Peer-to-peer lending sites: MSE guide discussion
Comments
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60,000 at the moment, though I don't know whether that includes accounts like ours that have been running down for years as the loans are repaid.
I assume that I'll still be getting occasional payments into my account ten years from now and fifteen years after my last new loan there. Such is the nature of IVAs and other long drawn out collections for loans in arrangement or defaulted without a provision fund.
At current interest rates there I expect that after lending for a year across all markets without Safeguard at three year term then waiting three years, the balance in defaulted or otherwise overdue loans will be similar to all of the interest paid.
People lending with Safeguard have a much cleaner exit than without. They could really do with some cleaner way to exit a mostly run down loan book a few years after the last loan reached its term end.0 -
Hello all - hoping to get some advice / information on here before I ring up Collateral on Monday - I deposited some money in my collateral account with the intention to begin investing it, however changed my mind before taking the plunge and withdrew it back into my back account. Problem is - it hasn't come back into my account yet.
I requested the withdrawal on Monday 29th which was a bank holiday so I've left it this working week for it to be processed however still no sign of it in my bank account this morning. Just wanted to know - is this normal? Does it take longer than three working days?
Thanks!Save 12K 2019 #37 - £3,512.97 / £6,000 (July)
[STRIKE]Save 12K 2018 #113 £7,755.49 / £7,500 [/STRIKE] [STRIKE]Save £12k 2017 #186 £8,507.30 / £10,000[/STRIKE]0 -
My withdrawals have all been actioned very quickly to be fair to Coll so not normal I would say.
They have just changed their bank accounts over to a new provider so that may be part of the hold up.
If you go to http://p2pindependentforum.com/board/93/collateral and ask on there the Collateral Rep may well respond although it may not be over the weekend.0 -
My withdrawals have all been actioned very quickly to be fair to Coll so not normal I would say.
They have just changed their bank accounts over to a new provider so that may be part of the hold up.
If you go to (URL) and ask on there the Collateral Rep may well respond although it may not be over the weekend.
Thank you AlanP! Much appreciated - I will peruse the forum you've posted and give them a ring tomorrow. Hopefully between the two it'll get sorted - missing money makes me very anxious :rotfl:Save 12K 2019 #37 - £3,512.97 / £6,000 (July)
[STRIKE]Save 12K 2018 #113 £7,755.49 / £7,500 [/STRIKE] [STRIKE]Save £12k 2017 #186 £8,507.30 / £10,000[/STRIKE]0 -
FundingCircle
Anyone else getting a lot of bad debt with this?
My estimated return after bad debt is 6.8%, actual 3.4%. And that's half of my flagged loans being defaulted so actual is probably going to go down.
Doesn't seem related to the loan grade (most A+).
Most have received flags in the last couple of months so wondering if something has happened.
One loan is partly to repay an existing FC loan which has a dubious repayment history but still has an A+ rating - unsurprisingly no repayments for this loan (don't know if the first loan was actually repaid).
Don't know if their debt recovery process will be effective. At the moment it's about where I was hoping it would be (didn't believe their expected returns) but now I expect to make a loss on this.0 -
Funding Circle ratings aren't particularly reliable and you're far from the only one suffering. As an initial approach to reducing your losses you might usefully consider selling your investments as they approach maturity, perhaps say a hundred days before. Maturity or just before it is the time when problems are most likely to be discovered and not a great time to be still holding the loan.
You might also take more care over selecting which loans to be involved with. Going for that replacement loan, or keeping it if you were using automatic investing, wasn't a great move.
Beyond that, there are alternatives out there, you're not stuck with low performers like Funding Circle.0 -
Bit of a flaw in the system if you lose out by keeping to maturity or by automatically picking up dubious loans.
I have a few p to p, this is the only one that is clearly heading for failure at the moment (and was the only one that looked dubious at the outset from the estimated returns so I'm not surprised)
I'm mainly testing their default/hands off settings.0 -
Funding Circle currently have just 6 loan requests showing.
I'm new to this. Is that number not very small ?!0 -
"Peer-to-peer lending promised 6%, but I’ve been left red-faced and in the red"
https://www.theguardian.com/money/2017/jun/03/peer-to-peer-lending-funding-circle-promised-returns-losing-money0 -
"Peer-to-peer lending promised 6%, but I’ve been left red-faced and in the red"
https://www.theguardian.com/money/2017/jun/03/peer-to-peer-lending-funding-circle-promised-returns-losing-money
From the same article
"He says he logged on to the Funding Circle website and followed the instructions but, unbeknown to him at the time, he had not chosen to spread his investment as much as he could. This left him vulnerable to the loss he subsequently suffered."0
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