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Post by charliebrown on Nov 9, 2017 10:52:06 GMT
These two loans have just been suspended due to interim charging orders being served on the borrower.......if it looks like a dog, barks like a dog, then its a dog! Another one bites the dust Another one bites the dust And another one gone, and another one gone Another one bites the dust...
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Post by charliebrown on Nov 1, 2017 12:46:34 GMT
As far as I know these are the loans that are hiding in the Live Loans tab, but are "Suspended" and not tradable on the SM and all have an LPA receiver appointed... DFL01 - £6m DFL02 - £3m DFL17 - £7.5m PLB84 - £5m PBL103 - £2m PBL155 - £3.4m PBL167 - £2.6m PLB166 - £0.9m Over £30m "suspended", in addition to the official defaults of £23m. So, £53m of £180m is really in default. Not good! Please add any I missed. Thanks for compiling that list. It’s useful to see this in one place. Lendy, please urgently give us a “suspended” tab. Almost 30% defaults. If you add in the loans that have exceeded their due date, negative day loans, the reading is even worse. I feel the brown stuff is really about to hit the fan. The fact that defaults drag on for months or years delays the inevitable capital losses that will need to be dished out. Why are other platforms advertising 2% default rates, even on unsecured loans, yet Lendy, depending on how you measure it, is at 30%++. As time passes and more dodgy loans come to repayment time the 30% figure is just increasing and increasing. As much as I wish Lendy and all investors success i’m too scared to keep investing. It’s fraught with dangers beyond my desire for a possible 12% return. I can get 6% at RateSetter for a low risk hands-off platform.
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Post by charliebrown on Oct 29, 2017 2:57:57 GMT
They need another tab for "suspended" - otherwise you need to search under live. Then you need to check each loan separately as there is no obvious "suspended" tab. Anyone would think they are trying to hide these loans....... LY wouldn’t do that, they pride themselves on transparency.
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Post by charliebrown on Oct 28, 2017 2:08:33 GMT
I can only imagine what an average day at LY looks like. However, I imagine with all the loans that have fallen into the abyss, niggles with their website is the least of their worries.
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Post by charliebrown on Oct 28, 2017 1:46:14 GMT
Suspended! This did not appear in my Update list, only discovered by checking manually each of my loans, very inefficient (or well hidden?)! This was listed as “with planning”. How can they list it as “with planning” when it doesn’t have planning. Someone else had posted recently that dealing with LY is like dealing with gangsters, I can see why that comment was made. in addition, we urgently need a “suspended” tab. Suspended is the new default. We can’t easily see which loans have been suspended. I think we also need to quickly calculate the IA, non-performing, suspended and defaulted loans against the loan book, or whatever terms LY uses to try to obfuscate the fact the loan is heading into a black hole. At this point I feel really uneasy about the future of LY. There’s been almost no good news in months, the pipeline is dry apart from more tranches of existing loans and loans are continuing to go bad on a very regular basis. Anyone else got an Armageddon feeling? I don’t see any positives here.
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Post by charliebrown on Oct 27, 2017 15:45:06 GMT
I take the position that FS loans that outrank other FS loans on the same property ought to be among the safest on the platform because if it was necessary to 'recover' the loan FS have a huge incentive to make sure the recovery is successful. If the investors in the higher-ranking loan(s) don't receive their capital back and every bit of their accrued interest then the investors in the lower-ranking loan(s) would lose every penny they've invested. A 100% loss on a platform that deals in secured loans would be a horrible PR disaster for FS, so I'd expect them to try to avoid that at all costs, even if they have to dig into their own pocket to do so. But perhaps I'm just deluding myself. You sound deluded! Especially the bit about them dipping into their pocket Edit: Also, platform failure, 2nd charge holders will get burnt. The run-off company will want to wrap everything up as quick as possible. I’m not sure any of these p2p platforms have any PR left. Anyone who is investing on “trust” should think twice.
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Post by charliebrown on Oct 26, 2017 12:25:06 GMT
Wouldn’t it be more prudent to only lend up to 70% of the 90 day valuation? And also to get 3 different 90 day valuations and take the lowest of the 3. Valuations, or lack of accurate valuations, is the biggest p2p risk factor.
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Post by charliebrown on Oct 25, 2017 14:33:27 GMT
Anyone shed any further light on this one re: Update 29/09/2017 ' As part of the LPA receiver’s initial due diligence following its appointment on this loan, it has taken advice from various third parties in connection with the property’s value. Unfortunately, this advice has returned giving an adverse opinion as to the property value.' Mrs44 and her brother are both in this and wondering what may be going on. A skeleton may have been found in a closet. (Do haunted castles sell at premium or discounted prices? ) Or it simply may be that the receivers asked for a valuation and it came in lower than expected. Unfortunately, large unique properties can't be valued easily because of the lack of comparables. Getting a good price depends on the right buyer being in the market at the right time -- or perhaps even needing two of those to bid against each other. Without that, a forced sale is likely to require a big discount on the 'value' in order to encourage someone who really doesn't want the property to take it off your hands. Because of the thinness of the market for this type of property, ISTM that if you ask five valuers for a VR you'll get at least five, very different, answers. However, is it more than a coincidence that a valuation for the purposes of lending would be significantly higher than a valuation for the purposes of sale/ recovery? It seems to be the same old story with all the loans that have gone bad.
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Post by charliebrown on Oct 24, 2017 12:49:08 GMT
We need an honest update from FS, like so ... “We’ve stuffed this up. We didn’t monitor this at all. It turns out the borrower has told us a few porky pies and has run away with all your money. We of course lose nothing in these situations, so don’t worry about platform failure. We’ve appointed receivers, who will now attempt to sell the security at a fraction of what the VR said it was worth and at an even smaller fraction of the amount of your money that we’ve lent. We would have told you this sooner, but we had our heads buried in the sand”.
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Post by charliebrown on Oct 22, 2017 1:23:01 GMT
The answer to this is actually very simple. LY should have a checkbox “do you want to receive bi-weekly updates email”, “yes/ no”. Then those who have allegedly inundated LY can go to their preferences settings and select “no”.
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Post by charliebrown on Oct 17, 2017 13:28:48 GMT
The way this loan has played out it looks like an intentional fraud. The borrower didn’t even start the development, just pocketed the money and disappeared into the sunset. The amount borrowed looks like significantly more than the security is worth so further suspicion of fraud and/ or gaming an incredibly weak system. For those with intent this stuff is like taking candy off a baby. Could that be why it’s been suspended? Suspected fraud?
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Post by charliebrown on Oct 15, 2017 2:42:38 GMT
If you think the Gloucestershire loans look bad wait for I*** of W**** where there is an alleged 75% fall in value and no explanation from Lendy yet forthcoming. That was a loan for £3.25 million. Once costs and fees have been deducted from any recovery the Gloucestershire loans (however they turn out) might look rosy in comparison. There seems little doubt the PF will soon become exhausted and may well cease to exist. The only question is which loans (and which lucky investors) will be in line to benefit. Please form an orderly queue. The list goes on, Exeter, Marylebone, to name 2 more. Investors caught up in these loans seem to be faced with months or years of wrangling and an ultimate heavy % loss of capital. That’s why I asked is LY able to keep the confidence of investors with these multiple and major failings.
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Post by charliebrown on Oct 11, 2017 12:05:37 GMT
What grabbed my attention was the repeated use of the word 'savings'. eg: I thought the FCA were against the promoting of P2P as a 'savings' vehicle, and given it might be argued that MoneyFacts are making a comparison / recommendation (via the bit I've underlined) I'm surprised this made it out the door. You'll also note when making withdrawals, something I'm highly skilled in these days, that it still states "thank you for SAVING with..... Why does everyone seem to hate on FundingSecure? Is it all down to the Whitehaven fiasco? Or are there more horror stories? I have a love/ hate relationship with Lendy. It seems every screw up they make is worse than the last screw up. They’ve given me plenty of headaches and plenty of things to complain about. Their customer service and their empathy towards investors is poor, and this is in an era where even my bank has improved their customer service. Look at other digital businesses like Amazon and Uber, they have world-class customer service. Having said all that I’m still here and I’m still heavily invested. Up to this point my returns look good, but I’m stuck in quite a few disastrous loans which if I have to take a capital loss on will have made the entire last 18 months of Lendy investment a waste of time. For now I’m sat on a lot of bad loans I wouldn’t be able to sell so i’ve decided to keep my money in the good loans to try to prop up the bad loans. I withdrew my interest last month rather than reinvest it but so far that my only withdrawal.
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Post by charliebrown on Oct 9, 2017 13:39:36 GMT
I think it won't only be large investors taking action. For the smaller ones it would take just one person with sufficient time, organisation and will to set up some kind of group legal action. That person isn't me, but I think it very likely one would step forward and if they did I would definitely support and do what I had to do to play my part. If there was a way to hold people/ entities to account I would certainly like to do that, whether it meant getting my money back or not. My point was I’d like to see an end to this. After the pantomime I’ve witnessed thus far I’d be prepared to write off my investment and focus my energy on something else. I am perhaps ill informed but I had thought the likes of bankruptcy proceedings or proceedings to have the borrower struck off as a Directir were no more than an annoyance for a fraudster. An expected and accepted inconvenience but not a punishment and nothing that can’t be worked around. FundingSecure might be held accountable. However, I don’t really know how we’d go about it? If you read my posts over at Lendy forum, I’m tied up in bad loans for over 15k. I’ve voiced my opinion about bad platform management a susceptibility to fraud (a soft touch) and whilst some agree with me there are others that say things like “expect loses” and “you know the risks” and “caveat emptor” and “do more due diligence”. I am personally on the side of justice and where there’s something we can do that would make a difference I’d certainly be up for supporting it. However, without sounding too philosophical that’s usually not how the world works.
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Post by charliebrown on Oct 8, 2017 2:56:36 GMT
PG is generally worthless, that’s why a PG is always said to be “not worth the paper it’s written on”.
Bring a fraud case against the borrower? It’s possible, I guess. But wouldn’t this just be a moral victory? I doubt that any “punishment” would be severe and wouldn’t include us getting any of our money back.
Bring a negligence case against FS? Not sure about this. What would this achieve? Perhaps this one could see people get some money back.
Looking at the investment tab most people have invested 500 pounds or less in this, so I don’t think any single investor is going to lose their shirt.
I’d like to see the loan defaulted, the land sold to the highest bidder and the shortfall written off. Let’s all move on. Hopefully FS can learn a lesson and hopefully the borrower carries a conciounce that this scam has cost ordinary folks some of their savings.
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