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Post by goldservice on Jun 20, 2014 17:14:17 GMT
I bid £500 on lots of loans and I bid (wish I had a bot) in chunks of £20 and £40, never more. On the secondary market, I hesitate before buying any part over £40, even if the buyer rate is tempting. In both cases, I tell myself that if I ever want to sell, it will be easier to do so if the parts are small. What do others do?
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oldgrumpy
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Post by oldgrumpy on Jun 20, 2014 17:20:15 GMT
Never more than £40 chunks, but no new money is going in now. Too time consuming checking up on FC's errors and weeding out companies with appalling credit figures - which FC obviously consider of little importance despite "all companies have a healthy credit score" ..... some of them just blatantly DON'T, yet FC knows best and adamantly refuses to change their website wording.
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ton27
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Post by ton27 on Jun 20, 2014 19:14:33 GMT
Apart from the very short term "secured" Property Loans I only ever bid in £20 chunks and rarely more than £40 or £60 in total. Having been "burnt" by initially using the FC grading system I now review the financials and other info. on each bid and end up rejecting about 45%. Time will tell whether or not my new strategy works. The returns can look tempting if one can avoid the bad debts. I do not try "flipping".
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Post by GSV3MIaC on Jun 20, 2014 20:33:30 GMT
I'm testing at the moment, but unscientific estimate is the £40 parts sell at similar speed to £20 parts. Not tried asnyrthing bigger, but at least one big flipper believes in £100s .. Oh, and then there's Tall......
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Post by goldservice on Jun 21, 2014 7:03:27 GMT
Apart from the very short term "secured" Property Loans I only ever bid in £20 chunks and rarely more than £40 or £60 in total. Having been "burnt" by initially using the FC grading system I now review the financials and other info. on each bid and end up rejecting about 45%. Time will tell whether or not my new strategy works. The returns can look tempting if one can avoid the bad debts. I do not try "flipping". I have found that when an attractive part comes up for sale, there is no time to review the info - the part is snapped up within seconds. So does this mean that you don't use the secondary market? Does the speed with which attractive parts are bought mean that buy-bots are out there? I assume that a buy-bot would buy without looking at the info (tho' would use a blacklist) and then the trader would dump at leisure.
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Post by GSV3MIaC on Jun 21, 2014 8:15:31 GMT
Yes, there are buy-bots, mostly with rather limited intelligence (but excellent reflexes).
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is
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Post by is on Jun 22, 2014 17:51:24 GMT
Depends on total amount you have invested. I prefer £100s and there is enough people out there that are happy to buy that. I have to say I sometimes dont buy the attractive £20 lots in secondary market as it would take too long given the awful site (you can click many of them at a time to buy, but only one part will be bought - the rest are incorrectly claimed as already sold (but if you click only one part, it will be bought OK)
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is
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Post by is on Jun 23, 2014 13:36:41 GMT
My 100s of 6483 are going faster than 20s even though they are placed for sale later at same rate - some confirmation of the theory!
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blender
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Post by blender on Jun 23, 2014 16:39:29 GMT
I used to buy £100 parts, not really for flipping but for liquidity - not wishing to hold to term. They always sold fine through most of 2013 and I moved to a plan of buying C- loans at 11.5% in £100 parts and selling before the fourth payment. This got sticky in late 2013 and I moved to £40 parts which do sell a bit easier. I now buy £40 parts but rarely touch C-. Except for the property loans Where I buy in £100 parts and do not mind if I hold for the full 12-15 months. But £100 parts in 6313 have been selling well.
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maxmarengo
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Post by maxmarengo on Jun 24, 2014 11:07:23 GMT
I am a £40 man - fits well with my (smallish) portfolio. One thing to consider is that if you are selling at 0 premium, bigger parts will only get picked up by people who have a large cash balance, whereas the smaller parts are open to all.
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blender
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Post by blender on Jun 24, 2014 12:43:08 GMT
... One thing to consider is that if you are selling at 0 premium, bigger parts will only get picked up by people who have a large cash balance, whereas the smaller parts are open to all. That is not quite right IIRC. Autobid always buys the largest part it can subject to the percentage of total funds set. Assuming that it is set to 1%, if the FC total is under £4000 then Autobid will only buy £20 loan parts. If the FC total is £4000 or over than Autobid will first look for a £40 loan part. This is because Autobid will buy only one part from each loan and the higher value parts lend out the money more quickly. (My example is approximate of course because £20 can cost more than £20 with interest and £40 loan parts can cost less after repayments). Of course £100 loan parts will only be bought by Autobidders with an FC total of £10,000 or more - which does limit the scope. I do wonder what happens if you use Autobid with £1000 in a new account - presumably it will buy £20 loan parts at auction even though they are 2% of total funds.
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markr
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Post by markr on Jun 24, 2014 13:03:45 GMT
I do wonder what happens if you use Autobid with £1000 in a new account - presumably it will buy £20 loan parts at auction even though they are 2% of total funds. When I first toe-dipped with, I think, £500, it did indeed bid £20 in auctions.
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Post by GSV3MIaC on Jun 24, 2014 16:12:05 GMT
Depends on how long ago that was - autobid used to have a much higher default percentage IIRC .. 2%, or maybe even 5%? However I am sure it's smart enough to know £20 is the minimum, so it'll have to bid that even if there is only £20 in the account, instantly making you a diversity criminal.
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maxmarengo
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Post by maxmarengo on Jun 26, 2014 9:56:59 GMT
... One thing to consider is that if you are selling at 0 premium, bigger parts will only get picked up by people who have a large cash balance, whereas the smaller parts are open to all. That is not quite right IIRC. Autobid always buys the largest part it can subject to the percentage of total funds set. ...... I believe you are right Blender based on my experience (and I now know what IIRC means). Where the smaller loan parts help is in catching the people who are new or building their portfolio in drips using Autobid. I guess for that £20 are best, but I still sell a small quantity of £40 parts below MBR.
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Post by jackpease on Jun 26, 2014 10:22:58 GMT
>>>Yes, there are buy-bots
Seriously??? I'm very poor at spotting jokes but if you genuinely mean that there are routines that automate buying of 'bargain's' with more intelligence that autobid (not hard) then what are they? There are quite sophisticated snipers for ebay thanks Jack P
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