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Post by quidsaveblue2003 on Mar 6, 2019 22:03:06 GMT
Update just gone up. As expected: little progress, opening delayed, reviewing next steps. Disappointing but sadly predictable. I urge MT to take control and either get the owners to work to them to finish the project or place the company in administration and get the asset(s) sold. Given that the recent verbal valuation for the building was £5m then surely it is possible to raise the £2.5m + costs + outstanding interest in auction. 1. "either get the owners to work to them to finish the project", --------- If MT was able to do this, they had already pushed the borrower to do so. 2. "Given that the recent verbal valuation for the building was £5m " -------- Do you believe this valuation? I don't. A £5m worth project could not even get a proper valuation report.
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Post by mrclondon on Mar 6, 2019 22:14:50 GMT
Maybe p2p platforms should be upfront in defining the cost of monitoring surveyors to report on projects .... do without and receive 13% and take the risk the borrower will procrastinate for 18 months, or accept 11% and have the comfort that once a month every month an independent pair of eyes will re-evaluate the project.
Unfortunately too many borrowers interpret the lack of monitoring by their lender (i.e. the p2p platform) as an excuse to get away with submitting fiction when asked for an update. Its caught all platforms out, borrowers should need to prove they can be trusted.
In this case I simply can not comprehend how it could have been believed that the centre would be opening a few weeks after the loan originally drew down. It concerns me greatly that p2p platform T&C's put the onus on lenders to do their own due dilligence, but in the absense of independent monitoring we have no means of understanding the true situation.
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justme
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Post by justme on Mar 6, 2019 23:07:26 GMT
Well believing it would open tomorrow , a couple of weeks after another chat with MT and after all other wildly missed promises is even more incredible than believing it would open originally when stated. My guess MT tries to earn some brownie points with some positive stuff ( new loans filling , chocolate distributed etc) before accepting this one is a lost cause
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Post by queenvictoria on Mar 7, 2019 7:08:16 GMT
Disappointing but sadly predictable. I urge MT to take control and either get the owners to work to them to finish the project or place the company in administration and get the asset(s) sold. Given that the recent verbal valuation for the building was £5m then surely it is possible to raise the £2.5m + costs + outstanding interest in auction. 1. "either get the owners to work to them to finish the project", --------- If MT was able to do this, they had already pushed the borrower to do so. 2. "Given that the recent verbal valuation for the building was £5m " -------- Do you believe this valuation? I don't. A £5m worth project could not even get a proper valuation report. 1. ' take control and get the owners to work to them......' is the difference. Up to now the borrower has been in charge. I am suggesting that one option is to agree with the borrower that MT will take charge but the borrower completes the work under the control of MT. This would be quicker than formal administration and may work if the borrower is willing and is motivated to get some value out of the project rather than see it all lost. 2. The £5m valuation may well be fanciful but the original valuation was £4m+. We probably need c£3m to cover the loans, interest and fees. My point was this may be achievable in auction.
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stokeloans
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Post by stokeloans on Mar 7, 2019 11:22:44 GMT
/mod hat off
In my opinion that point (mugness) was passed the first time the borrower lied to us.
When he applied for the loan you mean 😊
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Post by GSV3MIaC on Mar 7, 2019 15:56:35 GMT
/mod hat off
In my opinion that point (mugness) was passed the first time the borrower lied to us.
When he applied for the loan you mean 😊
No, the first time it became blinding obvious he/she/it was lying to us .. ISTR that was something to do with funds coming in from a Swiss pension account or similar.
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stokeloans
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Post by stokeloans on Mar 8, 2019 9:46:20 GMT
When he applied for the loan you mean 😊
No, the first time it became blinding obvious he/she/it was lying to us .. ISTR that was something to do with funds coming in from a Swiss pension account or similar.
Was there ever any intention of opening an antiques centre ? I think not,else they would have done so a long time ago,got some income and then they wouldn't have needed loan extensions. Don't forget this was supposedly close to opening 18 months ago.
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Post by funkymonkey on Mar 8, 2019 11:20:01 GMT
Do the borrower's intentions matter? So long as the security is sufficient to cover the loan and interest in the end then I'm happy.
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invester
P2P Blogger
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Post by invester on Mar 8, 2019 11:28:07 GMT
That seems to be the trap the platforms fell into, ie 'it's all about the security'...
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stokeloans
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Post by stokeloans on Mar 8, 2019 11:30:02 GMT
Do the borrower's intentions matter? So long as the security is sufficient to cover the loan and interest in the end then I'm happy. And how many times have we seen the security to be insufficient
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Post by Badly Drawn Stickman on Mar 8, 2019 11:33:09 GMT
Do the borrower's intentions matter? So long as the security is sufficient to cover the loan and interest in the end then I'm happy. I think they do to an extent, bad borrowers usually end in bad outcomes all round. I'm not convinced there is an easy recovery process on this property.
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keystone
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Post by keystone on Mar 8, 2019 14:08:47 GMT
We've all been taken for fools, there doesn't seem to have been any substantial progress over the last 18 months.
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Post by queenvictoria on Mar 8, 2019 16:07:36 GMT
Do the borrower's intentions matter? So long as the security is sufficient to cover the loan and interest in the end then I'm happy. But you have to be able to liquidate the security and that is not always easy. In this case I would think it will be tricky and possibly time consuming which may be a reason why MT have not been more demanding of him. With the benefit of hindsight, the loan reads like a pup right back the original description but only 18 months ago we were all so much more gung-ho about P2P that we didn't really read it, we just piled in.
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cedarcourtcapital
Member of DD Central
Listening is not the same as understanding
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Post by cedarcourtcapital on Mar 8, 2019 16:40:01 GMT
We've all been taken for fools, there doesn't seem to have been any substantial progress over the last 18 months. How have 'we' been taken for fools over the 18 months? You could make the case for us being taken in when the loan launched, but back them we perceived MT would not bring us a crock, but we did lend. You can most certainly make the case that MT have been played for fools, because they gave too much credence to what they were told would happen, rather than recognising what was actually happening. Anyone who has put their loan holding up for sale on the secondary market has been no fool. This was the only action lenders could take, it is not their fault that MT did not pull the plug earlier.
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Post by queenvictoria on Mar 8, 2019 17:10:00 GMT
We've all been taken for fools, there doesn't seem to have been any substantial progress over the last 18 months. How have 'we' been taken for fools over the 18 months? You could make the case for us being taken in when the loan launched, but back them we perceived MT would not bring us a crock, but we did lend. You can most certainly make the case that MT have been played for fools, because they gave too much credence to what they were told would happen, rather than recognising what was actually happening. Anyone who has put their loan holding up for sale on the secondary market has been no fool. This was the only action lenders could take, it is not their fault that MT did not pull the plug earlier. Yes, I agree. We were fools to invest but we since then we have been pretty limited in what we can do. All that has been open to us is to 1. List for sale on the secondary market 2. Write directly to MT and 3. Protest and make constructive comment here. I have done all those things to no avail and I think now I am the mercy of MT, the borrower and the market. Other constructive suggestions gratefully considered
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