mikes1531
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Post by mikes1531 on Nov 16, 2016 3:40:33 GMT
... if SS are paying the interest and planning on getting the money back on settlement then it puts their company in the high risk category for me.
As far as I understand it the interest that we are paid is funded by the borrower originally for the length of the loan and then on a monthly basis if the loan overruns. this is why negative days exist because the loan has overrun but interest is still being paid. When the borrower stops paying interest as in pbl020 is when the loan defaults.
The problem I have with negative term loans is that even if the borrower has been paying interest monthly they could stop at any time and the loan could default instantly. Furthermore, SS have said that sometimes they will continue to pay interest to their investors out of their own pocket if they believe there's a good chance that the loan could be repaid without going through receivers and the official recovery process. Unfortunately, the only way to know the difference between those two possibilities is if SS tell us, and communication isn't their strongest trait at the moment.
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mikes1531
Member of DD Central
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Post by mikes1531 on Nov 16, 2016 3:45:14 GMT
SS offer loans with an anticipated repayment date which invariably is missed but that is to be expected which is why I don't panic when a loan goes into negative days. It is also the reason that SS only has one loan in default because as long as the interest continues to be paid then the loan continues as long as there is an exit strategy which there should be for the loan to be made in the first place. I have a bit of a concern with taking things at face value because SS have a bit of a conflict of interest here. If they declared all loans where the borrower isn't paying the interest to be defaults, they'd scare off an awful lot of investors. So they have a lot of incentive to make the situation look rosier than it might be to an objective viewer. We don't have access to enough info to know whether there's a problem or not.
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seeingred
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Post by seeingred on Nov 16, 2016 12:20:17 GMT
It wasn't very quiet for a few seconds this morning.
£10,000 of Liverpool, £8,000 of the quarry and £10,000 of the windy farm were put up for sale - all within the space of a minute. All three (bar £100 or so) were snaffled by a single investor h**********d within a second or two of being put up for sale.
You had to be quick even to see it and even quicker to buy anything - it was all gone by the time I got to the sale pages.
Talk about ffff
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sam i am
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Post by sam i am on Nov 16, 2016 13:23:40 GMT
It wasn't very quiet for a few seconds this morning. £10,000 of Liverpool, £8,000 of the quarry and £10,000 of the windy farm were put up for sale - all within the space of a minute. All three (bar £100 or so) were snaffled by a single investor h**********d within a second or two of being put up for sale. You had to be quick even to see it and even quicker to buy anything - it was all gone by the time I got to the sale pages. Talk about ffff Possibly h <stars> d is the husband/wife/friend/business account of someone who wants to transfer their holding. I do this sometimes between my account and my wife's account.
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