Peer-to-peer lending sites: MSE guide discussion

TheShape

I sold out a number of loan parts on MT and Abl this morning. Not a full blown selling-up/out but reducing loans that I thought I was a little over invested in and also bringing down the platform totals a bit. I've possibly sold out of some good loans that may perform well but I thought it prudent.

takesyourchances

TheShape wrote: »

I sold out a number of loan parts on MT and Abl this morning. Not a full blown selling-up/out but reducing loans that I thought I was a little over invested in and also bringing down the platform totals a bit. I've possibly sold out of some good loans that may perform well but I thought it prudent.

I sold some on MT last night, have put my property developements up for sale on it, but there is a lot queued up. Ablrate I am not going into this new loan, I will see what I feel I want to do going forward as I have liked this platform, but this has opened up the risks big time and I feel I would rather ride the stock market out.

I think being prudent is not a bad thing and you need to do what your comfortable with and be open to change how you invest. I will look to trim down and think things out with all of this.

takesyourchances

We would all love to get to the bottom of this as we have been kept in the dark so far of the truth.

There is much more experienced and knowledgeable investors than myself and a lot of indepth discussion going on here.

http://www.p2pindependentforum.com/board/93/collateral

The investors need answers and it is very good this has come to your attention.

keyboardworrier

I wasn't too worried until today, when the promised update didn't arrive. I do think something drastic has gone wrong now. Thankfully the vast majority of my money was in loans already drawn down and I should probably be OK, others may get hurt quite badly.

takesyourchances

keyboardworrier wrote: »

I wasn't too worried until today, when the promised update didn't arrive. I do think something drastic has gone wrong now. Thankfully the vast majority of my money was in loans already drawn down and I should probably be OK, others may get hurt quite badly.

Yes their morning update was useless, looks so far like used to buy more time delaying us all. It should of been sent within business hours today. I do think there is a major problem, if it was purely servers they would of said that this morning. It's delaying tactics as far as I am concerned at the moment.

I had not invested in any new loans in a while, so the vast majority of my money should be in loans too drawn down. Worse case, hopefully they are undertaken by another company to manage the loan book. At the moment we cannot even view our balance and left in the dark. It is despicable behaviour for any business with their clients.

takesyourchances

http://www.p2pfinancenews.co.uk/2018/02/28/collateral-investors-limbo-shuts-down-site/

Saw on P2P forum

keyboardworrier

takesyourchances wrote: »

Yes their morning update was useless, looks so far like used to buy more time delaying us all. It should of been sent within business hours today. I do think there is a major problem, if it was purely servers they would of said that this morning. It's delaying tactics as far as I am concerned at the moment.

I had not invested in any new loans in a while, so the vast majority of my money should be in loans too drawn down. Worse case, hopefully they are undertaken by another company to manage the loan book. At the moment we cannot even view our balance and left in the dark. It is despicable behaviour for any business with their clients.

I agree, this is terrible behaviour from a platform which I trusted quite a lot.

I recall reading on the P2P forum some time ago that people would deliberately put a lot of money into large loans they knew would not be filled, so when Collateral cancelled the loan they would have earned a week or so of interest at 12% 'risk free'. Thankfully I steered well clear of playing that game!

My concern now is loans that are repaying and interest, the money will surely go to the Collateral client account which could lead to us being hurt that way. Hopefully the FCA will have thought about that eventuality.

ETA: It was my main concern until I read the news report above.

thenewcomer

same here with offloading my p2p holding. i put up 90% of my holding on MT's SM yesterday.
I am not investing any new money in p2p until this is sorted out.

i have not invested in any loans on collateral since november last year. the platform loans were so illiquid.

takesyourchances

keyboardworrier wrote: »

I agree, this is terrible behaviour from a platform which I trusted quite a lot.

I recall reading on the P2P forum some time ago that people would deliberately put a lot of money into large loans they knew would not be filled, so when Collateral cancelled the loan they would have earned a week or so of interest at 12% 'risk free'. Thankfully I steered well clear of playing that game!

My concern now is loans that are repaying and interest, the money will surely go to the Collateral client account which could lead to us being hurt that way. Hopefully the FCA will have thought about that eventuality.

ETA: It was my main concern until I read the news report above.

Yes they were classed as "trustworthy" on the P2P forum, I was thinking today was it all soft soaping to lure new business, if this is how they have acted.

I read that too about people going in large on loans to get the short interest and money returned. It is not a game I would of played, above my funding level that. My £4600 odd took a year to basically build up with Collateral across lots of loans. Seems like a total waste of time now, but no crystal ball.

I though the same thing while working today, if there are borrowers due to pay back with this going on what is going to happen or where does it go and same for any recent payments and interest was to be sent to investors tomorrow.

Even if they rest of my P2P went fine from here in left at present levels, it would take several years to recoup this mess if this is lost. I am classing it as lost now, as I cannot even see a balance, so it is as good as that at the moment until this develops and the truth gets out which it will.

takesyourchances

thenewcomer wrote: »

same here with offloading my p2p holding. i put up 90% of my holding on MT's SM yesterday.
I am not investing any new money in p2p until this is sorted out.

i have not invested in any loans on collateral since november last year. the platform loans were so illiquid.

I think MT will suffer with the recent defaults and many of us invest across similar platforms. Funny I am not even thinking of my £750 odd in MT defaults now, this took my mind right off those My brakes are on P2P loans until the outcome of this mess is sorted out too. As I said in another post, even with the rest of my P2P balances it would take several years to recoup this mess if nothing else went wrong, which cannot be expected really.

I was having a bad gut feeling with the Bolton loan on Collateral, they could not fill the last of it with 15% and 2% cashback and with recent property I was waiting for it going pop. Did not see this situation coming like the rest of us.

Any new money for me is going to my S&S ISA for now and I will raiae my cash levels back up some more too. I am tempted to take the hit on ratesetter and sell out at their fee and invest it back in S&S, thats one idea today, will think on the others as this is getting more hassle than what it is worth I have just over 5k on Ablrate too.