oldgrumpy
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Post by oldgrumpy on Oct 27, 2016 22:46:23 GMT
Thank you. I am hoping someone has default statistics since the introduction of fixed rate loans.
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blender
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Post by blender on Oct 28, 2016 8:56:40 GMT
It's a bit early for anything meaningful, since fixed rates were introduced only about 13 months ago (about loan no. 16045). FC do it themselves for you on the statistics page with the bad debt rates by half year cohorts. The H2 2015 contains the first quarter of fixed rates, and you need to compare the graph with earlier ones. Nothing stands out yet.
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r00lish67
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Post by r00lish67 on Nov 11, 2016 3:22:36 GMT
So what's the latest with this one? I'm curious to know whether FC have kept or set adrift their policy of refunding lenders in the event of loans hitting problems prior to first payment.
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baz657
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Post by baz657 on Nov 11, 2016 10:44:05 GMT
So what's the latest with this one? I'm curious to know whether FC have kept or set adrift their policy of refunding lenders in the event of loans hitting problems prior to first payment. The latest is this
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r00lish67
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Post by r00lish67 on Nov 11, 2016 11:03:57 GMT
Thanks Baz, I've liked your post, although not too encouraged by the contents!
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blender
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Post by blender on Nov 11, 2016 14:48:35 GMT
Thanks Baz, I've liked your post, although not too encouraged by the contents! Not encouraged that the director/guarantor will cough up perhaps - but this looks the right action by FC. Wishing to take control and intending to examine the director's conduct.
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baz657
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Post by baz657 on Nov 22, 2016 18:23:17 GMT
No surprise as to yesterdays snippet
I'm guessing "their position" is somewhere very warm, sunny and thousands of miles from Fully Cataclysmic towers.
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Post by Deleted on Mar 23, 2019 17:29:18 GMT
I am after general information about the Credit checking process. I have a similar situation to those mentioned in this post and wondered if anyone knows how these loans pass a credit check.
Loan 54865 was requested in April 18, Offered on 18th April for hiring more staff because they were so busy. (I don't know what the risk band was but interest rate was 19%)
Statement of affairs was written 2 weeks later on 2nd May and signed on 14th May when a liquidator was appointed.
The year end Dec 17 accounts show profit 78k with only tax as a liability.
The list of creditors on Companies house dated 2nd May shows 236k owing to 13 various creditors (banks, Loan companies, tax, and the director/guarantor)
Obviously no repayments were made and the guarantor has left the country.
So in the space of 4 months the business applies for and gets at least 7 loans totalling 117k.
My question is what shows up when they do a credit search? Is there a large timing issue between applying for/getting a loan and it appearing on your credit file? I thought even loan applications showed up? If all of the loans were applied for and accepted on the same day would a it show on the credit file?
FC noted in May 18 that they were holding an internal investigation into the early failure, but are very reluctant to give me the results.
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reinvestor
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Post by reinvestor on Mar 24, 2019 7:41:18 GMT
Credit applications by a business would show up on a credit check instantly. So if a firm made ten applications in a day, they would be visible to all those firms checking them.
A loan taken out would not show for a month. All lenders submit data to the credit agencies once a month so there is a lag there.
Numerous searches should be a red flag but if a firm is using automated credit scoring and a human doesn’t look at the report, these things often do not get highlighted as being bad news.
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Post by Deleted on Mar 24, 2019 7:55:52 GMT
Credit applications by a business would show up on a credit check instantly. So if a firm made ten applications in a day, they would be visible to all those firms checking them. A loan taken out would not show for a month. All lenders submit data to the credit agencies once a month so there is a lag there. Numerous searches should be a red flag but if a firm is using automated credit scoring and a human doesn’t look at the report, these things often do not get highlighted as being bad news. Thanks, thats pretty much what I thought. FC T&Cs state they do have a human final check.
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Stonk
Stonking
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Post by Stonk on Mar 24, 2019 16:22:47 GMT
The year end Dec 17 accounts show profit 78k with only tax as a liability. The list of creditors on Companies house dated 2nd May shows 236k owing to 13 various creditors (banks, Loan companies, tax, and the director/guarantor)
This sounds familiar!
I have quite a number of defaulted loans where the Financial details tab on FC declares little or no debt .. then the borrower folds and the Statement of Affairs shows huge debts.
One that I remember recently was a business which looked just fine, borrowing well within its limits, declaring a small overdraft and loan totalling about £20K. It wasn't long before they stopped trading, and when the Statement of Affairs was filed to CH it showed almost £500K liabiities, including some massive borrowing from a bank and other lenders.
Someone is not checking very well. An "internal investigation" doesn't seem quite the correct way to deal with fraud.
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Post by df on Mar 24, 2019 20:01:05 GMT
Credit applications by a business would show up on a credit check instantly. So if a firm made ten applications in a day, they would be visible to all those firms checking them. A loan taken out would not show for a month. All lenders submit data to the credit agencies once a month so there is a lag there. Numerous searches should be a red flag but if a firm is using automated credit scoring and a human doesn’t look at the report, these things often do not get highlighted as being bad news. Thanks, thats pretty much what I thought. FC T&Cs state they do have a human final check. They probably do, but it is questionable how thorough this procedure is. FC is a loan production factory, I'd imagine they would need a very large team employed to carry out a sufficient "human check" on every item of production line. When I've started with FC I thought that the quantity can beat the lack of quality, but I was wrong (conveyor belt delivered too many damaged items).
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