jcb208
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Post by jcb208 on Mar 9, 2018 18:54:10 GMT
Ridiculous recovery amount with excessive fees ,I notice even more people are heading for the exit as the SM increases, not many are reinvesting their meagre recovery
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littleoldlady
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Post by littleoldlady on Mar 9, 2018 19:01:33 GMT
Never fear as Lendy say in their update they will kick the can down the road indefinitely to avoid admitting a capital loss put every effort and substantial resource into pursuing all legal and other enforcement options available to recover the outstanding balance owed.
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mary
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Post by mary on Mar 9, 2018 19:19:40 GMT
Ridiculous recovery amount with excessive fees ,I notice even more people are heading for the exit as the SM increases, not many are reinvesting their meagre recovery You may be correct about some people heading for the exit, and I am certainly disappointed about the sale price vs valuation. However recovery is incomplete and I certainly hope that Lendy will be able to demonstrate the value of its, well publicised, investments in it recovery team. That said, it seems that Lendy continues to attract new, and sometimes, large investments. Today saw a £100k chunk taken from DFL30 and £30k into DFL27 (I have not checked all loans). With the the demise of COL and the withdrawal of FC and now also MT (as evidenced by their pipeline update today) from large property development deals, the number of players is narrowing. Now, if Lendy could achieve full FCA authorisation, I may be more reassured!
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stevio
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Post by stevio on Mar 9, 2018 20:46:06 GMT
What about the Provision Fund? If anytime it should be used it would be this loan
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Liz
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Post by Liz on Mar 9, 2018 21:07:08 GMT
What about the Provision Fund? If anytime it should be used it would be this loan Nah; they will just use delaying tactics so it doesn't have to pay out in the near future.
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Jeepers
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Post by Jeepers on Mar 9, 2018 21:39:30 GMT
I'd like to see a new policy introduced-
6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss.
You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point.
I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous!
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littleoldlady
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Post by littleoldlady on Mar 9, 2018 22:09:53 GMT
I'd like to see a new policy introduced- 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous! Your first point is not a bad idea. Not much chance of Lendy taking it up though. You can claim a tax loss in this year. If there is any recovery in future years you will then have to declare it as additional taxable income. 60% might be ridiculous but I fear this loan will not be exceptional.
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bugs4me
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Post by bugs4me on Mar 9, 2018 22:26:11 GMT
<snip> 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. <snip> - agree with your thinking but many platforms are professional can kickers. If you are an investor on other platforms, just look at how they do it do it with their repetitive nonsensical updates which treat investors intelligence as basic idiots. And yes, I am an investor. Lending is something I do down the pub. That may be nit picking or playing on semantics but as an investor I expect a professional service irrespective as to what the T's&C's may state. I don't expect that from lending someone a tenner down the pub.
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elliotn
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Post by elliotn on Mar 10, 2018 1:27:54 GMT
I'd like to see a new policy introduced- 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous! There's not enough cash element in the PF to pay this loss. 60% maybe ridiculous but RICS do not provide valuations of niche properties for the lottery of an auction day. As a little old lady once said, this may not prove exceptional and you should therefore make your investments in high risk fixed income products accordingly.
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Liz
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Post by Liz on Mar 10, 2018 2:22:15 GMT
I'd like to see a new policy introduced- 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous! The PF had less than £2m in cash in it. Hence it can't afford to have one loan wipe it out. Nor would that be fair to the countless other defaulted loans.
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Liz
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Post by Liz on Mar 10, 2018 2:30:45 GMT
From 12 months ago: Lendy update....redemption statement requested...hopes to repay a month early If only! Reading back through these old posts would be funny if lenders weren't £2m out of pocket. Despite BS from Lendy about no lost capital!!!!
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stevio
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Post by stevio on Mar 10, 2018 7:58:50 GMT
I'd like to see a new policy introduced- 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous! The PF had less than £2m in cash in it. Hence it can't afford to have one loan wipe it out. Nor would that be fair to the countless other defaulted loans. It should at least pay a proportion
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Jeepers
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Post by Jeepers on Mar 10, 2018 9:03:13 GMT
I'd like to see a new policy introduced- 6 months from sale of asset to recover the outstanding capital or it's paid from the PF or declared as a loss. You can't kick the can down the road forever. Also, for tax purposes it needs to be declared as a loss at some point. I would consider this loan to be an exceptional circumstance given it's a 60% loss and should therefore be compensated by the PF. investors may expect a 10/20% loss worst case scenario but 60% is ridiculous! The PF had less than £2m in cash in it. Hence it can't afford to have one loan wipe it out. Nor would that be fair to the countless other defaulted loans. The PF had £2.85m in it on the balance sheet which could cover all of the capital loss. LY always said that interest withheld on loans for sale also went into the PF so with the amount on the SM, it should be filling quite quickly !
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rrrupert
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Post by rrrupert on Mar 10, 2018 10:13:59 GMT
^In the T&Cs I just see the interest on sale parts being mentioned as a "fee to Lendy" (section 10.3). I am not sure what happened in the past but it does not look like that interest ends up in the provision fund.
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Post by dualinvestor on Mar 10, 2018 12:05:26 GMT
The "other measures" are only required to get 150% of the original loan. Personal Guarantee's are notoriously easy to enforce so no problems here then, use of the PF won't be required everybody will be paid in full.
Those of you that believe in the above enjoy the view of the pink elephants flying past your window.
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