P2P Investing

[darkgen]

...
ZOPA. Now fully FCA authorised. And have just launched the IFISA for existing lenders
They are also changing their offering from Access, Classic and Plus to Core and Plus. They will remove the safeguard system.
So all in all its seems they are going riskier for your average P2Per.
I still think rates are a little low considering the risk and lock in period.

I agree the rates seem poor considering the greater risk with the loss of safeguard. I'm not too sure what to do with my investments but considering moving them between RS and perhaps FC. I did have 5k in MT but their interface seemed mickey mouse so moved investment to Saving Stream now Lendy.

 

[Mercenary Keyboard Warrior]

Yeah the MT interface isnt the best, has been updated recently
They did say they were holding off on investment until they had secured their full FCA status

Also, whilst taking into account what I posted above, I would say the interface is about as low as it gets in importance stakes for me in financial matters, as long as its secure, I would rather a platform that seems to indicate good management as opposed to the one that looks prettiest

 

[darkgen]

I think what spooked me the most was that the majority of portfolios seemed to be car dealerships and jewellery outlets at that time!

Perhaps it's time to take another look if there is greater investment diversity now.

 

[Mercenary Keyboard Warrior]

I think what spooked me the most was that the majority of portfolios seemed to be car dealerships and jewellery outlets at that time!

Perhaps it's time to take another look if there is greater investment diversity now.

Oh very much so, they majority is development finance now, where as at the start they were more focused on pawn (yes correct spelling ) as you say.

There is one very large car network on there but they are expected to mainly pay back end of July

Pipeline gives a good indication of their current outlook, normally updated weekly but MD was off last week so he didnt do it

http://p2pindependentforum.com/thread/4414/moneything-pipeline-updated-on-friday?page=1

 

[Jokester]

How are you finding your bad debt? I slung in 10k several months back and against £501.70 in earnings I've already raked up £133.07 in losses.

I've put everything into high risk (E I think the band is?)investments about 6 months ago and not had any bad debt yet amazingly. A couple of late payments and that's it.

 

[mikeh501]

Ive had my fair share of bad debt, but in all the return is still good. The below is probably just less than a year or so, and 20k invested. Like for like its doing better than RS 1yr and ZP Class.

Gross yield:
9.4%
Annualised return (after fees and bad debts):
5.9 %
Estimated fully
diversified return (after fees and bad debts):
6.6%

All time earnings summary
Earnings £1,146.18
Interest £1,146.02
Loan part sales £0.00
Loan part purchases £0.16
Promotions £0.00
Fees £127.19

Losses -£315.45
Bad debt -£323.71
Recoveries +£8.26
Net earnings £703.54

 

[Rosbif]

Can these be ISA wrapped yet?

 

[mikeh501]

Zopa, just released their IF ISA. Other will be along shortly id have thought.

 

[Rosbif]

Interestingly my brother took some funding from one of these companies for his business and he told me the other day they rang, cold call style, asking him if he wanted more finance. I find that somewhat troubling. I can't remember the firm he got the financing from.

 

[Rosbif]

Zopa, just released their IF ISA. Other will be along shortly id have thought.

Cheers thanks a bunch

 

[Mercenary Keyboard Warrior]

http://p2pindependentforum.com/thread/7741/fca-authorised-ifisa-list

I have no knowledge of some of those, but that's up to date I believe

 

[darkgen]

I've put everything into high risk (E I think the band is?)investments about 6 months ago and not had any bad debt yet amazingly. A couple of late payments and that's it.

Interesting; I'm naturally overcautious which isn't the best mindset when making investments. I purposely altered the bids to ignore the top tiers of risk.

... Similar yields and returns ...

It's currently working out around 6.8% which is still a good return.

I'm considering whacking another 10k in to FC and living a little more dangerously and opening up to the higher risk tiers.

 

[SlyReaper]

I've just chucked a couple of grand into FC. Looks like the autobid tool will only queue up £500 at a time? The rest just sits there as "available funds". That normal?

Most of my money is with Zopa, but their returns are a little lower than I'd like, and now they're getting rid of safeguard, I'm thinking they seem less attractive as an option now.

 

[BeatMaster]

Looking to sign up to Rate Setter and Funding Circle with a £1000 in each. Just wondering how both the markets are looking on each platform? Will be going for rolling investment for RS and will be going through a referral link (now down to £50?) so project a 7.x% gain over 12 months.

Is it worth considering MoneyThing?

 

[mikeh501]

Id not bother with ratesetter, and do zopa/funding circle. My reinvestment rates are dire with ratesetter, usually 2.1>2.6%

also, i get large reinvestment notices by email on ratesetter, which strikes me as odd given its all tiny loans. e.g. this morning had one for 2.5k

 

[darkgen]

Id not bother with ratesetter, and do zopa/funding circle. My reinvestment rates are dire with ratesetter, usually 2.1>2.6%k

I'm not so sure; Zopa is dumping Safeguard and from December only offering two products. Core provides ~3.8% return and Plus is estimating ~6%. However, I did decide to leave the 12k already in there split between Access and Classic. I'll let it reinvest into Plus for the next 12 months and review.

 

[BeatMaster]

Id not bother with ratesetter, and do zopa/funding circle. My reinvestment rates are dire with ratesetter, usually 2.1>2.6%

also, i get large reinvestment notices by email on ratesetter, which strikes me as odd given its all tiny loans. e.g. this morning had one for 2.5k

That's worrying that they want £2.5k as a full amount and not make it up with lots of little loans to spread the risk. I was only considering it for the first year just to get the referral bonus then would pull the money out.

Zopa appears to be invite only plus as darkgen has said, they're removing the safeguard which is another worry. Although maybe still protect ISA wrapper?

 

[mikeh501]

Yeah, ive been busy moving money out of access into classic; and now into core. Given the returns are up, then id rather see my borrower defaults anyhow.

ratesetter rates are just so dire unless you tie up for 5 years its just not worth the effort.

 

[mikeh501]

That's worrying that they want £2.5k as a full amount and not make it up with lots of little loans to spread the risk. I was only considering it for the first year just to get the referral bonus then would pull the money out.

Zopa appears to be invite only plus as darkgen has said, they're removing the safeguard which is another worry. Although maybe still protect ISA wrapper?

Im kinda assuming its still a lot of little loans, but seems odd they all come at once. I might ask them. I get one of that size every couple of weeks. Just got my bonus a week or so ago.

Didnt know zopa was invite only right now. Id guess they are swimming in too much investor cash and dont have enough loan volumes right now. Backlog etc.

The ISA wrapper wont make any difference to your protection. Its just a tax wrapper which doesnt have any bearing on your investment risks.

 

[BeatMaster]

Maybe it would be better to invest £2k into Funding Circle rather than a £1k into RS and FC. I notice they do a referral bonus of £50 as well so would still get an extra although depends how likely it is to get a 7% return/investment?