P2P: Ablrate

bigadaj

elephantrosie wrote: »

thanks. when would you advise to deposit money into the account in preparation for the new loans?

Ablrate are unusual in that you can credit by debit card which makes it pretty much instantaneous, so no need to plan too far ahead.

Most of the platforms will credit within a couple of hours, moneything is probably one of the slowest and it can take several hours some times.

elephantrosie

bigadaj wrote: »

Ablrate are unusual in that you can credit by debit card which makes it pretty much instantaneous, so no need to plan too far ahead.

Most of the platforms will credit within a couple of hours, moneything is probably one of the slowest and it can take several hours some times.

i heard there is charges with debit card use on ablrate?

nushnush

elephantrosie wrote: »

i heard there is charges with debit card use on ablrate?

i have never paid a charge for using my card

takesyourchances

Jamesd mentioned it costs Ablrate 0.25% for card payments.

Looking for these new loans myself to add to.

jamesd

I paid money in last week.

There isn't a charge to lenders to use a debit card but Ablrate is charged 0.25%. In the real world we end up paying for that indirectly because it affects how much they can pay on the loans. So use the debit card when necessary but if you aren't in a hurry the bank way is cheaper for them and ultimately better for us overall.

elephantrosie

hello there, please educate me this noobie to ablrate platform.

on secondary market, when the bid is less than 100%, does that mean that we are paying more or less to get the loan?

eg. bid size 200, bid price 99%

how much do i have to pay when the bid get accepted?

thank you all in advance

Trentenders

elephantrosie wrote: »

hello there, please educate me this noobie to ablrate platform.

on secondary market, when the bid is less than 100%, does that mean that we are paying more or less to get the loan?

eg. bid size 200, bid price 99%

how much do i have to pay when the bid get accepted?

thank you all in advance

The bids are all people waiting in line for someone to sell to them at the price they want to pay. If they have bid less than 100% then they are asking for a discount on the original selling price.

If you want to 'buy now', you'll have to pay the lowest offer amount available. Again, if it's less than 100%, you'd be getting a discount.

You'll pay whatever amount you pledge, e.g. if you purchase £100 at 99%, you'll pay £100 (just with a higher yield than the person who originally purchased it).

taylornj

elephantrosie wrote: »

hello there, please educate me this noobie to ablrate platform.

on secondary market, when the bid is less than 100%, does that mean that we are paying more or less to get the loan?

eg. bid size 200, bid price 99%

how much do i have to pay when the bid get accepted?

thank you all in advance

you will find it's all calculated for you before hand when you enter the bid amount, your be given the chance to accept or not with a total cost.

The information provided is not sufficient to perform the calculation. Little time since I looked, but there used to be videos on things like this. Also p2pindendentforum has some guide.

elephantrosie

thanks both. very informative.

jamesd

If you want to buy, look at the offers on the right side. A common offer might be 101% meaning that you pay the 100p per pound original issue price plus 1p on top. You will also pay the daily interest accrued since the last payment on the loan was made. You will get that back when the borrower makes their next payment, assuming they do. You can deduct the accrued interest you pay when buying from the taxable interest reported to HMRC. A 12% loan is really 1% a month so you will see a yield above 12% if you buy a new 12% loan at 101% soon after it is originally made. When buying you get the lowest of the prices offered, top to bottom. So if you buy £100 worth and there is £50 offered at 100.9% and £200 at 101% you will get all of the first 50 and 50 from the 200.

A person who wants to buy a loan has the alternative of making a bid. A common bid for oldish loans might be 99.5%. This means that you are saying that you will buy off anyone who is willing to sell to you with a 0.5% discount below what they originally paid, meaning they lose a little capital. The benefit for the seller is that it happens instantly. If they created an offer they would probably get a higher price but have to wait for a buyer to come along.