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Post by easteregg on Jul 28, 2016 11:58:22 GMT
I'm interested to hear what other lenders would feel about incentives to lend with a new P2P company. Over the years we have had cashback, mugs, iPad, iPods, bonus interest, but I would like to hear what lenders value. It may be that the only decision to lend is based solely on lending rates and returns, which I can also understand.
You can vote for up to 3 items.
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Post by tybalt on Jul 28, 2016 12:05:44 GMT
One of several reasons I did not sign up for FC.
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Post by wildlife2 on Jul 28, 2016 12:10:34 GMT
I would rather have cash-back than a T-shirt, mug, cuddly toy etc. Had far too much wine and chocolate lately 
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oldgrumpy
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Post by oldgrumpy on Jul 28, 2016 12:20:01 GMT
nOT QUITE SURE HOW TO RESPOND TO THIS.
I'll try turning caps lock off.
Is this to invest with a new P2P company? In that case, no incentives at all will influence me.
Is it to open a new account with an established (or recently established) P2P platform about which I can look at opinions from other people? In that case cashback, or bonus rates/no fees would be of interest.
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bigfoot12
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Post by bigfoot12 on Jul 28, 2016 13:56:36 GMT
To invest with a new company I'd like no or reduced fees for life. To invest with a new to me company the biggest factor would probably be disillusion with an existing platform. To restart or increase my lending with a platform I am signed up with now I'd include cashback, reduced fees or vouchers to a shop I use anyway in the total return and see how good it way.
Most platforms had high rates to start with, which then fell. It looked like the rates at SS were about to fall before Brexit. This is not that different to offering cashback on more meagre rates.
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arbster
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Post by arbster on Jul 28, 2016 14:15:22 GMT
Personally, I'm pretty much fully invested in P2P, which means that new platforms are only of interest if they offer solid platform diversification opportunities together with significantly improved returns, but without massively increasing my exposure to risk. Therefore, cashback or other financial incentives might be the catalyst which encourages me to re-deploy other investments, but only if the platform stands up to all my normal due diligence checks. By the same token, platforms not offering incentives will be hard-pressed to attract me away from my existing platforms, which I'm broadly happy with.
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james
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Post by james on Jul 28, 2016 16:08:46 GMT
As a first filter all of those are irrelevant. What I want to know is whether I think I can trust the company and no value of offer can help with that.
There are now two companies I'd normally recommend against, one for repeatedly making false statements to lenders over many years and the other for among other things not disclosing it having an ownership interest in the borrower and using a misleading value for the loan security that let the borrower borrow around 100% and hence walk away from the deal without substantial capital loss, being protected by a misleading statement about the borrower being an individual who would still be on the hook vs a limited liability company that isolated the individuals, plural, not described singular.
There's no value of incentive that could cause me to make use of those companies for new lending or suggest use to others.
For companies without such issues what an incentive might do is get me to look at the company but that's usually all it might do.
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fp
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Post by fp on Jul 28, 2016 17:09:55 GMT
As a first filter all of those are irrelevant. What I want to know is whether I think I can trust the company and no value of offer can help with that. There are now two companies I'd normally recommend against, one for repeatedly making false statements to lenders over many years and the other for among other things not disclosing it having an ownership interest in the borrower and using a misleading value for the loan security that let the borrower borrow around 100% and hence walk away from the deal without substantial capital loss, being protected by a misleading statement about the borrower being an individual who would still be on the hook vs a limited liability company that isolated the individuals, plural, not described singular. There's no value of incentive that could cause me to make use of those companies for new lending or suggest use to others. For companies without such issues what an incentive might do is get me to look at the company but that's usually all it might do. Who are they?
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arbster
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Post by arbster on Jul 28, 2016 18:14:44 GMT
As a first filter all of those are irrelevant. What I want to know is whether I think I can trust the company and no value of offer can help with that. There are now two companies I'd normally recommend against, one for repeatedly making false statements to lenders over many years and the other for among other things not disclosing it having an ownership interest in the borrower and using a misleading value for the loan security that let the borrower borrow around 100% and hence walk away from the deal without substantial capital loss, being protected by a misleading statement about the borrower being an individual who would still be on the hook vs a limited liability company that isolated the individuals, plural, not described singular. There's no value of incentive that could cause me to make use of those companies for new lending or suggest use to others. For companies without such issues what an incentive might do is get me to look at the company but that's usually all it might do. Who are they? The second one sounds familiar.
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jonah
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Post by jonah on Jul 28, 2016 19:28:50 GMT
The second one sounds familiar. I believe James was being deliberately coy. However a review of his posting history provides details if you want to read up on this. For what it's worth, James (and others) have convinced me to avoid one of these two. My involvement with the other is currently a third what it once was, but is stabilising at that level. Trust is worth more than anything else. Reputations take ages to build and minutes to trash.
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james
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Post by james on Jul 28, 2016 21:09:14 GMT
Sorry, I chose not to name them because what I was doing was putting the value of offers into the context of other factors that influence the decision: the incentives matter far, far less than believing or not whether the platform is disclosing all relevant information about loan offers or in general being truthful. There are so many things that I have to trust a platform to do for me that if I can't trust I'm not going to invest. I was planning to invest circa £80-100k in the second one and cancelled that plan. The first one I've used and still have money invested but recently called me and I said that while I expected to invest a couple of hundred thousand Pounds of new money none of it would be going to that firm because of the repeated false statements. During the call I gave two examples. In one case they asserted that it was a matter of opinion whether a person was a "young professional" (a person working as a shop assistant or fitter without even finishing high school equivalent to a newly qualified lawyer or accountant? I think not); the second said they would investigate an email telling lenders that there would be no charge for secondary market deals from a specified date but continued to charge for all existing offers; and so far there has been no result of that. That's evened out the description of issues with each of the two. 
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Post by easteregg on Aug 2, 2016 13:39:34 GMT
Many thanks to those who have taken part. It is clear that lenders typically would be looking for cashback or some other financial incentive, rather than something physical, However a significant number of lenders are not swayed by incentives and focus on the opportunities on the site only.
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JamesFrance
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Port Grimaud 1974
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Post by JamesFrance on Aug 2, 2016 17:47:44 GMT
I would be disinclined to join anything which appeared to be involved with somoneysupermarket.
Obnoxious advertising doesn't do it for me.
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