andy2001
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Post by andy2001 on May 26, 2014 15:40:49 GMT
I had 2 units for sale, and the AI could not be set to remove them. There now no longer for sale. So as said earlier it sounds rather than sales happening, units are being taken off sale!
A lot of it is units taken off sale. Some may have sold but mine didn't. If anyone really wants to sell them I'm sure they can at a discount.
If the buy to let property sells as expected this loan could look very attractive paying 18% with a 48% 90 day sale LTV on what's left of the loan.
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Post by Ton ⓉⓞⓃ on May 26, 2014 16:17:05 GMT
So as said earlier it sounds rather than sales happening, units are being taken off sale!
A lot of it is units taken off sale. Some may have sold but mine didn't. If anyone really wants to sell them I'm sure they can at a discount.
If the buy to let property sells as expected this loan could look very attractive paying 15% with a 48% 90 day sale LTV on what's left of the loan.
if your units very stuck in sale mode and you couldn't do anything about it, perhaps others were too. As you say you've taken them off sale and now others can too. If only we had an API on the AM we could see if that was the case. I hadn't considered that before.
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Post by andrewholgate on May 27, 2014 8:23:19 GMT
I've been told today that the PG is good and that clauses within it allow the guarantee to pass to the estate. The Probate team dealing with this have acknowledged this and our legal charge. I am confident that a clean exit will be achieved and no loss to lenders. As I have said before, default is not a bad thing as long as your documentation is robust and you manage the process quickly and efficiently. It seems (so far) we are passing muster. A What would be the correct approach to a general turn down in the economy, where all property values were being eroded so that the LTV's on loans etc were over 80% and heading for 100%; foreclosure on many? Unlike pikestaff says, we do put in place LTV convenants and this is standard practice (or should be) in SME lending. The covenant is not there to trip up the borrower but as a warning sign that the loan could be heading for difficulties. Whilst breach of covenant is an event of default, sometimes they can be difficult to enforce, especially around LTV. The reason for this, ask 3 Valuers to value a property and you will get 9 answers (open market, 90 marketing period and auction value and all 3 Valuers will differ). Where there is such variety in value, it is hard to pin a default on this alone unless all values take the LTV well below the covenant. Where re there is concern, we would work with the borrower to manage the risk. This maybe increasing the repayments to get the loan paid off sooner or to sell the property. Foreclosure is a messy business, and the fees can be high if it is hostile. It is far better to work with the borrower to get an outcome that suits all. Andrew
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bugs4me
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Post by bugs4me on May 27, 2014 10:31:36 GMT
What would be the correct approach to a general turn down in the economy, where all property values were being eroded so that the LTV's on loans etc were over 80% and heading for 100%; foreclosure on many? Unlike pikestaff says, we do put in place LTV convenants and this is standard practice (or should be) in SME lending. The covenant is not there to trip up the borrower but as a warning sign that the loan could be heading for difficulties. Whilst breach of covenant is an event of default, sometimes they can be difficult to enforce, especially around LTV. The reason for this, ask 3 Valuers to value a property and you will get 9 answers (open market, 90 marketing period and auction value and all 3 Valuers will differ). Where there is such variety in value, it is hard to pin a default on this alone unless all values take the LTV well below the covenant. Where re there is concern, we would work with the borrower to manage the risk. This maybe increasing the repayments to get the loan paid off sooner or to sell the property. Foreclosure is a messy business, and the fees can be high if it is hostile. It is far better to work with the borrower to get an outcome that suits all. Andrew Thanks for the clarification Andrew
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Post by Ton ⓉⓞⓃ on Jun 23, 2014 14:55:09 GMT
This Loan now has a new number. It was 50 now it's 103. Same peculiarity about what %age rate this loan is at as Anglesey, is it 1.5% or 1% Anyone from AC or chris give some guidance? |
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Post by davidricketts1 on Jun 23, 2014 16:36:38 GMT
Hi Ton ⓉⓞⓃ - as with the An****** loan, it should be accruing interest at 1.5%. We're checking that it's accruing at the correct rate - if not, then we'll undertake a manual recalculation to ensure lenders get the right amount of interest when repaid with their capital. Thanks, David |
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Post by Ton ⓉⓞⓃ on Oct 14, 2014 12:24:09 GMT
V.encouraging update.
Both properties seem to have offers that have been accepted with completion aimed at before month end. With sale values totalling 380k more than enough to pay Cap. and Int.
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Post by davidricketts1 on Nov 14, 2014 10:30:19 GMT
I've emailed out and put up on the website a further update on this loan this morning.
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Post by davidricketts1 on Nov 14, 2014 14:13:05 GMT
Cash in, partial capital repayment made update to be put on the website in the next 5 minutes or so.
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Post by mrclondon on Nov 14, 2014 17:18:12 GMT
But unfortunately in crediting the partial capital repayment, the accrued interest calculation has been badly mucked up - I've lost the accrued interest on parts sold since the default. chris - one for you ?
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unmadem
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Post by unmadem on Nov 14, 2014 17:35:43 GMT
But unfortunately in crediting the partial capital repayment, the accrued interest calculation has been badly mucked up - I've lost the accrued interest on parts sold since the default. chris - one for you ? Judging from the Q&A the problem is more widespread i.e. not just if you have sold parts. They seem hopeful overnight processing will resolve it.
The repayment brings holding below target set when new system launched. I may be paranoid but thought best to disable MILA on this loan immediately in case it starts buying.
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mikeb
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Post by mikeb on Nov 14, 2014 19:33:48 GMT
But unfortunately in crediting the partial capital repayment, the accrued interest calculation has been badly mucked up - I've lost the accrued interest on parts sold since the default. chris - one for you ? Again that sinking feeling of "for every silver lining of good news, there's a little dark cloud lurking". I swear the IT systems are out to get us.
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mikes1531
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Post by mikes1531 on Nov 15, 2014 2:44:02 GMT
But unfortunately in crediting the partial capital repayment, the accrued interest calculation has been badly mucked up - I've lost the accrued interest on parts sold since the default. chris - one for you ? Judging from the Q&A the problem is more widespread i.e. not just if you have sold parts. They seem hopeful overnight processing will resolve it.
I don't know exactly what overnight processing they were thinking would help, but I see that my accrued interest went up shortly after midnight by a pound or two. That's nowhere near enough to cover the interest that's accrued since the initial loan defaulted, so further updates are required. chris?
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star dust
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Post by star dust on Nov 15, 2014 7:18:17 GMT
Judging from the Q&A the problem is more widespread i.e. not just if you have sold parts. They seem hopeful overnight processing will resolve it.
I don't know exactly what overnight processing they were thinking would help, but I see that my accrued interest went up shortly after midnight by a pound or two. That's nowhere near enough to cover the interest that's accrued since the initial loan defaulted, so further updates are required. chris? W Well, at least you got something! I only had accrued interest, having sold my units a while back, yesterday the amount plummeted, but this morning the entire lot together with the loan listing have disappeared from my portfolio. I do hope AC will sort this on Monday.
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Post by batchoy on Nov 15, 2014 8:56:31 GMT
I don't know exactly what overnight processing they were thinking would help, but I see that my accrued interest went up shortly after midnight by a pound or two. That's nowhere near enough to cover the interest that's accrued since the initial loan defaulted, so further updates are required. chris? W Well, at least you got something! I only had accrued interest, having sold my units a while back, yesterday the amount plummeted, but this morning the entire lot together with the loan listing have disappeared from my portfolio. I do hope AC will sort this on Monday. Clearly the all new fascistic loan model and revised site is not all we were lead to believe it was. I don't know about solving it by Monday, it should never have happened in the first place. How can you trust a financial institution that cannot provide accurate figures for the products they supply, it is just one more nail in the coffin that moves me closer to a full withdrawal from AC, as it stands with all the issues and no new investments I am already on a phased withdrawal. I just strikes me that AC are busy rearranging the deckchairs on the Titanic, we are getting scatter gun fixes to the UI but the fundamentals such as statements and the never ending issues with accrued interest are being neglected.
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