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Post by silvermachine on Sept 1, 2016 23:46:12 GMT
Been a long while since a loan was repaid - anyone else worried?
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cooling_dude
Bye Bye's for the PPI
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Post by cooling_dude on Sept 2, 2016 0:32:19 GMT
Been a long while since a loan was repaid - anyone else worried? The most recent drawndown loan that repaid was PBL109; it was only last week... so not a long while  The fact is, we are investing in risky bridging loans which do often overrun; it should be noted that interest is being sent (on a rolling basis) by the borrower of these negative term loans. The reason for the current build up of negative duration loans is simply due to the surge of PBLs from last year. I do think there are several "extend and pretend" loans, but I also believe that most, (maybe not all), negative term loans will repay ( eventually  ). However, these current negative term loans are the riskier loans on SS and should be avoided IMHO. As soon as the borrower stops sending the interest the loan defaults (according to SS). If you have avoided them, there is little to be worried about. With these bridging loans, that provide us investors high yields, defaults are to be expected... and investors should anticipate being involved in defaulted loans. When you complete your DD, look at the security and ask yourself (if in the event of a default), "what is the likelihood of 100% recovery" & "how long will recovery take". If you are involved in a default you won't lose a penny if the sale of the security covers the loan.
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dan83
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Post by dan83 on Sept 2, 2016 9:10:56 GMT
I've always thought, if I loan is in negative days and keeping up with payments month by month, wouldn't it be better to change the amount of days left on the loan?
When I see a loan that is -100 days (for example) I assume they haven't paid.
But if they and saving stream have agreed an extension on a month by month basis, it should reset back to 30 days (or what ever) every time a payment is made.
That's my opinion anyway.
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Post by buttchopf23 on Sept 2, 2016 9:13:12 GMT
thats my opinion too and has extensively been discussed before... somehow saving stream sees that different, or it seems not that important to them
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Post by dualinvestor on Sept 2, 2016 9:33:14 GMT
thats my opinion too and has extensively been discussed before... somehow saving stream sees that different, or it seems not that important to them More clarity on the live loans page wouls seem to be a desire of everyone, except Savingstream. I can't see that there would be any technical reason that much more information should be available in a single source, e.g. loan drawdown date, original term by date, extended term, by date etc either by individual loan or on the summary page. Some of this information is available by digging a little, some not at all. Given that the terms and conditions state that lenders should undertake their own due diligence Savingstream seem strangely reluctant to proffer the necessary information to enable Secondary Market investors to do so.
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mikeh
Member of DD Central
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Post by mikeh on Sept 2, 2016 17:44:15 GMT
Been a long while since a loan was repaid - anyone else worried? PBL115 was repaid today.
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MarkT
Member of DD Central
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Post by MarkT on Sept 2, 2016 17:55:28 GMT
I guess, in the context of the thread title, so did PBL019 which was -100 days.
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ped
Member of DD Central
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Post by ped on Sept 2, 2016 18:14:36 GMT
We often go months without any repayments, September is usually a busy one so game on!
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Post by brokenbiscuits on Sept 4, 2016 14:33:06 GMT
Apart from 81 and 20, with the current liquidity of the SM, there is no need to be in any of the other negative loans if you have concerns about them.
I know I've pulled out about 20% of my holdings and just have a tiny amount of money in 81 and the farms now of the negatives. The rest in longer term loans or waiting in my tsb accounts to be reinvested when some of the pipeline is released.
The difference of 5% and 12% over the years is significant. But will be hardly noticeable over a week or so for a fraction of my investments for the peace of mind I now have.
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Post by portlandbill on Sept 4, 2016 17:13:23 GMT
Are many of the negatives liquid?
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Post by dualinvestor on Sept 4, 2016 17:30:26 GMT
Are many of the negatives liquid? Everything, with the exception of the defaulted loan, appears to be liquid. There is much talk here of problems on individual loans and "problems" with borrowers but that does not appear to be shared by the general body of lenders. I would imagine it is only a minority of lenders that are aware of this forum, fewer that read it and even fewer who take any heed of it. The others are either, relying on their own conscience decision, whether that is based on "gut feeling" or due diligence, and a group who are motivated by the headline return, with many shades inbetween.
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Post by portlandbill on Sept 4, 2016 17:46:14 GMT
No one's buying my farmland that's up on the sm
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ben
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Post by ben on Sept 4, 2016 17:55:25 GMT
No one's buying my farmland that's up on the sm Maybe not your bit yet, but the amount on the sm has reduced a fair amount.
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adrianc
Member of DD Central
Posts: 10,014
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Post by adrianc on Sept 4, 2016 17:56:07 GMT
No one's buying my farmland that's up on the sm Maybe not your bit yet, but the amount on the sm has reduced a fair amount. ...and it's only a couple of days since there was zero farmland available.
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ablender
Member of DD Central
Posts: 2,204
Likes: 555
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Post by ablender on Sept 4, 2016 18:25:03 GMT
Are many of the negatives liquid? Everything, with the exception of the defaulted loan, appears to be liquid. There is much talk here of problems on individual loans and "problems" with borrowers but that does not appear to be shared by the general body of lenders. I would imagine it is only a minority of lenders that are aware of this forum, fewer that read it and even fewer who take any heed of it. The others are either, relying on their own conscience decision, whether that is based on "gut feeling" or due diligence, and a group who are motivated by the headline return, with many shades inbetween. Watch out when having " gut feeling". One might need to take some medicine. 
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