Post by oldgrumpy on Nov 13, 2013 15:07:34 GMT
Assetz Capital include an assessment of risk which includes their rationale behind the result of that assessment.
Funding Circle do not.
I wonder why they adamantly refuse to explain or justify what appears to be an anomalous assessment, even when it is questioned on Q & A. They must have their reasons for their decisions, but when they fundamentally affect the interest rates for both lender and borrower, sometimes it surely needs detail to be provided, if only to make repeated questioning necessary.
For instance, how lucky one company must be today.
How on earth does a small karaoke machine provider (4013) with a yearly turnover of just over £100,000 after 9 years trading (and possibly falling for this year), with a payment performance boasting "noticeable improvement".....(improvement from what?), qualify for an A+ risk band, despite a decent credit record (for what that particular one is worth)?
I can't think why I (or anyone) would want to lend to receive 5% (after fee but before tax, and still take any risk)!
Occasionally, too, the opposite happens, and I can't understand why a company has been (it seems to me, harshly) awarded a C- (FC refused to risk the bad press by calling it D band).
Maybe its an age thing, and I just "can't understand". PERIOD!
Funding Circle do not.
I wonder why they adamantly refuse to explain or justify what appears to be an anomalous assessment, even when it is questioned on Q & A. They must have their reasons for their decisions, but when they fundamentally affect the interest rates for both lender and borrower, sometimes it surely needs detail to be provided, if only to make repeated questioning necessary.
For instance, how lucky one company must be today.
How on earth does a small karaoke machine provider (4013) with a yearly turnover of just over £100,000 after 9 years trading (and possibly falling for this year), with a payment performance boasting "noticeable improvement".....(improvement from what?), qualify for an A+ risk band, despite a decent credit record (for what that particular one is worth)?
I can't think why I (or anyone) would want to lend to receive 5% (after fee but before tax, and still take any risk)!
Occasionally, too, the opposite happens, and I can't understand why a company has been (it seems to me, harshly) awarded a C- (FC refused to risk the bad press by calling it D band).
Maybe its an age thing, and I just "can't understand". PERIOD!
