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ebayissues

Is tthere a way to exits loans/investment early?

sceach16

ebayissues wrote: »

Is tthere a way to exits loans/investment early?

Borrowers can pay off early subject to a small fee (interest till end month, I think) but Lenders are stuck.

FinanceDublin

I’m afraid following a phonecall with LF themselves, I’m resigned to ironically the final few payments of my final loan being my first default. A pity after being there for so long. 40ish loans without hassle and then final one falls at the last. They’ve as much as said there isn’t much they can do at this stage of the loan - any meaningful action would cost as much as the outstanding principle. Which is true, but there’s an obvious moral hazard.

Incidentally, in relation to an old bad lender (not one I lent to, mind), I notice the premises of the Farm restaurant now up for rent

Shelflife

Who pays for the “chasing” of the loan ?

If say there’s 10k outstanding and it costs 6k to recover it, does the 6k come out of the outstanding 10k only leaving 4K to be distributed to the investors ?

Do LF pick up any of the costs ?

whampiri

Shelflife wrote: »

Who pays for the “chasing” of the loan ?

If say there’s 10k outstanding and it costs 6k to recover it, does the 6k come out of the outstanding 10k only leaving 4K to be distributed to the investors ?

Do LF pick up any of the costs ?

The cost of default are bourne by the borrower. The problem is that if they don't have money, then they can hardly pay for the additional cost of chasing them.

ct5amr2ig1nfhp

Is this the The Fishman loan you mentioned a few weeks ago?

If you assume that the loan is not repaid, what is your rate of return like over the period you were invested?

FinanceDublin wrote: »

I’m afraid following a phonecall with LF themselves, I’m resigned to ironically the final few payments of my final loan being my first default. A pity after being there for so long. 40ish loans without hassle and then final one falls at the last. They’ve as much as said there isn’t much they can do at this stage of the loan - any meaningful action would cost as much as the outstanding principle. Which is true, but there’s an obvious moral hazard.

Incidentally, in relation to an old bad lender (not one I lent to, mind), I notice the premises of the Farm restaurant now up for rent

FinanceDublin

Heaven Happy Shower wrote: »

Is this the The Fishman loan you mentioned a few weeks ago?

If you assume that the loan is not repaid, what is your rate of return like over the period you were invested?

9% over 4 years. Nothing spectacular at all. But grand and I enjoyed it in the main. Autobid took all of the interest out of it though.

Edit: and sorry yes indeed, same Fishman loan.

Underground

One payment left on my final loan and then I am cashing in my chips and running for the hills. It's a shame how LF turned out, I loved the idea of helping Irish SMEs out while earning a bit of interest.

From reading this thread it seems many of you are doing the same thing as me. I'll be interested to see how LF are faring in a year or two year's time, I just can't see how they can marginalise their lenders and expect to keep growing.

adam88

I’m the same. Disabled all my autobids and starting to back out. IMO autobids wrecked it.

tadcan

Yeah, cashed out today. Was there early on, and tried to spread out over many loans. I have nine in default for just over 200 in total, with two a couple of payments until they finish as well. So I might make some token payments in an effort to recoup the unpaid interest.

Captainsatnav

Email sent to LF today re Shev Services:

Hi,

You were due to meet this borrower on the 13th July and provide an update - any reason as to why this hasn't happened? What are you doing to either recover my money or ensure repayments are restarted? It's now 17 days since you met the borrower. This was a grade B loan - not risky, yet your information and updates has left quite a bit to be desired.

Regards,

Shelflife

I don’t understand their attitude to late payments.

Loan X is late we have sent them an email requesting that it be brought up to date !

That’s simply not good enough, first day the payment is missed a phone call should be made asking why it’s late, if that doesn’t do the business then a physical call to the business. It’s simple too shoddy .

My wife (businesswoman) got an unsolicited letter offering her unsecured loans from LF , as soon as I saw it I turned off my autoinvest and started withdrawing funds.

SEPT 23 1989

Get every penny out by the Brexit deadline it’s going over a cliff after that

ganmo

So here goes my experience of linked finance.
I'm about 10 months in, no loans late but no loans repaid yet.
The past week was the first where I had enough funds in my account and no loans fit my autobids.

Scottie99

SEPT 23 1989 wrote: »

Get every penny out by the Brexit deadline it’s going over a cliff after that

Johnson was heard mentioning the deadline could be pushed out till 2021. I’m not sure what France will say about it...

sceach16

Linked now post bad debt loans as being finished with the same status as loans fully repaid on time or early. My default loans were reduced to 12 from 13 after one defaulter left me with a bad debt. If this keeps up I will soon have no defaults.... but I wont have my money.

Peter File

Did anyone reply to their property investment email of a few months ago?.
There is no mention of it on their website.

garrettod

Hi,

I think Niall Doran does various interviews for the business periodically, such as when they achieve a millstone of some sort, nothing new or odd there imho.

There seems to be a lot less loans available in recent months, perhaps in part down to the summer period, but who knows, maybe also something else.

Personally, I've not seen much that I've thought was new and positive about Linked Finance in quite a long time.

Their credit ratings, autobid systems, handling of arrears and related reporting on your loan portfolio info are all bad.

A shame really, as there's potential for LF to be a lot better, for both lenders and borrowers.

Darc19

I'm a small time investor in LF. Mostly in cash now and three loans finishing in next few months.

I know one of the companies I lent to and had a chance to ask them about why they went with LF.

It was almost 3 years ago and they said banks wanted too much additional information that would have taken time, so they went with LF.

Their rate is under 9%, A rated. But they also paid LF a 5% finders fee.

I did a little calculation on the overall cost and worked out that the real interest rate when you added in the fee was over 12%

He was gobsmacked as his bank had a rate of 6%, but it would have taken a little longer

The difference between doing some work that the bank asked for and going the LF route was €10,000 over the 3 years on a €100,000 loan (this is not the real loan figure he took out)



If you understand figures and have a good record, why would you go with LF?

Shelflife

Banks are very slow to get all the paperwork together and also very reluctant to actually lend money, ironic as it sounds.

They will lend to people who don’t need to get a loan but not to those who need it.

LF is dearer but easier to actually get a loan with .

BrokenArrows

Im based in the UK so may not be relevant to most here.

Im looking at www.crowdproperty.com

So they have a crowd funded loan system for property developers who are building/renovating property to flip. So loan terms are on average 14 Months according to the sites currently active loans. Property is sold on completion and loan is paid off.

Other residential loans which are not sold on completion are advertised as being refinanced with another lender on completion.

https://www.crowdproperty.com/statistics

On average returns are 8%, but if you are resident in the UK they have an ISA wrapper on it, so any interest earned is tax free which makes that the equivalent of a 13% return for a higher rate tax payer.

Minimum investment period is 6 months and you invest in a specific property.

Currently there are no outstanding Loans on the site. Registered investors are emailed 15 minutes prior to a new project going live and seem to get funded within 1-2 minutes with the average loan at the moment of 370k

I put my toe into it at the moment with a £500 investment in todays property over a 10 month period with a return of 8% tax free just to see how the site operates.

Operating since 2015 they currently have a 0% default rate over 107 properties funded and 0% are behind schedule on repayments.

They also have an auto invest feature where you define the maximum amount of money to auto invest per project (can be a maximum of 20% of your currently deposited cash). If there are more auto investors then the project requires then your auto investment amount will be reduced so that every auto investor is still invested.

Looks pretty good.

at9qu5vp0wcix7

I have about 75% of my original investment withdrawn at this point. The updates on late loans are hilarious.

"The July re-payment has not yet been brought up to date. I sent an email today [4 weeks after the payment was due] requesting immediate payment.".

If a deadline was missed in work and I sent an email almost a month later, my boss would give me the chop! Why not make a phone call a day after payment was due? Why not go on a weekly/monthly day trip around to the businesses which are late / default? Many of the companies in default are actively trading, responding to emails / business inquiries, but LF can't get an update on the repayment status.

Rogermillaybig

pulling all my cash out , which was a fair amount lodged over four years , 12% of my current loans are in default about half of which i would never have selected had i been able to bid using the old method.
I had a strategy which was working fine with an acceptable amount of defaults before autobid came along.

Cute Hoor

BrokenArrows wrote: »

Im based in the UK so may not be relevant to most here.

Im looking at www.crowdproperty.com

So they have a crowd funded loan system for property developers who are building/renovating property to flip. So loan terms are on average 14 Months according to the sites currently active loans. Property is sold on completion and loan is paid off.

Other residential loans which are not sold on completion are advertised as being refinanced with another lender on completion.

https://www.crowdproperty.com/statistics

On average returns are 8%, but if you are resident in the UK they have an ISA wrapper on it, so any interest earned is tax free which makes that the equivalent of a 13% return for a higher rate tax payer.

Minimum investment period is 6 months and you invest in a specific property.

Currently there are no outstanding Loans on the site. Registered investors are emailed 15 minutes prior to a new project going live and seem to get funded within 1-2 minutes with the average loan at the moment of 370k

I put my toe into it at the moment with a £500 investment in todays property over a 10 month period with a return of 8% tax free just to see how the site operates.

Operating since 2015 they currently have a 0% default rate over 107 properties funded and 0% are behind schedule on repayments.

They also have an auto invest feature where you define the maximum amount of money to auto invest per project (can be a maximum of 20% of your currently deposited cash). If there are more auto investors then the project requires then your auto investment amount will be reduced so that every auto investor is still invested.

Looks pretty good.

The equivalent in Ireland is probably www.propertybridges.ie, up and running about a year, 8 projects funded to date, roughly 8% pa return, plenty of time (so far anyway) to decide if you want to invest in each project or not.

garrettod

Shelflife wrote: »

Banks are very slow to get all the paperwork together and also very reluctant to actually lend money, ironic as it sounds.

They will lend to people who don’t need to get a loan but not to those who need it.

LF is dearer but easier to actually get a loan with .

I don't think that's accurate.

Banks want detailed information to support the Borrower's ability to repay, past banking record, security available to back the loan etc. Sure, that can take some time to gather up, then review, but to help ensure sensible lending.

Banks are lending to the SME market and anyone in any related industry can confirm this. What they aren't doing, is taking big risks. That's where LF seems to come in....

Just because someone needs money, does not mean they need a loan (which they may not be able to repay etc). Quite often, other solutions are required, be it an equity investment, tighter credit control within the business, more profitable trading etc. A loan is no always the answer.

BrokenArrows

BrokenArrows wrote: »

Im based in the UK so may not be relevant to most here.

Im looking at www.crowdproperty.com

So they have a crowd funded loan system for property developers who are building/renovating property to flip. So loan terms are on average 14 Months according to the sites currently active loans. Property is sold on completion and loan is paid off.

Other residential loans which are not sold on completion are advertised as being refinanced with another lender on completion.

https://www.crowdproperty.com/statistics

On average returns are 8%, but if you are resident in the UK they have an ISA wrapper on it, so any interest earned is tax free which makes that the equivalent of a 13% return for a higher rate tax payer.

Minimum investment period is 6 months and you invest in a specific property.

Currently there are no outstanding Loans on the site. Registered investors are emailed 15 minutes prior to a new project going live and seem to get funded within 1-2 minutes with the average loan at the moment of 370k

I put my toe into it at the moment with a £500 investment in todays property over a 10 month period with a return of 8% tax free just to see how the site operates.

Operating since 2015 they currently have a 0% default rate over 107 properties funded and 0% are behind schedule on repayments.

They also have an auto invest feature where you define the maximum amount of money to auto invest per project (can be a maximum of 20% of your currently deposited cash). If there are more auto investors then the project requires then your auto investment amount will be reduced so that every auto investor is still invested.

Looks pretty good.

With a little more time on the site the new properties are not advertised with only 15 minutes to go before live. I received another email today giving a weeks notice for the go live to a new property.

I think i may have missed an earlier notification because i hadnt registered yet and only received the 15 minute notification.

whampiri

Anyone have any update on HSK limited? Only made 2 repayments and the last update was December last year! Sounds to me like a case for the Garda fraud squad as either Linkedfinance didn't carry out due diligence or he scarpered with the money.

Darc19

Is loanguru.ie part of linked finance?

I got an email from them to an email address that I only have ever used for a small linked finance investment account and one director of loanguru Ltd is listed as a previous sales manager in linked finance

I hope that details weren't taken without knowledge.


Has anyone else had this email from loanguru.ie

louis346789

Oops. Big difficulty for both parties if email details used without consent

at9qu5vp0wcix7

Haven't received such an email myself.