Author Topic: Kind of bittersweet these last few days...  (Read 3255 times)

dr.everett

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Kind of bittersweet these last few days...
« on: November 08, 2017, 07:52:22 PM »
So these last few days have been kind of bittersweet given all the things going on with lending club. The earnings announcement, the changes to lending models.  For the first few years lending club seemed like it was going to be the next hot thing. I no longer think that. With only a few thousand dollars left in my taxable account to liquidate, and my Ira account down to 50% left, I'm very close to being done with lending club.

I made my first transfer into Fundrise yesterday. Other than the fact that the transfer from SDIRA services took a long time, my lending club Ira money is now at its new home.  I know what to expect with the next transfer, and following transfers.

While I won't be lending money through lending club, I still will be involved with lending club via it's stock. Luckily had some money ready to take advantage of the recent stock price drop. 😉

Here's to hoping the stock price goes up, and lending club figures out what's wrong with their current returns.

jd

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Re: Kind of bittersweet these last few days...
« Reply #1 on: November 08, 2017, 08:11:18 PM »
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the changes to lending models

Was there a change outside of the two Class As? 

Rob L

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Re: Kind of bittersweet these last few days...
« Reply #2 on: November 08, 2017, 08:13:18 PM »
I'm confused. Leaving LC as an individual lender yet investing in LC stock seems incongruous.
How does one rationalize the disparity?

jameslend

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Re: Kind of bittersweet these last few days...
« Reply #3 on: November 09, 2017, 02:41:19 PM »
So these last few days have been kind of bittersweet given all the things going on with lending club. The earnings announcement, the changes to lending models.  For the first few years lending club seemed like it was going to be the next hot thing. I no longer think that. With only a few thousand dollars left in my taxable account to liquidate, and my Ira account down to 50% left, I'm very close to being done with lending club.

I made my first transfer into Fundrise yesterday. Other than the fact that the transfer from SDIRA services took a long time, my lending club Ira money is now at its new home.  I know what to expect with the next transfer, and following transfers.

While I won't be lending money through lending club, I still will be involved with lending club via it's stock. Luckily had some money ready to take advantage of the recent stock price drop. 😉

Here's to hoping the stock price goes up, and lending club figures out what's wrong with their current returns.

How are you minimizing the IRA transfer fee? It's a $100 pop right? Plus the $100 yearly when you get there.

dr.everett

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Re: Kind of bittersweet these last few days...
« Reply #4 on: November 09, 2017, 09:23:03 PM »
I'm confused. Leaving LC as an individual lender yet investing in LC stock seems incongruous.
How does one rationalize the disparity?

LC's  stock seems to have a relatively predictable cycle of about two dollars plus or minus. I've been lucky enough to catch the last couple of cycles and make a small amount of money on a small stock investment. Beyond that I agree with you and will be carefully watching  how things go moving forward. Others on the board have advised me to be very careful and I'm taking that advice.

dr.everett

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Re: Kind of bittersweet these last few days...
« Reply #5 on: November 09, 2017, 09:24:04 PM »
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the changes to lending models

Was there a change outside of the two Class As?

 Yes, lending club is no longer offering F and G loans.

dr.everett

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Re: Kind of bittersweet these last few days...
« Reply #6 on: November 09, 2017, 09:26:21 PM »
So these last few days have been kind of bittersweet given all the things going on with lending club. The earnings announcement, the changes to lending models.  For the first few years lending club seemed like it was going to be the next hot thing. I no longer think that. With only a few thousand dollars left in my taxable account to liquidate, and my Ira account down to 50% left, I'm very close to being done with lending club.

I made my first transfer into Fundrise yesterday. Other than the fact that the transfer from SDIRA services took a long time, my lending club Ira money is now at its new home.  I know what to expect with the next transfer, and following transfers.

While I won't be lending money through lending club, I still will be involved with lending club via it's stock. Luckily had some money ready to take advantage of the recent stock price drop. 😉

Here's to hoping the stock price goes up, and lending club figures out what's wrong with their current returns.

How are you minimizing the IRA transfer fee? It's a $100 pop right? Plus the $100 yearly when you get there.

 I waited until I had a large transfer ready. Turns out the transfer fee is only $25. I realize there is a yearly fee, but what I'll make during that year will more than cover the yearly cost.

jameslend

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Re: Kind of bittersweet these last few days...
« Reply #7 on: November 09, 2017, 09:51:52 PM »
So these last few days have been kind of bittersweet given all the things going on with lending club. The earnings announcement, the changes to lending models.  For the first few years lending club seemed like it was going to be the next hot thing. I no longer think that. With only a few thousand dollars left in my taxable account to liquidate, and my Ira account down to 50% left, I'm very close to being done with lending club.

I made my first transfer into Fundrise yesterday. Other than the fact that the transfer from SDIRA services took a long time, my lending club Ira money is now at its new home.  I know what to expect with the next transfer, and following transfers.

While I won't be lending money through lending club, I still will be involved with lending club via it's stock. Luckily had some money ready to take advantage of the recent stock price drop. 😉

Here's to hoping the stock price goes up, and lending club figures out what's wrong with their current returns.

How are you minimizing the IRA transfer fee? It's a $100 pop right? Plus the $100 yearly when you get there.

 I waited until I had a large transfer ready. Turns out the transfer fee is only $25. I realize there is a yearly fee, but what I'll make during that year will more than cover the yearly cost.

Oh were you doing wires instead of a partial termination?

dr.everett

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Re: Kind of bittersweet these last few days...
« Reply #8 on: November 09, 2017, 11:15:08 PM »
Not sure exactly how they considered it- I'd called them to ask about what the process would be, explained what I wanted to do, and was told it was only $25. I transferred from LC to SDIRA the amount I wanted to transfer + $25 and everything was done.

I still have a sizable chunk left to sell/transfer- my plan is to get down to $10K and then see how many notes I have left late, etc. I haven't decided yet what the final transfer will be as I think I probably have at least till the end of the year, if not into Mar/Apr 2018 before my remaining IRA notes will sell. It'll be another big transfer when it happens.

Rob L

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Re: Kind of bittersweet these last few days...
« Reply #9 on: November 10, 2017, 09:21:37 AM »
Not sure exactly how they considered it- I'd called them to ask about what the process would be, explained what I wanted to do, and was told it was only $25. I transferred from LC to SDIRA the amount I wanted to transfer + $25 and everything was done.

I still have a sizable chunk left to sell/transfer- my plan is to get down to $10K and then see how many notes I have left late, etc. I haven't decided yet what the final transfer will be as I think I probably have at least till the end of the year, if not into Mar/Apr 2018 before my remaining IRA notes will sell. It'll be another big transfer when it happens.

Guess I'll have to call and talk to them next time I'm ready to transfer IRA money from LC to SDIRA. Must have missed something. They charged me $100 last time (I've only done it once).

jameslend

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Re: Kind of bittersweet these last few days...
« Reply #10 on: November 14, 2017, 02:52:38 AM »
Not sure exactly how they considered it- I'd called them to ask about what the process would be, explained what I wanted to do, and was told it was only $25. I transferred from LC to SDIRA the amount I wanted to transfer + $25 and everything was done.

I still have a sizable chunk left to sell/transfer- my plan is to get down to $10K and then see how many notes I have left late, etc. I haven't decided yet what the final transfer will be as I think I probably have at least till the end of the year, if not into Mar/Apr 2018 before my remaining IRA notes will sell. It'll be another big transfer when it happens.

Guess I'll have to call and talk to them next time I'm ready to transfer IRA money from LC to SDIRA. Must have missed something. They charged me $100 last time (I've only done it once).

i think it's just leaving SDIRA. LC -> SDIRA is free IIRC.

Rob L

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Re: Kind of bittersweet these last few days...
« Reply #11 on: November 14, 2017, 09:51:13 AM »
Not sure exactly how they considered it- I'd called them to ask about what the process would be, explained what I wanted to do, and was told it was only $25. I transferred from LC to SDIRA the amount I wanted to transfer + $25 and everything was done.

I still have a sizable chunk left to sell/transfer- my plan is to get down to $10K and then see how many notes I have left late, etc. I haven't decided yet what the final transfer will be as I think I probably have at least till the end of the year, if not into Mar/Apr 2018 before my remaining IRA notes will sell. It'll be another big transfer when it happens.

Guess I'll have to call and talk to them next time I'm ready to transfer IRA money from LC to SDIRA. Must have missed something. They charged me $100 last time (I've only done it once).

i think it's just leaving SDIRA. LC -> SDIRA is free IIRC.

Yes, I misspoke and that's my experience; LC -> SDIRA is free (and easy). SIDRA -> another custodian is not free (was $100 for me).
Personally since I plan no future LC investments I move cash from LC to SDIRA a few thousand at at time and let it accumulate there. I think the cash is marginally safer sitting in my SDIRA account than sitting in LC. That might sound paranoid but who ever thought the money market buck could ever be broken (hint; at least one person).

jameslend

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Re: Kind of bittersweet these last few days...
« Reply #12 on: November 14, 2017, 11:28:21 AM »
Not sure exactly how they considered it- I'd called them to ask about what the process would be, explained what I wanted to do, and was told it was only $25. I transferred from LC to SDIRA the amount I wanted to transfer + $25 and everything was done.

I still have a sizable chunk left to sell/transfer- my plan is to get down to $10K and then see how many notes I have left late, etc. I haven't decided yet what the final transfer will be as I think I probably have at least till the end of the year, if not into Mar/Apr 2018 before my remaining IRA notes will sell. It'll be another big transfer when it happens.

Think that will be my strat also. At least in the SDIRA account you can invest in other stuff.

Guess I'll have to call and talk to them next time I'm ready to transfer IRA money from LC to SDIRA. Must have missed something. They charged me $100 last time (I've only done it once).

i think it's just leaving SDIRA. LC -> SDIRA is free IIRC.

Yes, I misspoke and that's my experience; LC -> SDIRA is free (and easy). SIDRA -> another custodian is not free (was $100 for me).
Personally since I plan no future LC investments I move cash from LC to SDIRA a few thousand at at time and let it accumulate there. I think the cash is marginally safer sitting in my SDIRA account than sitting in LC. That might sound paranoid but who ever thought the money market buck could ever be broken (hint; at least one person).

dr.everett

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Re: Kind of bittersweet these last few days...
« Reply #13 on: November 21, 2017, 12:02:10 AM »
More on the bittersweet feelings. My taxable account is now down to about 200 notes, total of about $2k left. The remainders are Late notes that probably will not sell and will eventually charge off, along with about 50-ish current notes. Now all that's left is letting it finish winding down. I'll continue to discount what's remaining up to a point, but nothing to incur any significant losses.

My IRA account is winding down- starting to increase the discount gradually to keep the notes selling there. Given what I've seen liquidating both accounts, I think I may be done around March/April 2018 timeframe. Learned a lot doing this. Especially patience.

The liquidation journey has been interesting- I looked at the numbers a few days ago and managed to turn a significant loss into a small profit. Taxes will surely be interesting in a few months as well. (Not looking forward to that...)

Fundrise is up and running and I know what to do when the next (final) batch is ready.

LC Stock is on it's way back up- yeah- looking forwards to a $2-3 swing. Gotta end a somewhat depressing post on a high note. ;)

Good luck to all still here- I try to check things out still from time to time. May still come back in the future if things change. The IRA will stay put, but the "mad" money may return if/when the winds change for the better.

lascott

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Re: Kind of bittersweet these last few days...
« Reply #14 on: November 22, 2017, 11:35:16 PM »
...
My IRA account is winding down- starting to increase the discount gradually to keep the notes selling there. Given what I've seen liquidating both accounts, I think I may be done around March/April 2018 timeframe. Learned a lot doing this. Especially patience.

The liquidation journey has been interesting- I looked at the numbers a few days ago and managed to turn a significant loss into a small profit. Taxes will surely be interesting in a few months as well. (Not looking forward to that...)
...
Re: Tax comment --- is your IRA a traditional?  If you had a ROTH IRA is there *no* tax implications of selling on folio? Meaning no reporting or tax implications?  Asking for a friend (ok, actually for my kids ROTH IRA acct)
Tools I use: (main) BlueVestment: https://www.bluevestment.com/app/pricing + https://www.interestradar.com/ , (others) Lending Robot referral link: https://www.lendingrobot.com/ref/scott473/  & Peercube referral code: DFVA9Y