1072 replies to this topic

[chilterncom1]

sl75, on 22 June 2011 - 10:46, said:

There's also a further offer that I don't entirely understand for getting £100 of John Lewis vouchers... it says this is for "any lenders that increase their total loan parts outstanding by over £10,000 as measured on 22 August 2011", but doesn't specify the base-line date against which the total loan parts outstanding on 22 Aug will be compared. [Edit: ...or is it saying 22 Aug *is* the base-line date, and any time you've got £10k more than at that date you can claim??? - I'll try to clarify with FC]

I think it is saying that if your loans parts as measured on 22 August 2011 are more than £10,000 greater than your loan parts now, you get the £100 of vouchers.  It's not very clear, though.

I wonder if they see a glut of borrowers arriving?

Edited by chilterncom1, 22 June 2011 - 11:29.

[sl75]

chilterncom1, on 22 June 2011 - 11:27, said:

I wonder if they see a glut of borrowers arriving?

It would seem so - I received an email announcing it a few minutes after posting, which states "We now have the most loan requests we have ever had on the Funding Circle marketplace and have a strong pipeline of businesses seeking funds following our recent marketing activity." as the reason for introducing this offer.

[fuzzyiceberg]

£10k? Gulp. Now that's some serious moolah.  You'd have to go some to get that much extra out in two months.  Reckon you'd have to successfully place about £250 per day. A few JL vouchers won't tempt me to that. The new cashback might however persuade me to repatriate my growing unloaned ZP funds and send them to FC, given ZP rates seem destined for new lows.  

[sl75]

fuzzyiceberg, on 22 June 2011 - 11:50, said:

£10k? Gulp. Now that's some serious moolah.  You'd have to go some to get that much extra out in two months.  Reckon you'd have to successfully place about £250 per day.

For the JL offer, it doesn't actually say they have to be *new* loans though - just an increase in the total loan parts outstanding. I foresee a few lenders going on shopping sprees on the Loan Parts page in addition to making bids on the new ones...

Clarification received from Jenah @FC: "... the baseline used is from 10am today. We will look into making this clearer."

I'll consider my position further nearer the time... e.g. whether to bother attempting to qualify for the JL voucher.

[jkh]

I've transferred in a significant (for me) chunk of money to take advantage of the 1.5% offer (nowhere near enough for the John Lewis offer though!).

If SL75's point about people going on loan part shopping sprees ends up coming true, combine that with the cashback offer and things could get very interesting over the next month...

[Gorgeous George]

Quote

1. For a limited time only lenders are entitled to 1.5% cashback on any lending they carry out at Funding Circle.
2. If a loan request is fully funded by bids from you and other lenders and the borrower accepts the aggregated loan request offer, your money is then transferred from your Funding Circle lender account to the Funding Circle account of the borrower. Immediately following this cashback will be paid into your Funding Circle lender account
3. The cashback paid to you will be equal to 1.5% multiplied by the amount you have lent to the borrower
4. The cashback offer does not apply to loan parts purchased from other lenders.
5. The cashback offer will apply to any loan requests listed on www.fundingcircle.com on or before 08 July 2011 that have not yet been accepted by the borrower.
6. In addition, to this offer any lenders that increase their total loan parts outstanding by over £10,000 as measured on 22 August 2011 will be entitled to claim £100 of John Lewis vouchers from Funding Circle at any time after 22 August 2011. Vouchers will be posted to lenders at the address registered on the Funding Circle website.

Loan parts are not included in the cashback offer but are included in the JL voucher offer. Lenders have to claim their vouchers from FC.

I'm not moved.

GG

Edited by Gorgeous George, 22 June 2011 - 15:43.

[MrGrey]

sl75, on 22 June 2011 - 12:33, said:

For the JL offer, it doesn't actually say they have to be *new* loans though - just an increase in the total loan parts outstanding. I foresee a few lenders going on shopping sprees on the Loan Parts page in addition to making bids on the new ones...

Or there is going to be a tsunami of second hand loan parts for sale in 2 months time.

[chilterncom1]

sl75, on 22 June 2011 - 12:33, said:

I foresee a few lenders going on shopping sprees on the Loan Parts page in addition to making bids on the new ones...

MrGrey, on 24 June 2011 - 10:28, said:

Or there is going to be a tsunami of second hand loan parts for sale in 2 months time.

The two are not mutually exclusive ...

[jkh]

Oh for an extra £3.59

[jkh]

Incidentally, nice going, rbrant, for being the first person (I think) to get money loaned out at 15%. On an A+ borrower, no less!

I only managed a paltry 14.5% on that one

[sl75]

jkh, on 29 June 2011 - 14:46, said:

Incidentally, nice going, rbrant, for being the first person (I think) to get money loaned out at 15%. On an A+ borrower, no less!

Well, joint first, as there was another 15%-er on that auction.

The .csv download on the Stats page shows the previous record as having been 14.4% on an 'A' loan in early September last year (I settled for a second-hand 13.9% part of that one).

I'll have to see what's made available second hand from this new record-breaker, as it didn't make it to "next on my list" before it was accepted, so I didn't get any bids in  

[hr1424]

jkh, on 29 June 2011 - 12:13, said:

Oh for an extra £3.59

With all the churning going on there seems to be an increasing number of errors. I was fortunate enough yesterday to find a £100 loan part kindly offered at a 3% discount.

[sl75]

hr1424, on 30 June 2011 - 11:12, said:

With all the churning going on there seems to be an increasing number of errors. I was fortunate enough yesterday to find a £100 loan part kindly offered at a 3% discount.

At least it's not as costly as the price errors that "big names" sometimes make...

e.g.
http://www.bbc.co.uk...otland-13621315
http://news.bbc.co.u...000/8107301.stm
http://news.bbc.co.u...ire/8276221.stm

[marshall2k]

Careless discounting costs profits.

[hr1424]

marshall2k, on 30 June 2011 - 13:22, said:

Careless discounting costs profits.

It seems perhaps FC agree as they have now slashed the rate of cashback paid for new listings not already posted on the site back to 0.5% from 1.5%!

[MRC_London]

hr1424, on 10 July 2011 - 15:17, said:

It seems perhaps FC agree as they have now slashed the rate of cashback paid for new listings not already posted on the site back to 0.5% from 1.5%!

As expected given the T&C of the 22nd June email :

5. The cashback offer will apply to any loan requests listed on www. fundingcircle. com on or before 08 July 2011 that have not yet been accepted by the borrower.

[MRC_London]

Looks like a second loan is in serious trouble ...A risk category £22,000 over 3 years at average rate of 8.6% taken out in Jan/Feb.

Unlike the first loan which defaulted (also an A) this one is not anonymous and is director guaranteed .... so we may be about to find out what that means at the sharp end.

Why do I think the loan is in trouble:

• a repayment from 23rd July is outstanding
• FC added a comment on 13th July which includes "there is a concern that the business may not be able to meet future repayments on time"
• Googling the company name reveals a UK Gazette Notiice detailing that a Creditors Meeting  "will be held ....... on Friday 15 July 2011...... The purpose of the meeting, --------is to consider the statement of affairs of the Company to be laid before the meeting, to appoint a Liquidator and, if the creditors think fit, to appoint a liquidation committee. "

As lenders we seem to be be getting far less info regarding this (probable) liquidation than the first one - I think the difference comes down to the Director guarantee ... in the FC comments they say "This loan is personally guaranteed by the directors and they are aware of their obligations to satisfy the loan in the event the business is unable to do so. We will update lenders on this loan as soon as we have further information"

Edited by MRC_London, 29 July 2011 - 18:21.

[hr1424]

MRC_London, on 29 July 2011 - 18:20, said:

Looks like a second loan is in serious trouble ...A risk category £22,000 over 3 years at average rate of 8.6% taken out in Jan/Feb.

Unlike the first loan which defaulted (also an A) this one is not anonymous and is director guaranteed .... so we may be about to find out what that means at the sharp end.

Why do I think the loan is in trouble:

• a repayment from 23rd July is outstanding
• FC added a comment on 13th July which includes "there is a concern that the business may not be able to meet future repayments on time"
• Googling the company name reveals a UK Gazette Notiice detailing that a Creditors Meeting  "will be held ....... on Friday 15 July 2011...... The purpose of the meeting, --------is to consider the statement of affairs of the Company to be laid before the meeting, to appoint a Liquidator and, if the creditors think fit, to appoint a liquidation committee. "

As lenders we seem to be be getting far less info regarding this (probable) liquidation than the first one - I think the difference comes down to the Director guarantee ... in the FC comments they say "This loan is personally guaranteed by the directors and they are aware of their obligations to satisfy the loan in the event the business is unable to do so. We will update lenders on this loan as soon as we have further information"

Thanks for that. Looking at the stats page at FC - https://www.fundingc...com/lend/stats/ - there are now 2 loans listed as late payments, an A-rated borrower with £12,581 outstanding and a B-rated borrower with £20,000 outstanding.  I can see that the B-rated borrower's listing was due to finish at the end of June so this is hopefully just a temporary problem in setting up payment arrangements.

[MRC_London]

hr1424, on 30 July 2011 - 14:39, said:

Thanks for that. Looking at the stats page at FC - https://www.fundingc...com/lend/stats/ - there are now 2 loans listed as late payments, an A-rated borrower with £12,581 outstanding and a B-rated borrower with £20,000 outstanding.  I can see that the B-rated borrower's listing was due to finish at the end of June so this is hopefully just a temporary problem in setting up payment arrangements.

Interestingly the loan I refered to is not being classified as "Late" despite the payment for 23rd July outstanding ... where as these two are missing payments for 26th and 24th July respectively.  Hopefully that means FC have visibility of a director funded replacement payment in the pipeline.

[rudry2677]

Two late loans eh?

Methinks they could be the Republicans and the Democrats from t'other side of pond.