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Post by mike1963 on Apr 5, 2018 14:38:59 GMT
I know this is not going to be popular but isn't it about time Lendy investors realised that the PF is no longer able to protect them.
It was a great marketing tool and got many investors involved, including myself, but now it just can't work and should be abandoned.
With over £42 million, YES 42 MILLION!!!..in current Defaulted loans, plus numerous other shortfalls, the time has come for a dose of reality.
I propose that the fund is abandoned and any remaining balance is put in a "Warchest", to be topped up by Lendy, to finance Legal pursuit of the RICS valuers, who have been guilty of providing misleading valuations.
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ozboy
Member of DD Central
Mine's a Large One! (Snigger, snigger .......)
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Post by ozboy on Apr 5, 2018 14:49:02 GMT
"misleading" is an interesting choice of adjective, I am sure that others would suggest something far more accurate?  EDIT: Fully aware and appreciate that you were being "word cautious"!  |
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11025
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Post by 11025 on Apr 5, 2018 15:35:41 GMT
"misleading" is an interesting choice of adjective, I am sure that others would suggest something far more accurate? EDIT: Fully aware and appreciate that you were being "word cautious"! I asked the question regarding the provision fund usage in the middle of last week , eventually after a reminder yesterday I got a reply , so here it is from the horse's mouth:
Thank you for your email.
The Provision Fund does not guarantee loans or provide insurance against loss. In the event of a shortfall after selling the security property, a claim will be made against the Provision Fund on behalf of investors. The fund is held on a discretionary basis and Lendy cannot guarantee that any claim will be approved.
Lendy will not deem there to be any capital loss until all viable recovery strategies have been exhausted. Updates regarding the usage of the provision fund will be communicated in specific loan updates.
Kind regards,
The Lendy Team
Lendy
Maybe this should be put on their how it works faq pages to replace the spin
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sl75
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Post by sl75 on Apr 5, 2018 16:03:24 GMT
... In the event of a shortfall after selling the security property, a claim will be made against the Provision Fund on behalf of investors...
Maybe this should be put on their how it works faq pages to replace the spin
On multiple recent loans, we've had a shortfall after selling the security property, and no claim has been made. Looks like time for Lendy either to update their standard copy-paste answer for these kinds of queries to provide a better excuse of why the grossly under-funded provision fund is still not paying anything, or to put their hands in their pockets and divert some of the company profits into ensuring the PF becomes adequately funded so that the relevant claims can be made (a far more effective use of profits IMHO than sponsoring a sailing regatta).
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rocky1
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Post by rocky1 on Apr 5, 2018 16:39:11 GMT
liam and tim ask each other shall we use the PF in this instance as we have messed up big time again.what and lose our little interest earning sideline. we can stretch this out for another couple of years at least said tim. sounds good to me said liam. so liam and tim politely refuse liam and tim on this occasion. now thats out of the way tim how are we getting on with all our regatta plans for cowes week i could really do with the break said liam.
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Post by munchydave on Apr 5, 2018 17:04:50 GMT
I know this is not going to be popular but isn't it about time Lendy investors realised that the PF is no longer able to protect them. It was a great marketing tool and got many investors involved, including myself, but now it just can't work and should be abandoned. With over $42 million, YES 42 MILLION!!!..in current Defaulted loans, plus numerous other shortfalls, the time has come for a dose of reality. I propose that the fund is abandoned and any remaining balance is put in a "Warchest", to be topped up by Lendy, to finance Legal pursuit of the RICS valuers, who have been guilty of providing misleading valuations. Had the phone call from Lendy today but too busy to talk so got an email instead. Informed me of all the fantastic investment opportunities were coming up on the site. So far this year I will be lucky to see 75% of my investment capital returned and little or no interest. 12% returns? NO more like -25% In fact lendy YOU make my current bank account paying 0% look like a great deal, at least I still have as much in the account today as I did yesterday. I will pull everything I can out of Lendy as fast as I can and will never invest with them again.
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Liz
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Post by Liz on Apr 5, 2018 17:31:01 GMT
From the way in which the provision fund is/was advertised, I would have an expectation that it would pay out in the event that the disposal of an asset does not realise the full capital value of the loan - clearly indemnity claims would be made but these would then pay back into the provision fund. If the fund never pays out it doesn't fulfil it's stated purpose! I would expect that the PF be used for example for the shortfall on 155, but not for the majority of defaults where the security is still held It's April 1st everyday for you! You have been conned by the L marketing. We were told on this forum that the PF would pay our and L would too it up... never happped. Now they are saying they have "future contracted income", which is "pie in the sky"!!!! How can they reclaim £2.1m from valuers, when they have lost only £1.1m. And how much of the £1.1m will they actually recover? I guess, judging by past success, very little. The PF can't pay out because it is bankrupt and L might have to pay some of its profits into it and why would they do that? They can just pretend nobody has ever lost a penny, which is BS. It's all about the owners making as much money as possible and they suck the naive in by using the PF as a false sense of security. I even invested in loans I shouldn't have because they were PF "protected" Please L shut this PF and sell investments in their merit. Split the £2m cash amoungst all of the defaults. I would also be angry if the PF had paid out 100% in the past on a loan I don't hold, which has left less to be paid out on my loan that has a loss. The PF should never had paid out 100% on PBL20 et al. I have no doubt these guys will walk away 1 day, leaving lenders in the doo doo, Col did it, so why wouldn't L as soon as the milk dries up? If they are making £3.3m, they will stick around, that won't last when they can't fill loans and earn a fee. Why don't the platform owners come on here and answer hard questions, instead of paying marketing guys to do their dirty work, even then they only answer easy questions. The Trustpilot reviews really sums it up. If you are new to p2p(less than 2 years, I have 6 years experience), please read these reviews. More platforms will fail, I don't know which, but please research the platforms.
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Post by mike1963 on Apr 5, 2018 22:40:41 GMT
From the way in which the provision fund is/was advertised, I would have an expectation that it would pay out in the event that the disposal of an asset does not realise the full capital value of the loan - clearly indemnity claims would be made but these would then pay back into the provision fund. If the fund never pays out it doesn't fulfil it's stated purpose! I would expect that the PF be used for example for the shortfall on 155, but not for the majority of defaults where the security is still held It's April 1st everyday for you! You have been conned by the L marketing. We were told on this forum that the PF would pay our and L would too it up... never happped. Now they are saying they have "future contracted income", which is "pie in the sky"!!!! How can they reclaim £2.1m from valuers, when they have lost only £1.1m. And how much of the £1.1m will they actually recover? I guess, judging by past success, very little. The PF can't pay out because it is bankrupt and L might have to pay some of its profits into it and why would they do that? They can just pretend nobody has ever lost a penny, which is BS. It's all about the owners making as much money as possible and they suck the naive in by using the PF as a false sense of security. I even invested in loans I shouldn't have because they were PF "protected" Please L shut this PF and sell investments in their merit. Split the £2m cash amoungst all of the defaults. I would also be angry if the PF had paid out 100% in the past on a loan I don't hold, which has left less to be paid out on my loan that has a loss. The PF should never had paid out 100% on PBL20 et al. I have no doubt these guys will walk away 1 day, leaving lenders in the doo doo, Col did it, so why wouldn't L as soon as the milk dries up? If they are making £3.3m, they will stick around, that won't last when they can't fill loans and earn a fee. Why don't the platform owners come on here and answer hard questions, instead of paying marketing guys to do their dirty work, even then they only answer easy questions. The Trustpilot reviews really sums it up. If you are new to p2p(less than 2 years, I have 6 years experience), please read these reviews. More platforms will fail, I don't know which, but please research the platforms. I honestly believe Lendy has the potential to be a great platform. At the beginning, Lendy/Saving Stream offered a great rate 12% PA paid monthly but (IMHO) to meet investor demand, they let their Due Diligence standards drop. This lead to lower rates without a noticeable risk upgrade, poorer quality loans and DFLs that were too big for them to fill. This lead to a glut of over runs/defaults. For those stuck in defaulted loans, I feel your pain, but the PF is not going to help. Lendy cannot know how the losses will fall when so many loans are in default. Lendy MUST clear the default backlog and this will inevitably lead to a great number of losses. Until the Platform managers and its Investors get a grip on reality, I fear the downward spiral. THE MODEL HAS TO CHANGE. Going forward, (again IMHO).. Lendy has an obligation to provide an honest valuation. This should not be a lottery! If a faulty valuation is provided, the valuer is made liable...and they should know this! All loans are not equally risky... a flat rate is easy to manage but let investors decide through an auction, based on good information, what rate is appropriate. if this doesn’t work for the borrower, so be it. This could be higher or lower than 12%. Defaults are out of control. So, no over runs in future...Either default and quick sale of the asset, or a re-list at a new (probably higher) lender auction rate...and the borrower should know this! it needs a better secondary market, with flexible premiums/discounts to allow for risk and demand. The PF is a fiction and should be removed, else we are all kidding ourselves. The platform has over extended and need to find a new path. If this means halving in size, that is what it has to do. As things stand, The only things that set it apart are the terrible reviews it gets on TrustPilot. Lendy has to find a new way and faith could be restored in the longer term. I want Lendy to survive. I want everyone to get their money back. But, neither is possible as things stand.
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Post by justplayin on Apr 7, 2018 9:18:33 GMT
I know this is not going to be popular but isn't it about time Lendy investors realised that the PF is no longer able to protect them. It was a great marketing tool and got many investors involved, including myself, but now it just can't work and should be abandoned. With over $42 million, YES 42 MILLION!!!..in current Defaulted loans, plus numerous other shortfalls, the time has come for a dose of reality. I propose that the fund is abandoned and any remaining balance is put in a "Warchest", to be topped up by Lendy, to finance Legal pursuit of the RICS valuers, who have been guilty of providing misleading valuations. Had the phone call from Lendy today but too busy to talk so got an email instead. Informed me of all the fantastic investment opportunities were coming up on the site. So far this year I will be lucky to see 75% of my investment capital returned and little or no interest. 12% returns? NO more like -25% In fact lendy YOU make my current bank account paying 0% look like a great deal, at least I still have as much in the account today as I did yesterday. I will pull everything I can out of Lendy as fast as I can and will never invest with them again. I've lurked over the past year on here and only recently actually registered and have been playing with Lendy for around 24mths, caught a bit of a cold when the whole Default tab turned up which did instantly create a seondary market slow down, I remember the days where I'd buy just about anything that popped up keep it for a month and then sell, it use to sell in seconds, however did Lendy hold a gun to my head and demand I put my money with them, I think not, do they say your capital is at risk yes. Lendy is NOT a bank account, any P2P is high risk gambling at the end of the day, only ever invest what you can afford to lose out right, if you think its anything else then it might be wise to stick with your regular protected bank account. I'm like many dissappointed with some of the valuations when something seems to be valued at £xxx but then when it goes west only £xx is recovered, however it was MY choice to invest, I was the one that clicked buy, no one else.
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Godanubis
Member of DD Central
Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Apr 7, 2018 10:05:52 GMT
Had the phone call from Lendy today but too busy to talk so got an email instead. Informed me of all the fantastic investment opportunities were coming up on the site. So far this year I will be lucky to see 75% of my investment capital returned and little or no interest. 12% returns? NO more like -25% In fact lendy YOU make my current bank account paying 0% look like a great deal, at least I still have as much in the account today as I did yesterday. I will pull everything I can out of Lendy as fast as I can and will never invest with them again. I've lurked over the past year on here and only recently actually registered and have been playing with Lendy for around 24mths, caught a bit of a cold when the whole Default tab turned up which did instantly create a seondary market slow down, I remember the days where I'd buy just about anything that popped up keep it for a month and then sell, it use to sell in seconds, however did Lendy hold a gun to my head and demand I put my money with them, I think not, do they say your capital is at risk yes. Lendy is NOT a bank account, any P2P is high risk gambling at the end of the day, only ever invest what you can afford to lose out right, if you think its anything else then it might be wise to stick with your regular protected bank account. I'm like many dissappointed with some of the valuations when something seems to be valued at £xxx but then when it goes west only £xx is recovered, however it was MY choice to invest, I was the one that clicked buy, no one else. Yes we all chose to buy what we thought was okbut we did not choose to have our money locked up for years all we ask is that Lendy like most of the other peer to peer say after a reasonable period of time default the Loans take over the assets sell them and let us move on . I have over £200,000 on which I got £500 interest this month the rest accruing. If Lendy gave us ability to sell for a discount then they would be a much more attractive platform . As things stand as my money becomes available I am removing it from Lendy And moving it to platforms that default loans in a timely manner the inflexibility and insistence on not defaulting loans is beginning to cause a problem for a lot of people just stick to your original bargain when a loan doesn’t pay default it sell the asset and then pursued for the balance
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Liz
Member of DD Central
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Post by Liz on Apr 7, 2018 11:44:29 GMT
I've lurked over the past year on here and only recently actually registered and have been playing with Lendy for around 24mths, caught a bit of a cold when the whole Default tab turned up which did instantly create a seondary market slow down, I remember the days where I'd buy just about anything that popped up keep it for a month and then sell, it use to sell in seconds, however did Lendy hold a gun to my head and demand I put my money with them, I think not, do they say your capital is at risk yes. Lendy is NOT a bank account, any P2P is high risk gambling at the end of the day, only ever invest what you can afford to lose out right, if you think its anything else then it might be wise to stick with your regular protected bank account. I'm like many dissappointed with some of the valuations when something seems to be valued at £xxx but then when it goes west only £xx is recovered, however it was MY choice to invest, I was the one that clicked buy, no one else. Yes we all chose to buy what we thought was okbut we did not choose to have our money locked up for years all we ask is that Lendy like most of the other peer to peer say after a reasonable period of time default the Loans take over the assets sell them and let us move on . I have over £200,000 on which I got £500 interest this month the rest accruing. If Lendy gave us ability to sell for a discount then they would be a much more attractive platform . As things stand as my money becomes available I am removing it from Lendy And moving it to platforms that default loans in a timely manner the inflexibility and insistence on not defaulting loans is beginning to cause a problem for a lot of people just stick to your original bargain when a loan doesn’t pay default it sell the asset and then pursued for the balance Wow, you should be earning £2000pm, so you have 75% late or in default or £150k. Surely you want out with those figures.
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Post by justplayin on Apr 7, 2018 12:12:18 GMT
I've lurked over the past year on here and only recently actually registered and have been playing with Lendy for around 24mths, caught a bit of a cold when the whole Default tab turned up which did instantly create a seondary market slow down, I remember the days where I'd buy just about anything that popped up keep it for a month and then sell, it use to sell in seconds, however did Lendy hold a gun to my head and demand I put my money with them, I think not, do they say your capital is at risk yes. Lendy is NOT a bank account, any P2P is high risk gambling at the end of the day, only ever invest what you can afford to lose out right, if you think its anything else then it might be wise to stick with your regular protected bank account. I'm like many dissappointed with some of the valuations when something seems to be valued at £xxx but then when it goes west only £xx is recovered, however it was MY choice to invest, I was the one that clicked buy, no one else. Yes we all chose to buy what we thought was okbut we did not choose to have our money locked up for years all we ask is that Lendy like most of the other peer to peer say after a reasonable period of time default the Loans take over the assets sell them and let us move on . I have over £200,000 on which I got £500 interest this month the rest accruing. If Lendy gave us ability to sell for a discount then they would be a much more attractive platform . As things stand as my money becomes available I am removing it from Lendy And moving it to platforms that default loans in a timely manner the inflexibility and insistence on not defaulting loans is beginning to cause a problem for a lot of people just stick to your original bargain when a loan doesn’t pay default it sell the asset and then pursued for the balance I hear what you are saying but surely thats cake and eat it senario ? who are you planning to sell a default loan too, even at a discount, I suppose there might be someone who'd be interested ? but like I say its a gamble I can only assume you are happy to lose your whole 200k. The problem as I see it are people with little experience in investing (I'm not necessarily including yourself in this) putting their worldly goods in to P2P platforms and expecting everything to be fine and dandy, then when it starts to go a bit peer shaped (see what I did there  ) scream and shot like its someone elses fault ? The chances of something going astray with a P2P loan is far higher than with a regular loan through the banks, why do you think borrowers are here, they are too higher risk for a normal loan company to deal with. Even with some of the valuations which appear to end up being somewhat short of the mark when it comes to sell this also happens outside P2P, prices rise and fall just like shares and given the whole brexit debarcle its really not helped prices anywhere so its not surprised we are seeing some values being a bit short of the mark. Whos to say that in 24mths time if a default loan is sold you'll get everything back plus accrual plus bonus and a decent profit for Lendy to boot. Once in default its not a case that Lendy can send round the "Heavies" as much as I'm sure you and I would like them too, we have to wait for the recovery process to take place, downside is this IS a long slow process and in the main the only people that make money are the lawyers. My only gripe with Lendy is they appear to give the borrow or have been, a bit too much rope, too often we see in the updates that they have engaged the recovery process, a couple of months go by and suddenly the borrower comes up with some magic plan of refinance, this then goes through another couple of months of "investigation" or the likes only for the borrower to vanish again, back to the recovery process but by now we are at least another 6mths or more down the line. I'd like to see a better "you are in default" its ours now bye bye Mr Borrower you aint coming back again and less faffage. This "might" speed up the recovery process. The worry is many people with large amounts of cash and little experience get the wobbles and run away shouting how hard done by they have been by Lendy, which isnt really the case. Just my view.
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Godanubis
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Anubis is known as the god of death and is the oldest and most popular of ancient Egyptian deities.
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Post by Godanubis on Apr 7, 2018 21:46:12 GMT
Yes we all chose to buy what we thought was okbut we did not choose to have our money locked up for years all we ask is that Lendy like most of the other peer to peer say after a reasonable period of time default the Loans take over the assets sell them and let us move on . I have over £200,000 on which I got £500 interest this month the rest accruing. If Lendy gave us ability to sell for a discount then they would be a much more attractive platform . As things stand as my money becomes available I am removing it from Lendy And moving it to platforms that default loans in a timely manner the inflexibility and insistence on not defaulting loans is beginning to cause a problem for a lot of people just stick to your original bargain when a loan doesn’t pay default it sell the asset and then pursued for the balance I hear what you are saying but surely thats cake and eat it senario ? who are you planning to sell a default loan too, even at a discount, I suppose there might be someone who'd be interested ? but like I say its a gamble I can only assume you are happy to lose your whole 200k. The problem as I see it are people with little experience in investing (I'm not necessarily including yourself in this) putting their worldly goods in to P2P platforms and expecting everything to be fine and dandy, then when it starts to go a bit peer shaped (see what I did there ) scream and shot like its someone elses fault ? The chances of something going astray with a P2P loan is far higher than with a regular loan through the banks, why do you think borrowers are here, they are too higher risk for a normal loan company to deal with. Even with some of the valuations which appear to end up being somewhat short of the mark when it comes to sell this also happens outside P2P, prices rise and fall just like shares and given the whole brexit debarcle its really not helped prices anywhere so its not surprised we are seeing some values being a bit short of the mark. Whos to say that in 24mths time if a default loan is sold you'll get everything back plus accrual plus bonus and a decent profit for Lendy to boot. Once in default its not a case that Lendy can send round the "Heavies" as much as I'm sure you and I would like them too, we have to wait for the recovery process to take place, downside is this IS a long slow process and in the main the only people that make money are the lawyers. My only gripe with Lendy is they appear to give the borrow or have been, a bit too much rope, too often we see in the updates that they have engaged the recovery process, a couple of months go by and suddenly the borrower comes up with some magic plan of refinance, this then goes through another couple of months of "investigation" or the likes only for the borrower to vanish again, back to the recovery process but by now we are at least another 6mths or more down the line. I'd like to see a better "you are in default" its ours now bye bye Mr Borrower you aint coming back again and less faffage. This "might" speed up the recovery process. The worry is many people with large amounts of cash and little experience get the wobbles and run away shouting how hard done by they have been by Lendy, which isnt really the case. Just my view. Hi thanks for your considered post. My main point is that by letting loans go on the the chance of default is greater as interest is
due and borrower can make 30% by defaulting. As to 2% discount for selling parts, this could apply to loans before the are due to mature and allow you to get out before any risk of default and free up the stagnant SM. A few of us have over £1000000 in each p2p and S&S . Shares down 5-10% in the last month. P2P no overall losses in 3 years (just lower returns). Chances of total loss of the £40 million plus in late loans are a likely as finding MH37O.
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Post by p2plender on Apr 8, 2018 6:27:51 GMT
"The worry is many people with large amounts of cash and little experience get the wobbles and run away shouting how hard done by they have been by Lendy, which isnt really the case.
Just my view."
ehhhm Think that's already happened....
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Post by GSV3MIaC on Apr 8, 2018 8:24:59 GMT
Chances of total loss of the £40 million plus in late loans are a likely as finding MH37O. I am confident MH370 will be found, just not probably in my lifetime .. so I think 'total' loss on the £40m is less likely .. however a 30% or more capital loss (and kiss goodbye to 'bonus interest', or indeed 'any interest') is not unlikely. Of course crystallising it might take nearly as long as finding the plane ..
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) scream and shot like its someone elses fault ? 
