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Post by Olivia on Jul 12, 2018 14:31:07 GMT
Hello trentenders and captainb , Thanks for you feedback in regards to our marketing emails, we’re always happy to adapt our approach to better suit our investors. We generally receive a positive response to this style of email, although I do understand that it is not to everyone’s taste. Going forward, we will include some ‘at a glance’ details of the security, loan amount etc. to ensure that our marketing is suited to all needs. Please also remember that extensive information is available via the platform for each deal, should you wish to view it. Olivia Thank you for the update.
I have a couple of questions and one comment, if you don't mind(?)
1) When will the 20% kick-in? Would you be agreeable to cover lost interest and the initial 20% as soon as a loan defaults, rather than waiting for conclusion (recouping the money for yourself and the remaining capital for investors) when recovered? If not, what stops you kicking the can down the road (particularly on any large loans) indefinitely?
2) How much of the £4.2m equity is readily accessible for use in backing up the guarantee (quickly)?
3) Is any of the £4.2m equity currently invested in the same Kufflink (or other) loans?
4) Will the pre-drawdown cashback (thank you - a good development IMO) really classed as cashback, rather than interest? I like cashback, because I wouldn't have to pay tax on it  but I'd appreciate another one of your 'guarantees' on this point.
Comment: Are there any plans to make your marketing more sensible? I may be a minority, but I really dislike the amount of puns in your emails, and I would much more inclined to invest if they stated amount of loan, details of the security and the purpose of the loan - I care less about a property being located near somewhere that you can joke about, and more about whether I think you're serious about looking after my money.
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Post by flobberchops on Jul 12, 2018 16:17:42 GMT
Regarding the £100 cashback offer. I clicked on the banner ad still visible in this forum, but the website says the promotion ended in June?
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Post by Olivia on Jul 12, 2018 16:35:44 GMT
Hi flobberchops I can confirm the website is currently being updated, we have decided to run this promotion indefinitely. Olivia Regarding the £100 cashback offer. I clicked on the banner ad still visible in this forum, but the website says the promotion ended in June? |
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Post by Olivia on Jul 13, 2018 8:14:47 GMT
Hi trentenders - Our guarantee is payable to you as investors once recovery proceedings have been finalised. If a borrower defaults on their payments, we will notify you. If it is a temporary problem which can be easily resolved, then it is likely that no default will occur and as such, your investment should not be affected.
If it is a more complex issue, Kuflink will (based on advice) appoint a Law of Property Act receiver and where appropriate, sell the security property to ensure investors receive the capital and interest due to them. This could mean that there is a delay in receiving your capital and interest, but our 20% guarantee will be honoured at the soonest point.
- As you can appreciate, this amount of money is not all liquid. The exact amount of liquid capital is variable, however we can assure you that it never has and never will fall below the amount needed to bolster our guarantee. This capital is readily accessible should it be required.
- Yes, we invest 5% in each loan alongside you. We do not invest in other P2P loans, however we do have some confidential business loans in order to maintain our expansion plans.
- I am glad to hear you like this new feature and can confirm that 'interest' on reserve deals will be paid as cashback
Olivia Thank you for the update.
I have a couple of questions and one comment, if you don't mind(?)
1) When will the 20% kick-in? Would you be agreeable to cover lost interest and the initial 20% as soon as a loan defaults, rather than waiting for conclusion (recouping the money for yourself and the remaining capital for investors) when recovered? If not, what stops you kicking the can down the road (particularly on any large loans) indefinitely?
2) How much of the £4.2m equity is readily accessible for use in backing up the guarantee (quickly)?
3) Is any of the £4.2m equity currently invested in the same Kufflink (or other) loans?
4) Will the pre-drawdown cashback (thank you - a good development IMO) really classed as cashback, rather than interest? I like cashback, because I wouldn't have to pay tax on it but I'd appreciate another one of your 'guarantees' on this point.
Comment: Are there any plans to make your marketing more sensible? I may be a minority, but I really dislike the amount of puns in your emails, and I would much more inclined to invest if they stated amount of loan, details of the security and the purpose of the loan - I care less about a property being located near somewhere that you can joke about, and more about whether I think you're serious about looking after my money.
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dandy
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Post by dandy on Jul 13, 2018 8:52:14 GMT
Hi trentenders - Our guarantee is payable to you as investors once recovery proceedings have been finalised. If a borrower defaults on their payments, we will notify you. If it is a temporary problem which can be easily resolved, then it is likely that no default will occur and as such, your investment should not be affected.
If it is a more complex issue, Kuflink will (based on advice) appoint a Law of Property Act receiver and where appropriate, sell the security property to ensure investors receive the capital and interest due to them. This could mean that there is a delay in receiving your capital and interest, but our 20% guarantee will be honoured at the soonest point.
- As you can appreciate, this amount of money is not all liquid. The exact amount of liquid capital is variable, however we can assure you that it never has and never will fall below the amount needed to bolster our guarantee. This capital is readily accessible should it be required.
- Yes, we invest 5% in each loan alongside you. We do not invest in other P2P loans, however we do have some confidential business loans in order to maintain our expansion plans.
- I am glad to hear you like this new feature and can confirm that 'interest' on reserve deals will be paid as cashback
Olivia You really cant assure anyone of anything without showing us the color of your money and then ring fencing/investing it so either you fail to understand that or you do understand and take us for idiots. Sorry to be harsh but I am amazed that you continue to spout this nonsense
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Post by flobberchops on Jul 13, 2018 15:04:07 GMT
Hi flobberchops I can confirm the website is currently being updated, we have decided to run this promotion indefinitely. Olivia Thanks for that Olivia. Just to really idiot-proof the process for myself, could you clarify how the friend referral process works: (As "Molly" on the webchat is ignoring me!)
The referral promotion Ts&Cs say "To qualify, you (known as the Referee) must be referred by an existing customer (known as the Referrer) and have already invested a minimum of £100." But it also says "The Referee cannot already hold an account" - I'm reading the first sentence to mean that I must first invest £100+ to be eligible for referral, but the second sentence says that if I already have an account (surely required to invest the £100) I become ineligible? Which is it?
Secondly, I started entering my name and email (section 1 of the sign up process), then realised I should have used the referral link. Am I deemed to already have an account if at this stage?
Cheers!
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Post by Ace on Jul 13, 2018 15:29:07 GMT
It's the referrer that needs to have already invested £100.
I think that you need to register via a referral link to qualify, so probably best to re-register with a different email address.
Obviously happy to send you a link if you don't already have one.
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Post by flobberchops on Jul 13, 2018 20:37:17 GMT
It's the referrer that needs to have already invested £100. I think that you need to register via a referral link to qualify, so probably best to re-register via with a different email address. Obviously happy to send you a link if you don't already have one. Aha, that's how I imagined it should work but the weird wording threw me off. I already have a link but thanks for the advice!
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jnm21
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Post by jnm21 on Jul 16, 2018 7:44:39 GMT
Secondly, I started entering my name and email (section 1 of the sign up process), then realised I should have used the referral link. Am I deemed to already have an account if at this stage? I have to say they have always been very amicable in dealing with referrals - clearly this is not a guarantee (but then there are few things that are guaranteed, even guarantees)! 
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jnm21
Posts: 441
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Kuflink
Jul 16, 2018 7:50:24 GMT
via mobile
Post by jnm21 on Jul 16, 2018 7:50:24 GMT
You really cant assure anyone of anything without showing us the color of your money and then ring fencing/investing it so either you fail to understand that or you do understand and take us for idiots. Sorry to be harsh but I am amazed that you continue to spout this nonsense Very harsh, but then the truth often is. I think KL are victims of their own spin - they think that a bacon roll (or barm as my in-laws would say) is the full English - it isn't and they are looking silly/contemptuous trying to convince us!
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jnm21
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Post by jnm21 on Jul 16, 2018 8:11:58 GMT
Olivia nothing personal in this, but this is money & issues must be addressed. "Kuflink lends up to 75% LTV, and so the UK property market value would have to drop by 25% before Kuflink’s 20% Guarantee were to ‘kick in’. It is only in the event that Kuflink Bridging Ltd is not able to recover more than than 55% of the value of the property that investors would be affected." Firstly this seems very naive - surely there are many other factors being ignored (thus technically mis-selling investments): Mistakes/variations in valuations. Local factors (the UK market on the whole would be more stable than the local areas of the properties surely - one burnt out property would not affect the UK market, but even one near the security would affect its value). Costs - there must be significant costs on foreclosures. Secondly a delay in payout is a significant effect. "our 20% guarantee will be honoured at the soonest point" That is meaningless (bordering misleading) - the earliest point would be on first missed payment (as another provision fund does). As I say nothing personal, but to many this is significant sums, maybe their pension pot & information must be accurate - triple so when MONTHS (not weeks) late.
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Post by Olivia on Jul 18, 2018 14:41:44 GMT
Hello jnm21, No problem at all, you have every right to ask questions and I am more than happy to answer.
1) Mistakes/variations in valuations:Each of our deals is assessed by an independent surveyor, who must be RICS registered and fully qualified. As per the industry standard, a surveyors’ valuation is based on many factors including their knowledge, experience and property prices in the surrounding area. As with all independent valuations, there can be slight variations but outright mistakes are rarely made. We take these variations into account by allowing a measure of equity for each loan, to absorb any downward movement in property values. It’s worth remembering that property values can increase as well as decrease, therefore these variations can go both ways. 2) Local factors:Within the valuation report, you will notice that the surveyor takes into account all relevant factors affecting the local area, including how businesses and properties are faring in this part of the country. As you note in your question, specific incidents can affect property prices, and in this instance the surveyor would write a report. In turn, Kuflink would make this report/ the information it contains available to investors via the platform. 3) Costs:The costs involved with foreclosure will vary from deal to deal. Some may be costly, others much less so, depending on how the borrower conducts their accounts and what we need to conclude the deal (so that investors are paid out). These costs are paid by the borrower with no cost to the investor. Olivia. Olivia nothing personal in this, but this is money & issues must be addressed. "Kuflink lends up to 75% LTV, and so the UK property market value would have to drop by 25% before Kuflink’s 20% Guarantee were to ‘kick in’. It is only in the event that Kuflink Bridging Ltd is not able to recover more than than 55% of the value of the property that investors would be affected." Firstly this seems very naive - surely there are many other factors being ignored (thus technically mis-selling investments): Mistakes/variations in valuations. Local factors (the UK market on the whole would be more stable than the local areas of the properties surely - one burnt out property would not affect the UK market, but even one near the security would affect its value). Costs - there must be significant costs on foreclosures. Secondly a delay in payout is a significant effect. "our 20% guarantee will be honoured at the soonest point" That is meaningless (bordering misleading) - the earliest point would be on first missed payment (as another provision fund does). As I say nothing personal, but to many this is significant sums, maybe their pension pot & information must be accurate - triple so when MONTHS (not weeks) late.
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p2pmark
Member of DD Central
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Post by p2pmark on Jul 18, 2018 18:10:54 GMT
Hello jnm21 , No problem at all, you have every right to ask questions and I am more than happy to answer.
1) Mistakes/variations in valuations:Each of our deals is assessed by an independent surveyor, who must be RICS registered and fully qualified. As per the industry standard, a surveyors’ valuation is based on many factors including their knowledge, experience and property prices in the surrounding area. As with all independent valuations, there can be slight variations but outright mistakes are rarely made. We take these variations into account by allowing a measure of equity for each loan, to absorb any downward movement in property values. It’s worth remembering that property values can increase as well as decrease, therefore these variations can go both ways. 2) Local factors:Within the valuation report, you will notice that the surveyor takes into account all relevant factors affecting the local area, including how businesses and properties are faring in this part of the country. As you note in your question, specific incidents can affect property prices, and in this instance the surveyor would write a report. In turn, Kuflink would make this report/ the information it contains available to investors via the platform. 3) Costs:The costs involved with foreclosure will vary from deal to deal. Some may be costly, others much less so, depending on how the borrower conducts their accounts and what we need to conclude the deal (so that investors are paid out). These costs are paid by the borrower with no cost to the investor. Olivia. Olivia nothing personal in this, but this is money & issues must be addressed. "Kuflink lends up to 75% LTV, and so the UK property market value would have to drop by 25% before Kuflink’s 20% Guarantee were to ‘kick in’. It is only in the event that Kuflink Bridging Ltd is not able to recover more than than 55% of the value of the property that investors would be affected." Firstly this seems very naive - surely there are many other factors being ignored (thus technically mis-selling investments): Mistakes/variations in valuations. Local factors (the UK market on the whole would be more stable than the local areas of the properties surely - one burnt out property would not affect the UK market, but even one near the security would affect its value). Costs - there must be significant costs on foreclosures. Secondly a delay in payout is a significant effect. "our 20% guarantee will be honoured at the soonest point" That is meaningless (bordering misleading) - the earliest point would be on first missed payment (as another provision fund does). As I say nothing personal, but to many this is significant sums, maybe their pension pot & information must be accurate - triple so when MONTHS (not weeks) late. But you've completely missed jnm21 's (astute) point. Your wording states: "...so the UK property market value would have to drop by 25% before Kuflink’s 20% Guarantee were to ‘kick in’..." As you've noted above there are other factors that could cause the realised value to change other than "the UK property market" changing. That you are reasonably transparent about these points in the valuation etc is entirely irrelevant to jnm21's point. E.g., on item 2 it is not realistic to expect a surveyor to predict local crashes; even if the surveyor highlighted such risks in the valuation, it would still cause the valuation of the property in question to fall. Your current wording could mislead those who are less astute. Please correct it.
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jnm21
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Kuflink
Jul 19, 2018 6:08:33 GMT
via mobile
Post by jnm21 on Jul 19, 2018 6:08:33 GMT
p2pmark thanks - I was banging my head on the keyboard for how to reply & then realised you had done it for me! I never thought the P2P newbie would ever get to an astute compliment! I must admit I am only listening (isn't that an underrated skill) to some of the wise folk on here & applying their knowledge. Olivia you are missing the point - we are talking worst case here (as other sad P2P events encourage us to fear). Also you seem to have missed the "soonest point" point.
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marka
Member of DD Central
Posts: 224
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Post by marka on Jul 19, 2018 6:40:57 GMT
Hello jnm21 , No problem at all, you have every right to ask questions and I am more than happy to answer.
1) Mistakes/variations in valuations:Each of our deals is assessed by an independent surveyor, who must be RICS registered and fully qualified. As per the industry standard, a surveyors’ valuation is based on many factors including their knowledge, experience and property prices in the surrounding area. As with all independent valuations, there can be slight variations but outright mistakes are rarely made. We take these variations into account by allowing a measure of equity for each loan, to absorb any downward movement in property values. It’s worth remembering that property values can increase as well as decrease, therefore these variations can go both ways. 2) Local factors:Within the valuation report, you will notice that the surveyor takes into account all relevant factors affecting the local area, including how businesses and properties are faring in this part of the country. As you note in your question, specific incidents can affect property prices, and in this instance the surveyor would write a report. In turn, Kuflink would make this report/ the information it contains available to investors via the platform. 3) Costs:The costs involved with foreclosure will vary from deal to deal. Some may be costly, others much less so, depending on how the borrower conducts their accounts and what we need to conclude the deal (so that investors are paid out). These costs are paid by the borrower with no cost to the investor. Olivia. Olivia nothing personal in this, but this is money & issues must be addressed. "Kuflink lends up to 75% LTV, and so the UK property market value would have to drop by 25% before Kuflink’s 20% Guarantee were to ‘kick in’. It is only in the event that Kuflink Bridging Ltd is not able to recover more than than 55% of the value of the property that investors would be affected." Firstly this seems very naive - surely there are many other factors being ignored (thus technically mis-selling investments): Mistakes/variations in valuations. Local factors (the UK market on the whole would be more stable than the local areas of the properties surely - one burnt out property would not affect the UK market, but even one near the security would affect its value). Costs - there must be significant costs on foreclosures. Secondly a delay in payout is a significant effect. "our 20% guarantee will be honoured at the soonest point" That is meaningless (bordering misleading) - the earliest point would be on first missed payment (as another provision fund does). As I say nothing personal, but to many this is significant sums, maybe their pension pot & information must be accurate - triple so when MONTHS (not weeks) late. With regard to point 3. It is only correct to say that the borrower pays the costs in cases where there is a balance left from the funds realised after settling the outstanding debts. In other cases they may be theoretically liable for the costs but they don't pay them. If a developer goes bankrupt then these costs will be paid out of any funds realised, and so in effect it is the investor who pays them.
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but I'd appreciate another one of your 'guarantees' on this point.
