will
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Post by will on Jul 29, 2016 11:05:39 GMT
If a loan part is up for sale for a week and then that sale is cancelled, is the interest for that week lost? Or does it still get paid to the lender at the end of the month?
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kaya
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Post by kaya on Jul 29, 2016 11:09:31 GMT
...and just to clarify all such matters, interest will still be payable if not cancelled but not sold, is that right? If so, why does your total invested figure reduce as soon as a part is put up for sale?
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Post by lb on Jul 29, 2016 11:13:35 GMT
If a loan part is up for sale for a week and then that sale is cancelled, is the interest for that week lost? Or does it still get paid to the lender at the end of the month? its very speculative and depends what part of the month, and time of day, how long you owned it, how long its been listed, whether anyone has bought any of it yet, whether you have any negative balance in last 60 days, whether loan is in default - and then, if all these criteria are met, it will only depend on if you have complied with all other standard t & c's including any announced on this forum or in the SS offices so maybe. it depends.
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Post by harvey on Jul 29, 2016 11:56:28 GMT
If a loan part is up for sale for a week and then that sale is cancelled, is the interest for that week lost? Or does it still get paid to the lender at the end of the month? Look at the SM thread, and posts about this made yesterday. If you put your loan part up for sale after the 1st of the month and cancel the sale before the end of the month then your 1 week's interest will be paid at month end. In other words, it's as though you never put your loan part up for sale. Interest will not be paid from date you list for sale if you don't cancel the sale. No interest paid from date you put it for sale and date it sells (if you have not cancelled the sale in between those dates). If you put your loan part up for sale on 28th July and cancel it on Aug 3rd (i.e. you straddle a month end interest payment date) , you will lose the interest from July 28th to July 31st but will be paid the interest from Aug 1st to Aug 3rd. The important date to watch is the end of month interest payment date. I think ...
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fp
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Post by fp on Jul 29, 2016 12:02:34 GMT
As long as it isn't for sale on the first of the month, then interest will be paid.......... This is based on what has been discussed to death already!
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Jul 29, 2016 12:15:44 GMT
...and just to clarify all such matters, interest will still be payable if not cancelled but not sold, is that right? If so, why does your total invested figure reduce as soon as a part is put up for sale?
Because when the system was launched you couldnt cancel a loan part so once it was listed for sale it was effectively gone from your holdings and not earning interest.
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littleoldlady
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Post by littleoldlady on Jul 29, 2016 17:03:36 GMT
I think this situation has come about by accident not design and SS could change/correct it without warning at any time. If interest is important to you my advice would be not to list it on the SM unless you are sure it will sell quickly.
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Post by GSV3MIaC on Jul 29, 2016 19:53:42 GMT
I agree it is accidental, but it is also slightly beneficial, in that there is now a small middle ground to improve liquidity ... i.e. 'list, but if nobody buys it, take it off again and keep the interest'. Not quite as good as 'offer a discount and jump the queue', but similar in effect. There are parts which are 'available for sale', but not 'desperately for sale'. The SS/Underwriter selling parts are similarly in there .. available to buy, if someone wants them, but not really clogging up the queue for those desperate to sell.
It's still not quite a market, like the ABLRate one (complicated, I admit), where Mr X is offering to sell you £100 of a loan for £101.50 (if you really want it) and Mr Y is willing to buy it off you for £98.76, if you really want to sell it.
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littleoldlady
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Post by littleoldlady on Jul 29, 2016 20:09:27 GMT
Beneficial to some lenders but not to SS. I expect them to fix this before long. The probability of them having to find a substantial amount because of PBL020 means that they need to bolster their finances and paying interest on loans on the SM contrary to what the platform says is an obvious candidate for the chop.
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Post by GSV3MIaC on Jul 31, 2016 18:03:31 GMT
I think you are incorrectly assuming that they wouldn't be paying interest on my parts anyway. They are only listed because I know I can cancel sale and get the interest .. if I couldn't then I wouldn't have them listed at all (so SS would be paying interest anyway). They are in the 'I'm happy to sell but don't actually need to' category .. so it offers more options for SM buyers, at no extra cost to SS.
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littleoldlady
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Post by littleoldlady on Aug 4, 2016 12:25:37 GMT
I think you are incorrectly assuming that they wouldn't be paying interest on my parts anyway. They are only listed because I know I can cancel sale and get the interest .. if I couldn't then I wouldn't have them listed at all (so SS would be paying interest anyway). They are in the 'I'm happy to sell but don't actually need to' category .. so it offers more options for SM buyers, at no extra cost to SS. Following that logic SS would pay interest on loans on the SM (as MT do) regardless. The fact that they so you won't get any interest, and you don't in fact get any after a month end, persuades me that it is accidental and not by design, and could get fixed at any time.
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Post by GSV3MIaC on Aug 4, 2016 13:08:06 GMT
I think I said that I agree it is accidental, but that I don't see it is of any great loss to SS to just leave it like it .. it gives a slight edge to desperate sellers (who forgo interest to stay ahead of the queue) while letting 'laissez-faire' sellers list parts with no loss to themselves (if they don't mind falling to the bottom of the queue whenever they de-list them).
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