LinkedFinance - new website

benjamin d

scheister wrote: »

Gaffney Mechanical 2 days left and only 49.4% funded. wonder will they try again or will the loan become a 125k rather then 250k loan. Can not see them reaching the target at this stage

You're on the ball there, I just logged in and they're listed for a €130k loan, 99.5% funded.

sceach16

benjamin d wrote: »

You're on the ball there, I just logged in and they're listed for a €130k loan, 99.5% funded.

Last financial dats for 30/6/16. Since then, borrowed on Linked in March ( how much?). Tried now for 250k ...changed to 130K. Soaking up a lot of liquidity. Expanding very fast.

scheister

sceach16 wrote: »

Last financial dats for 30/6/16. Since then, borrowed on Linked in March ( how much?). Tried now for 250k ...changed to 130K. Soaking up a lot of liquidity. Expanding very fast.

Looking at the accounts 1 year loan is quite adventurous. 179k net profit last year and they hoped to clear 250k loan in one year. This must be some serious project they are looking at

sceach16

Software Design

This 2-year, €105,000 loan will help fund the production of an MVP for an automated GDPR Solution product which will be sold on a SAAS basis.

Wow! :):rolleyes::o:mad::(:eek::cool::pac::D;)

Wheety

benjamin d wrote: »

You're on the ball there, I just logged in and they're listed for a €130k loan, 99.5% funded.

Cute Hoor

One of my loans in default (last payment 12 of 36 received 1/12/2016) is a deli in Roscrea (not sure if I can mention the name) that is still in business as far as I can see and receiving rave reviews on TripAdvisor. The Loan Status in LF says 'Active Recovery - Case being handled by third party collections agency. Legal letters issued.' How can they still be in business and actively (it would appear) avoiding their long standing debts. The original loan was for €20k and presumably LF will be seeking full repayment plus costs resulting in an even bigger cost to the owner (personal guarantee provided).

I would have a lot of sympathy for somebody whose business has gone belly-up but absolutely none for somebody who is willfuly avoiding repaying their lawful debts.

'Active Recovery' seems to take a long time.

Edit: According to his LinkedIn profile, the owner is still the owner of the deli, so it's not as if he has disposed of it or anything.

sceach16

sceach16 wrote: »

The Ugly Duckling Deli 2648

This crowd last made a payment on 11/12/2016. It is in default.

Linked say

Active Recovery

Active Recovery - Case being handled by third party collections agency. Legal letters issued. (7 March).

Last Friday it was open and trading ! It looks like a very active recovery!

I posted this on 11/09...Still waiting!

sceach16

Cute Hoor wrote: »

One of my loans in default (last payment 12 of 36 received 1/12/2016) is a deli in Roscrea (not sure if I can mention the name) that is still in business as far as I can see and receiving rave reviews on TripAdvisor. The Loan Status in LF says 'Active Recovery - Case being handled by third party collections agency. Legal letters issued.' How can they still be in business and actively (it would appear) avoiding their long standing debts. The original loan was for €20k and presumably LF will be seeking full repayment plus costs resulting in an even bigger cost to the owner (personal guarantee provided).

I would have a lot of sympathy for somebody whose business has gone belly-up but absolutely none for somebody who is willfuly avoiding repaying their lawful debts.

'Active Recovery' seems to take a long time.

Edit: According to his LinkedIn profile, the owner is still the owner of the deli, so it's not as if he has disposed of it or anything.

I reckon if I owed money, Linked would be the obvious one to leave high and dry.They do not seem to be very concerned about my, your and therefore our money. Their collection procedures seem to be to send a few emails and then wash their hands of it.

Cute Hoor

sceach16 wrote: »

I posted this on 11/09...Still waiting!

Thats the one

Wheety

That cake company first got linked to extend their term to 40 months and just seemingly decided to stop paying again. I don't live near the business but their Facebook seems to suggest they're doing well.

The Farm (restaurant) are a place I've passed a few times, they have one on Dawson Street and another on Leeson Street. Always seem busy and definitely still trading. They just seemed to have stopped being bothered about this loan too.

Not sure if Linked can do anything because it doesn't look like they're trying too hard.

This is why I am withdrawing. I'm expecting a few more loans to stop paying before I get all my money out though.

adam88

I have 50 euro tied up in live bids for over 12 days now. I know we're only talking cents here but I don't think it's good enough. Either take to loan or not. Don't be holding up my money

fidi322

Theres currently a 12month loan live, in the financial summary, shareholder funds are +1.7million.  Did the bank really write off 1.7million, can somebody explain a possible reason for this if the Land and Buildings are worth over 2million.   Also wouldn't this be considered a safe 1 year loan seeing as Shareholder funds are so high?
A few months ago I saw something similar, with a different borrower:
"Lenders should note that we also had a full and final debt settlement with our previous bank (now with BOI)
during 2015, whereby €1.8m in senior term debt was fully written off. 
Lenders will see this exceptional profit line included in the 2015 P&L summary"

sceach16

fidi322 wrote: »

Theres currently a 12month loan live, in the financial summary, shareholder funds are +1.7million. Did the bank really write off 1.7million, can somebody explain a possible reason for this if the Land and Buildings are worth over 2million. Also wouldn't this be considered a safe 1 year loan seeing as Shareholder funds are so high?
A few months ago I saw something similar, with a different borrower:
"Lenders should note that we also had a full and final debt settlement with our previous bank (now with BOI)
during 2015, whereby €1.8m in senior term debt was fully written off.
Lenders will see this exceptional profit line included in the 2015 P&L summary"

I wonder how much security the Banking lender has. Obviously they would not provide all the borrower could use. Hence the approach to Linked. If they would not lend,even on a secured basis, should others lend on an unsecured basis?

jaredGalen

Crest Homes

Status update on loan 3990


We have not received the most recent repayment for this loan. We are in contact with the borrower and will inform you of any updates

4 repayments left....

SeanPammer

Began withdrawing today

Still in two minds about it all!

Some decent 12 month loans at 9/10% mark, anything else seems a bit nuts!

sceach16

Loan 3082 Clark t/a O'Reillys Footwear

Payment 24/36 due 14/11 has not arrived as of 3.30 ish. Hope its just a cockup.

scheister

scheister wrote: »

Gaffney Mechanical 2 days left and only 49.4% funded. wonder will they try again or will the loan become a 125k rather then 250k loan. Can not see them reaching the target at this stage

Gaffney Mechanical met its reduced target 8 days ago and the loan is still not been completed. Thats a joke accept it or reject it so i can use the money elsewhere.
Paul O'Connell Light Engineering has been even longer thinking about its loan

benjamin d

scheister wrote: »

Gaffney Mechanical met its reduced target 8 days ago and the loan is still not been completed. Thats a joke accept it or reject it so i can use the money elsewhere.
Paul O'Connell Light Engineering has been even longer thinking about its loan

I've commented here before about a loan that took a full two weeks after its deadline, and a few days more than that after the day it actually got fully funded. It's something they really need to tighten up.

sceach16

sceach16 wrote: »

Loan 3082 Clark t/a O'Reillys Footwear

Payment 24/36 due 14/11 has not arrived as of 3.30 ish. Hope its just a cockup.

No it wasn't! Linked told me the next day that the payment had not arrived and that would come back to me..............

brianomc

While not the end of the world I had an odd issue withdrawing money 2 weeks ago.

It wasn't my first withdrawal but after requesting the money to be transferred back to bank account, as I had done on both previous occasions, I got an email saying that:

"Please note that as funds were deposited less than 120 days before your first withdrawal, as part of our new policies, we can only process this request by card refund, meaning the funds will be returned to their originating source."

I then had to reply by email to say it was ok to transfer it back onto my original card (a debit card).

Has anyone else got this? I haven't got a reply to my email querying why this is as it wasn't my first withdrawal, nor was it less than 120 days since my first deposit to my first withdrawal and they had my passport info so were covered for anti money-laundering.

As the only options on the site for withdrawal seem to be a transfer to the same bank account as previous withdrawals or to provide a new bank account number it makes no sense. I presume I will have to go through the same sequence for future withdrawals.

sceach16

HSK limited Loan 3930

Payment 11/12 due 19 November has not arrived as of 11 am 20 Nov.

sceach16

Frock N Fabulous Loan 3073

Payment 24/36 due 20/11 has not arrived as of 11 am.

golfman

Just to balance out the late payments I've had 2 early settlements today from O'Brien Painting Contractors and DS Hardware! Haven't had this much cash in my account in a long time!

garrettod

Hi,

I've had both experiences - a couple of loans repaid ahead of schedule and a couple miss payments.

I'd like Linked Finance to have a clear section on your account where you could monitor accounts in arrears - to see how long the business is in arrears, how many payments they are down or have missed over say the life of their loan, also the amount of cash at risk etc.

Overall, I'm a fan of the P2P concept and have generally been happy with Linked Finance, but can't say I've been completely convinced by their credit rating system, as too many businesses seem to be getting very high ratings despite being only modest businesses with limit profitability, apparent free cash etc.

I'd also like to see Linked Finance publish the likes of Management Accounts or Projections for a business with some related commentary, where they are relying on this for future repayment of the loans (i.e. if the business doesn't appear capable of servicing the debt from historic financial information).

sceach16

golfman wrote: »

Just to balance out the late payments I've had 2 early settlements today from O'Brien Painting Contractors and DS Hardware! Haven't had this much cash in my account in a long time!

I would be pleased to get paid on time rather than not get paid. I would be very pleased to get paid off early or even soon , particularly by the 8% of my loans which are in default or behind with payments !

garrettod

Hi scearch16,

Mind me asking, what type of loans in your portfolio are in arrears ?

- for example, are most higher interest rate loans (possibly including a few 16% loans - risk category "Y"), or longer term loans, or perhaps in related industries ?

Cheers,

sceach16

garrettod wrote: »

Hi scearch16,

Mind me asking, what type of loans in your portfolio are in arrears ?

- for example, are most higher interest rate loans (possibly including a few 16% loans - risk category "Y"), or longer term loans, or perhaps in related industries ?

Cheers,

I started lending in August 2015. Virtually all are /were 36 month loans. My first no pay was Dec 16. Cafe/restaurant /food sector figure regularly. Sole traders also feature. Another interesting one is the frequency of "second time on linked" borrowers
I have three new non pays in the past seven days. Two were 24/36 and one 11/12.
I have effectively stopped lending in the past 12 months so the new risk categories do not matter to me.

garrettod

Hi scearch16,

Thanks for the reply.

A cash based business such as a retailer, cafe etc. not being able to meet a monthly payment bothers me tbh. They don't carry trade debt, and should have fairly steady cashflows so assuming they were really able to service the debt on Day 1, they should be able to continue to do so unless they've gone and done something daft.

I had wondered if perhaps you'd been lending more to the "higher risk" grades perhaps, in search of higher returns, but I take it that's not the case from what you've said. Obviously longer term loans carry higher risks than shorter term loans, but in a growing economy a 3 year loan is hardly a long term/high risk imho.

sceach16

garrettod wrote: »

Hi scearch16,

Thanks for the reply.

A cash based business such as a retailer, cafe etc. not being able to meet a monthly payment bothers me tbh. They don't carry trade debt, and should have fairly steady cashflows so assuming they were really able to service the debt on Day 1, they should be able to continue to do so unless they've gone and done something daft.

I had wondered if perhaps you'd been lending more to the "higher risk" grades perhaps, in search of higher returns, but I take it that's not the case from what you've said. Obviously longer term loans carry higher risks than shorter term loans, but in a growing economy a 3 year loan is hardly a long term/high risk imho.

Basically (IMO), a 36 month loan should not go bellyup in the first 12months. The critical time is 14 to 24 months. And they do. The new rate structure makes absolutely no allowance for the additional risk premium of 36 month loans. The differential between 12 and 36 month loans is tiny.

Since I started lending, Linked have revised their rating system 4 times. In August 2015, they had a system of stars....virtually all were 4 star. they dropped this and left a void. They then introduced A/B/C/D etc with no detail asto criteria. They have recently introduced A+ etc. In no case will they stand over their ratings and make it plain that "These grades are based on the results of the Linked Finance credit evaluation process and are provided for informational purposes only. They do not constitute investment advice nor do they represent any form of guarantee from Linked Finance."
The new rates are based on a credit evaluation which they effectively disown (informational purposes ?) and a duration premium which is tiny.

I aint lending.

Wheety

I agree with scearch16. It seems to be a mess now. I have been withdrawing and not even checking for new loans now.