we shouldn't be asked to make such assumptions, but should be informed with the announcement of the loans. With these points left in the air it is easy for people to take counsel from their fears. People started digging, and got confused by all the various companies involved - so perhaps some documentation of the corporate structure involved, or at least an explanation of the various names appearing in the valuations, would not have gone amiss either.

Even if a platform thinks that its due diligence should be sufficient for its lenders, it's in the platform's interest to avoid its lenders getting spooked.

EDITED BY ADMIN:

Good luck with that one too given that SSSH is a wholly owned subsidiary of Lendy Ltd with no independent management

ADMIN NOTE:

What was posted is factually incorrect, and to have left as posted risked damage to Lendy Ltd.  The records at company house show that Saving Stream Security Holding Ltd IS NOT a subsidiary of Lendy Ltd.

I don't know much about IT stuff but normally when websites upgrade the hardware and make improvements they take the site offline for a little bit and I think there would be a bit of an outcry if the saving stream website was taken offline at some point tonight on the eve of the biggest loan launch day in their history.

Back On Topic - what a pity saving stream rushed these out yesterday with incomplete and out of date information. I.e. the lease details. I have to say this was another communication failure by saving stream and a lot of the negative comments over the last day could have been avoided.

I'm still not sure I will be getting into many of these loans. I think I will still stick with just two of them or maybe three and limit the size of my investments.

I'm not sure I trust the ones which claim to be 'looking to refinance'.

Does it make much difference if SSSH is a subsidiary or not? Are the directors the same? Is the PF held as cash in a SSSH bank account or is it just an accounting entry in Lendy's working capital, with SSSH as a creditor? I don't know the answers to any of these questions.

It makes a great deal of difference. Under the new true P2P structure set up last September SSSH holds the loan security on our behalf. Therefore it is important that it is isolated from any bankruptcy risk for Lendy Ltd.

The PF is a completely different issue for which there is another company,Lendy Provision Reserve Ltd (again not a subsidiary of Lendy Ltd).

Why do you think the provision fund could be 'just an accounting entry in Lendy's working capital'?