moist
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Post by moist on Apr 5, 2017 11:41:40 GMT
How does anyone feel about 9 million of investors money being in defaulted loans? Easy to ignore now its on a different page........
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n
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Yet another Nick
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Post by n on Apr 5, 2017 11:45:47 GMT
I feel sad for them. Speaking for myself I am starting to get concerned by my own growing commitment. Now that there are 13 defaults I have £13 at high risk.
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elliotn
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Post by elliotn on Apr 5, 2017 11:51:21 GMT
Remember that is just according to Ly's industry busting -180D overdue (hey, that's their business model) although that is the maximum exposure to be offset by realisable security - shame the PF data has gone AWOL.
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r1200gs
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Post by r1200gs on Apr 5, 2017 11:58:07 GMT
I suppose the real figure wo worry about is what will be realised when the dust settles from those defaults? Will most of that 9 million be recovered eventually? I don't know.
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vmail
Open image in a new tab.
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Post by vmail on Apr 5, 2017 11:58:32 GMT
It was easy to ignore from October 2016
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Post by p2plender on Apr 5, 2017 12:01:01 GMT
SS representative is of course free to comment.
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mikeh
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Post by mikeh on Apr 5, 2017 12:04:45 GMT
SS representative is of course free to comment. ... and while he's at it re-brand himself.
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stevio
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Post by stevio on Apr 5, 2017 12:06:37 GMT
It represents 5% of the total loan book
You would need to compare this to a similarly mature platform
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elliotn
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Post by elliotn on Apr 5, 2017 12:13:57 GMT
AC do some very detailed examples. I believe they expect c6% of loans to default although they do have a different mix with sme and energy loans as well.
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Post by p2plender on Apr 5, 2017 12:15:51 GMT
Expecting it to get a lot worse. Of course there'll be lots of new loans with even the odd 12% thrown in. The defaulters can be swept away onto another page, they don't bring in the coffers. SS done fine up until now, but times are changing. Illiquid monster time.
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mason
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Post by mason on Apr 5, 2017 12:19:47 GMT
It's not the 5% of the loan book currently in default, but the 15% heading that way that I'm watching with interest.
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elliotn
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Post by elliotn on Apr 5, 2017 12:30:56 GMT
It's not the 5% of the loan book currently in default, but the 15% heading that way that I'm watching with interest. If now not receiving any 
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Apr 5, 2017 12:39:32 GMT
It's not the 5% of the loan book currently in default, but the 15% heading that way that I'm watching with interest. Or 'without interest' if you're in any of those loans
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sqh
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Before P2P, savers put a guinea in a piggy bank, now they smash the banks to become guinea pigs.
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Post by sqh on Apr 5, 2017 12:41:54 GMT
Paul64Ly could create a whole new SM for defaulted loanparts, by allowing them to be traded at discount. That would restore some confidence to lenders who hold loans to term and beyond. Currently, we are seeing loans with a positive "remaining term" becoming illiquid. If lenders had the assurance that they could sell a defaulted loan at a discount, we could get back to the good old days of famine, That's important, so Ly can keep growing fast. A discounted default SM (DSM) would be particularly useful for selling loans in an IFISA. Nobody should be holding loans in an IFISA if there is a chance of loss, because there is no tax to be written off against loan interest.
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Post by lendinglawyer on Apr 5, 2017 13:21:31 GMT
I feel sad for them. Speaking for myself I am starting to get concerned by my own growing commitment. Now that there are 13 defaults I have £13 at high risk. I have £12.99. I can't believe you've taken such a high risk... Being serious, maybe Lendy and their receivers will surprise me and work all of these loans out (or at least enough of them so that the PF doesn't get completely gutted covering capital losses), but I am foreseeing a capital loss for investors in the not too distant future (interest loss I think is taken as read). Some people will get spooked by that, but in this world of high risk high return P2P investing some losses are to be expected, and tolerated.
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