'Ongoing' .. Is it just me or are latest updates rubbish?

The whole point is that I do not want to be forced to renew, waiting for another 6 months to get interest.

There are two types of property loans on the platform general bridging and development. 

My thoughts are:

Bridging (includes obtaining planning developments)- term 6 months and penalties if exceeded eg after 1 month 0.5%pm increase  (eg 1.5%pm) 

Development - set up properly:

a) Small development - 12 months with further draw-downs  to tie in with initial term end.
b) Larger development - 18 months with further draw-downs to tie in with initial term end.

Again penalties at 0.5%pm if not repaid on time.

On all occasions obviously if they pay interest and wish to renew then they can but at least we will be earning extra interest to cover the increased risk.

In answer to the initial question, then this will focus borrowers minds and in turn reduce the number of 'rubbish' updates needed.

ablender can speak for himself, but I took his comment to mean that he considered a 6-month loan that overran to 12-months as effectively being a forced renewal.  To my mind, an overrunning loan is worse than a forced renewal because investors aren't paid interest at the 6-month point, and the LTV after 12 months is higher than it would have been with a proper renewal.

renew, overrun, extended. I am using these terms interchangeably. Keep in mind that FS and the borrower tried to renew this loan and failed. Then FS decided to extended this loan by 30 days which now became like 5 months. In any case we do not see a penny of interest Nor the capital.

Out of curiosity what happens to the interest (money) when borrowers make a payment which doesn't cover the whole amount due?

There have been a couple of loans that FS have posted that a payment has been made as a gesture of good faith but I haven't received a partial repayment.

Only fundingsecure can answer this question with any authority, but I've never received a partial payment either. 

I presume the money is sitting in a FS bank account.  I'd hope it was in a client account inasmuch as it's investors' money rather than FS's, but again only FS could say.

cynic hat on/  In a situation such as this, we have to trust/believe the platform when they say they did receive money from the borrower, as it would be altogether too easy for them to say something like that just to give the impression that they're making progress with the borrower.  But I suppose that's no different than for anything else they say/do.  Trust is essential.  If we don't have it, we shouldn't be investing.

@leopardcat:  Thanks for pointing this out, but I'm not convinced that the SS loan will scupper the FS loans.  The info on both platforms mentions that the estate is divided into a number of parcels with separate titles.  The FS loans are against two smallish parcels, together valued at about £625k.  The SS loan is described as against the main castle, with no mention of the outlying properties, and the preliminary value of that is £4.9M.  Until SS post the VR -- which they say they're expecting an update for on 16/Dec -- we won't know if the SS valuation includes the smaller parcels as well.  If it does then, yes, that will mean the FS loans are in jeopardy.  If it doesn't, then the borrower could decide that the larger SS loan might mean they won't want to proceed with the FS loans, but they could decide that they want all three loans.  (At which point we can start worrying whether the borrower's strategy is one of 'sale by pawn'?)

ISTM that the borrower probably has approached both FS and SS -- and possibly others -- for all their borrowing needs, and has been shopping around for the best deal.  I'd guess that FS have offered better terms for the smaller loans, but declined to offer a castle loan because it's too big for them to be confident their investors would fund it.

The purposes of the FS loans are described as "Client requires the funds to pursue a new development opportunity...".  The new opportunity could be the main castle redevelopment which is ongoing, and the borrower may need to pledge the smaller properties in order to keep the LTV of the SS loan down to a reasonable level. 

So it wouldn't surprise me in the least if all three loans proceed.  We may have to wait until we see SS's VR before we learn anything more.