sl75
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Post by sl75 on Nov 18, 2018 15:51:04 GMT
Was wondering why LY execute recoveries on some loans, like these loans, very swiftly, yet on other loans they refuse to take any tangible recovery action for years, probably never. These loans were quickly auctioned off, albeit at a significant capital loss, at least providing investors with some money back and a definite closure. The Castle was also a quick disposal, again at a significant capital loss, but there was closure. Why, then, are loans like Gloucester and exeter not auctioned? Why are they left to rot indefinitely and not giving investors closure. On the Lendy platform, we've not got closure on any loan where a loss has been suffered.
Closure would occur when the claims underway are either abandoned or successfully enforced.
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Post by charliebrown on Nov 18, 2018 17:43:30 GMT
Was wondering why LY execute recoveries on some loans, like these loans, very swiftly, yet on other loans they refuse to take any tangible recovery action for years, probably never. These loans were quickly auctioned off, albeit at a significant capital loss, at least providing investors with some money back and a definite closure. The Castle was also a quick disposal, again at a significant capital loss, but there was closure. Why, then, are loans like Gloucester and exeter not auctioned? Why are they left to rot indefinitely and not giving investors closure. On the Lendy platform, we've not got closure on any loan where a loss has been suffered.
Closure would occur when the claims underway are either abandoned or successfully enforced.
I’m not convinced “claims underway” will yield anything. Some of these claims have been going on longer than brexit. I will believe it when I see it. Furthermore, when offered a quick exit, even at a loss, most lenders vote “yes”. I don’t think anyone wants to endure years of waiting for money back. There’s assets LY could send to action but choose not to.
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sl75
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Post by sl75 on Nov 18, 2018 18:32:15 GMT
On the Lendy platform, we've not got closure on any loan where a loss has been suffered.
Closure would occur when the claims underway are either abandoned or successfully enforced.
I’m not convinced “claims underway” will yield anything. Some of these claims have been going on longer than brexit. I will believe it when I see it. Furthermore, when offered a quick exit, even at a loss, most lenders vote “yes”. I don’t think anyone wants to endure years of waiting for money back. There’s assets LY could send to action but choose not to. Whether or not they yield anything, going down a route which as you say takes "longer than brexit" is hardly a way to achieve closure - it gave some short-term cash and prevented further losses from the property itself, but still left very open ended how much of a recovery can or will eventually be made, and with very indefinite timescales for how loan any claims may take to reach some kind of resolution.
If some investors choose to believe that the "claims underway" are a waste of time and effort over money that has been definitively lost, that is up to them. Personally, I'm grateful that Lendy do not seem to give up as easily as certain investors would seem to prefer that they did.
I recognise that I'm often stuck in the same loans as others who are desperate to liquidate and acheive closure for a variety of reasons (not least any investors who have sadly passed away, and the executor wants to close all their accounts with a definitive final value), but if there were ever a clear choice between a bigger recovery or a quicker one, in my present circumstances I'd personally go for the bigger recovery.
Unfortunately few of the choices that are put to the vote are that clear-cut - if they were, the platform would undoubtedly not need to put it to the vote...
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Post by charliebrown on Nov 19, 2018 22:35:38 GMT
I’m not convinced “claims underway” will yield anything. Some of these claims have been going on longer than brexit. I will believe it when I see it. Furthermore, when offered a quick exit, even at a loss, most lenders vote “yes”. I don’t think anyone wants to endure years of waiting for money back. There’s assets LY could send to action but choose not to. Whether or not they yield anything, going down a route which as you say takes "longer than brexit" is hardly a way to achieve closure - it gave some short-term cash and prevented further losses from the property itself, but still left very open ended how much of a recovery can or will eventually be made, and with very indefinite timescales for how loan any claims may take to reach some kind of resolution.
If some investors choose to believe that the "claims underway" are a waste of time and effort over money that has been definitively lost, that is up to them. Personally, I'm grateful that Lendy do not seem to give up as easily as certain investors would seem to prefer that they did.
I recognise that I'm often stuck in the same loans as others who are desperate to liquidate and acheive closure for a variety of reasons (not least any investors who have sadly passed away, and the executor wants to close all their accounts with a definitive final value), but if there were ever a clear choice between a bigger recovery or a quicker one, in my present circumstances I'd personally go for the bigger recovery.
Unfortunately few of the choices that are put to the vote are that clear-cut - if they were, the platform would undoubtedly not need to put it to the vote... Once the asset is sold I don’t mind LY pursuing other claims to try to recover further funds. My point was I see sale of the asset as the end. If there were further recoveries later then that’s just a bonus.
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Post by brightspark on Nov 29, 2018 20:19:48 GMT
After the sale of the asset(s) should come a distribution of the proceeds. I am not expecting much but when is it going to be paid?
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adrianc
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Post by adrianc on Nov 30, 2018 7:54:23 GMT
After the sale of the asset(s) should come a distribution of the proceeds. I am not expecting much but when is it going to be paid? The auctions were 25/10. There's normally 28 days to complete after an auction. That takes us to 22/11 - a week yesterday.
So it should be imminent, but... Assuming the purchaser has actually completed on time. If not, then the 10% hammer-fall deposit would be forfeit. We'd still own the properties, but we'd have 10% to distribute. Woo.
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Post by brightspark on Nov 30, 2018 9:30:15 GMT
That is what I thought. So Lendy is just hanging on to the money for a bit longer. Does make you wonder.
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adrianc
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Post by adrianc on Nov 30, 2018 10:08:01 GMT
That is what I thought. So Lendy is just hanging on to the money for a bit longer. Does make you wonder. Give 'em a chance. It may only have arrived with the receiver/administrator last week.
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adrianc
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Post by adrianc on Dec 3, 2018 18:34:37 GMT
That is what I thought. So Lendy is just hanging on to the money for a bit longer. Does make you wonder. Give 'em a chance. It may only have arrived with the receiver/administrator last week. And right on cue, the updates say 179 will be distributed in a few days, while 177/178 have fallen through and are being re-auctioned... It ain't sold until the money's in the account.
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quidco
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Post by quidco on Dec 3, 2018 18:41:39 GMT
Give 'em a chance. It may only have arrived with the receiver/administrator last week. And right on cue, the updates say 179 will be distributed in a few days, while 177/178 have fallen through and are being re-auctioned... It ain't sold until the money's in the account. Valued at £1.5m sold for £.4m?
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adrianc
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Post by adrianc on Dec 3, 2018 19:07:54 GMT
And right on cue, the updates say 179 will be distributed in a few days... Valued at £1.5m sold for £.4m? Yep, that's the one... £1.05m loan, though.
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ric
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Post by ric on Dec 3, 2018 21:52:47 GMT
Give 'em a chance. It may only have arrived with the receiver/administrator last week. And right on cue, the updates say 179 will be distributed in a few days, while 177/178 have fallen through and are being re-auctioned... It ain't sold until the money's in the account. Are we going to get the 10% deposit? Is Lendy supposed to pay it out or can they keep for expenses?
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Post by Badly Drawn Stickman on Dec 3, 2018 22:37:52 GMT
And right on cue, the updates say 179 will be distributed in a few days, while 177/178 have fallen through and are being re-auctioned... It ain't sold until the money's in the account. Are we going to get the 10% deposit? Is Lendy supposed to pay it out or can they keep for expenses? That is a good point, I believe a 10% deposit is standard? Presumably there would be some legitimate costs from that, but if it exists arguably it should form part of the recovery. Maybe Lendy Support could comment?
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wuzimu
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Post by wuzimu on Dec 3, 2018 22:39:05 GMT
I suspect if Lendy had the slightest inclination of lenders getting a sniff of that deposit they would have trumpted the fact in the update.
I also suspect the deposit may not have even been forfeited by the buyer. There appears to be some issue with the Lowestoft security, if there was a misrep in the auction particulars all bets are off.
Its relisted with the next Allsops auction with the guide about 10% lower than last auction. Hmmmm
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adrianc
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Post by adrianc on Dec 3, 2018 22:47:26 GMT
Are we going to get the 10% deposit? Is Lendy supposed to pay it out or can they keep for expenses? That is a good point, I believe a 10% deposit is standard? Presumably there would be some legitimate costs from that, but if it exists arguably it should form part of the recovery. Maybe Lendy Support could comment? For residential property. I have no idea about commercial. And, yes, it'd go to the vendor - the administrators, to disburse as appropriate. Which means it would go to Lendy to distribute among the investors. 'course, we don't know what'll happen at the next auction...
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