P2P: MoneyThing

jamesd

This is a discussion for things specific to the MoneyThing peer to peer lending platform, to make it easier to find those as distinct from more general P2P discussions. More discussion is available at the P2P Independent Forum MoneyThing section.

MoneyThing does a range of lending types that often avoid the ubiquitous property development loans seen in the P2P world at the moment but still does many of those. Interest rates are typically 12% but have ranged from 10-15%. All loans are secured on some sort of physical asset.

The platform received full FCA approval in March 2017, replacing its former interim approval.

As of 1 April 2017 there have been no defaults but eventually this is sure to change since it's a fact of life with lending.


TOPICS: generic P2P, Ablrate, Lendy (formerly Saving Stream), MoneyThing.

jamesd

My opinion:

[STRIKE]This is currently one of my preferred platforms with friendly and helpful staff and sometimes loan offers out of the ordinary for P2P.[/STRIKE]

Update April 2019: I no longer recommend this platform. Causes include:

1. Birkenhead: the concealment of the overspending history, concealing of the default between second and third tranches and Moneything apparently not being willing to accept that they failed to comply with the regulatory requirement to accurately describe the risk, instead grossly understating it by withholding the key risk information.

2. The April 2018 terms. Moneything and all platforms were required to agree to follow certain guidance documents when getting interim permission. One of those was the OFT guidance on unfair terms in consumer contracts. The terms read as though someone used that as a guide on what to do instead of what not to do. Moneything's compliance officer left around this time though there may have been other reasons.

More later.

Trentenders

Awesome staff/service. I trust this site more than any other to offer decent loans.


They'd have a higher percentage of my overall P2P portfolio if they offered more loans and from different borrowers.

Flobberchops

MT is currently the only P2P platform I use and so far I've been very pleased with the ease of use, service and opportunities on offer.

jamesd

Flobberchops wrote: »

MT is currently the only P2P platform I use and so far I've been very pleased with the ease of use, service and opportunities on offer.

Please do bear in mind that there is risk associated with a platform, so it's good to use more than one if you've a non-small amount invested. You might take a look at say Ablrate, another one with friendly and helpful humans and sometimes different types of loan from the usual.

Jonbvn

jamesd wrote: »

Please do bear in mind that there is risk associated with a platform, so it's good to use more than one if you've a non-small amount invested. You might take a look at say Ablrate, another one with friendly and helpful humans and sometimes different types of loan from the usual.

This is very important. With P2P lending diversification to offset risk is vital. This means diversification across different loans, P2P platforms and type of asset loan is secured on (or not).

Jsscmm

MT staff are helpful and fast... I do have a worry about the platforms size though, from a key man (or woman) perspective. That said they are in my current 5 active platforms.

nushnush

one of my favourite sites along with saving stream and collateral, its hard to get diversified with loan flow being so low but still a good P2P

Flobberchops

jamesd wrote: »

Please do bear in mind that there is risk associated with a platform, so it's good to use more than one if you've a non-small amount invested. You might take a look at say Ablrate, another one with friendly and helpful humans and sometimes different types of loan from the usual.

Very true - I've been pushing my luck so far mainly because a) I only invest a relatively small total amount which is b) diversified among 20+ MT loans and c) the fact that MT has such a good track record emboldens me to not worry too much.

Still, in the longer term I would like to diversify across another one or two platforms. Ablrate looks like a solid if not very exciting choice; I could make that my "low risk" pot with MT being a "medium" one. Can anyone recommend a third platform that might complement these two?

Jonbvn

Flobberchops wrote: »

Still, in the longer term I would like to diversify across another one or two platforms. Ablrate looks like a solid if not very exciting choice; I could make that my "low risk" pot with MT being a "medium" one. Can anyone recommend a third platform that might complement these two?

I think calling MT a "medium risk" investment is possibly unwise. It is still too young and small a platform that has not been through a full credit cycle.

Of course, you may be a Russian roulette type of investor and see 12% as small fry compared to your potential multi-bagger investments on AIM.

jamesd

Low risk wouldn't be right but with the secured lending it's probably lower risk than equities, say, depending on the specific loans used there. That could well put the loans in medium risk overall, given that equities would usually be medium-high to high. The typical six month loan term makes it easy to hold to maturity while in the resale market most loans typically have high demand.