wapping35
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Post by wapping35 on Jan 18, 2017 16:37:49 GMT
I queried with Zopa Customer Services a recent sizeable debt recovery (sizeable for a single debt recovery anyway), which I received a few days ago.
I found this interesting to see how a fraudulent application was dealt with by Zopa. It is Z+...
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Dear XXXX,
Thank you for your patience.
I can confirm that the £50.44 is due to a defaulted loan from borrower id - a784a0ad3647. The borrower has defaulted due to a fraudulent case and therefore the capital plus interest that is owed to you has been reimbursed by Zopa to you in a lump sum. This figure was combined with some other capital repayments within the £X you received on 10th January 2017 at 22:28 pm.
I hope this was helpful and if you have any further queries or concerns, please do not hesitate to let me know.
Kind regards
XXXX
Client Services
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registerme
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Post by registerme on Jan 19, 2017 9:30:25 GMT
I found this interesting to see how a fraudulent application was dealt with by Zopa. It is Z+... The implication being that Zopa will make good on a Z+ loan if it's deemed to be fraudulent? Contrasting with a normal Z+ default where they wouldn't?
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wapping35
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Post by wapping35 on Jan 19, 2017 10:08:34 GMT
I found this interesting to see how a fraudulent application was dealt with by Zopa. It is Z+... The implication being that Zopa will make good on a Z+ loan if it's deemed to be fraudulent? Contrasting with a normal Z+ default where they wouldn't? Yes that was my take on it. I should add that I would hope for a Safe Guarded loan the same would apply. That is Zopa would pay out rather than have the SG fund pay. Since the SG fund is a finite fund, which should only pay for non-fraudulent defaults. Whether that happens is another matter.
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Post by westonkev on Jan 21, 2017 11:47:08 GMT
The RateSetter Provision Fund pays for all bad debt, including fraud. Not that they'be suffered from much impersonation fraud as the processes are very tight* *at least they were in my day  |
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agent69
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Post by agent69 on Jan 21, 2017 12:21:03 GMT
You mean back in the good old days when you could get 6%+ in the 5 year market.
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Post by westonkev on Jan 21, 2017 16:30:14 GMT
You mean back in the good old days when you could get 6%+ in the 5 year market. Alas, since my departure the risk premium has reduced.... Not sure how to take that!
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Post by dan1 on Feb 21, 2017 10:58:29 GMT
Thought I'd add my own first experience of investing in Z+ over the last week. £1k was lent within 2 days (hours to queue, 2 days to match) at 6.6%. It was at 6.7% until the final £10 was matched.
To get around the <£10 matching to borrowers indefinitely - topped up to £10, cancelled the original matching and then invested the whole £10 to match again, which took a few hours. If I'm keen I'll do the same each month as the repayment dates are concentrated on 2 or 3 consecutive days (at present).
All in all I'm satisfied.
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Post by dan1 on Feb 21, 2017 12:30:09 GMT
Thought I'd add my own first experience of investing in Z+ over the last week. £1k was lent within 2 days (hours to queue, 2 days to match) at 6.6%. It was at 6.7% until the final £10 was matched. To get around the <£10 matching to borrowers indefinitely - topped up to £10, cancelled the original matching and then invested the whole £10 to match again, which took a few hours. If I'm keen I'll do the same each month as the repayment dates are concentrated on 2 or 3 consecutive days (at present). All in all I'm satisfied. Can you explain what you mean by the bit in bold as I have a lot of loans at less then £10? As I understand it, if the amount that is "matching to borrowers" is less than £10 then it will remain "matching to borrowers" until it increases to at least £10, either through repayments or new funds. If it remains below £10 it won't be matched to a loan part below £10 (e.g. someone using sell-out whose loan parts have received repayments). It does appear to be an anomaly because you do pick up loan parts <£10 from those who sell-out but it appears that this will only happen if your matching to borrowers >=£10. Please someone correct me if I'm wrong (or my explanation is gobbledygook!)
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aju
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Post by aju on Feb 21, 2017 12:35:08 GMT
I'm pretty certain that as long as there are people selling loans that have a value that matches your money available then you can pick up loans that are < multiples of your personal loan rate. £10, £20, £30 etc.
I've checked my current loans csv and it seems that the easiest check for RR'd loans picked up now is to check the acquired date and the start date and most if not all will be the same, the ones that aren't and are < 30 days apart will invariably be smaller than your loan rate (£10). I have hundreds of this type that match this principle.
You can check it yourself by loading the current csv into excel (other products are available) and simply create a new column formula as follows.
=C1=R1
copy this down to all rows, set the filter onto the top row and use the filter on the new column and select all the FALSE entries, generally these will all have loans values not of multiples of 10. Any that are 10 will most certainly be up 30 days out.
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aju
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Post by aju on Feb 21, 2017 12:45:10 GMT
Can you explain what you mean by the bit in bold as I have a lot of loans at less then £10? As I understand it, if the amount that is "matching to borrowers" is less than £10 then it will remain "matching to borrowers" until it increases to at least £10, either through repayments or new funds. If it remains below £10 it won't be matched to a loan part below £10 (e.g. someone using sell-out whose loan parts have received repayments). It does appear to be an anomaly because you do pick up loan parts <£10 from those who sell-out but it appears that this will only happen if your matching to borrowers >=£10. Please someone correct me if I'm wrong (or my explanation is gobbledygook!) Okay dan1 as I was writing you answered this. Sounds good to me. My theory was good until you stated this and you may be right, my reloan rate on a month on month basis is >100 so I guess I'll always be picking these up as you say. Did just notice though that all of mine in Z+ are actually £10 multiples I only have 1000 in there and the turn around is less frequent.
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Post by blanik on Feb 23, 2017 11:30:54 GMT
To get around the <£10 matching to borrowers indefinitely - topped up to £10, cancelled the original matching and then invested the whole £10 to match again, which took a few hours. My understanding is that Zopa will match your normal set amount ( £10, £20 £30 etc ) against new loans. It is possible that the last part of a new loan may be for a multiple of £10 - but less than your normal maximum. ( e.g. A £100 loan could be split across lenders £30+£10+£20+£30 with the last £10 going to a single lender irrespective of their normal lending amount ). Sold loans will be bought up to the value of your normal lending amount, as long as you have at least £10 matching to borrowers. It used to be possible to game the system by keeping an offer below £10, so you never got any new loans, but still matched ones being sold - at the time these sold loans were usually at a higher rate, and had a perfect repayment history. Zopa closed this loophole hence the minimum of £10 on offer to generate any matches.
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Post by gidoppp01 on May 16, 2017 18:03:10 GMT
I have £50k in zopa. They don't lend my £1,000 deposits in £500 chunks. The minimum chunk is £10, and must have at least £1000 initial deposit in Zopa plus. Say if you transfer £5000 into Zopa plus, then the next 100 chunks would be £50 each. It would be £25 each if you transfer £2500 into zopa plus next. If you are a big investor and transfer £500k into zopa plus in one go, each chunk would be £5k.
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Greenwood2
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Post by Greenwood2 on May 16, 2017 19:58:54 GMT
£1,000 certainly gets lent out in £10 loans. still interested in what rate peops are actually achieving in +. Seems no one knows? Difficult to quantify because you get several months with no defaults. Just looking at this year, several months after I started in plus I'm getting about 5.8% after defaults, hoping that is going to start to improve after a couple of bad months. If I look overall I'm probably about at the expected rate. Like others I made the mistake of adding a big chunk, which results in relatively big individual defaults, now back to small chunks as I have only added small amounts since, so hopefully the rate of big single losses will be reducing. Edit: gidoppp01 The large chunk size caused by a big deposit can be reversed by making a small deposit.
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r00lish67
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Post by r00lish67 on May 24, 2017 12:03:16 GMT
Did the other Zopa+'ers receive the following email yesterday? ""Improvements to your projected return calculation"
Sounds useful but dull, but buried at the bottom of the e-mail is the following:
"And, for the first time, you will be able to buy or sell Plus loans that have previously been in arrears, as your new projected return takes into account each microloan’s actual performance"
Is this really as it sounds, a marketplace for duff Z+ loans? This sounds, err, surprising?
Edit: On reflection, I suppose this means that when you invest new money, you're now going to be allocated 'secondary' loans. So maybe this is an attempt by Zopa to smooth out the returns seen by investors to maybe avoid the post 6 month slump seen by some?
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ashtondav
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Post by ashtondav on May 24, 2017 13:03:01 GMT
I am supposing that if you are earning a projected 6.9% instead of an expected rate of 6.3% they can top you up with non performers next time you add money. Similarly if you have the misfortune to be earning 5.8% instead of 6.3%, they can sell some of your duds and buy in some gooduns.
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