Lend Academy Network Forum

Lending Club Discussion => Investors - LC => Topic started by: rj2 on March 07, 2019, 11:18:42 PM

Title: Available Cash -$1.49
Post by: rj2 on March 07, 2019, 11:18:42 PM
Ok, it's only $1.49, but how is it that the available cash in my LC account can ever be negative?

I looked through the recent activity and didn't see anything unusual. I bought some notes on the secondary market, as well as some directly through LC's API, got paid some interest, etc.

Anyone else seen this? I guess the next interest payment I receive will wipe it out but I'm kind of curious how it can happen.
Title: Re: Available Cash -$1.49
Post by: rj2 on March 07, 2019, 11:31:30 PM
OK, and more weirdness.

For loan 54885881 there is a pending payment of $0.53 for 3/5/19. When I look at my activity history for 3/6/19 I see that pending payment as -$0.53 whereas on 3/5/19 it's there as +$0.53

So it looks like on the 5th they credited my account 53 cents, and on the 6th they took it back. In the meantime they let me spend that money (and some others) and my account somehow ended up then with a negative balance.

I guess that's an explanation, but it doesn't seem like they should be crediting money to me that they haven't actually received. Weird.
Title: Re: Available Cash -$1.49
Post by: lascott on March 08, 2019, 12:03:15 AM
OK, and more weirdness.

For loan 54885881 there is a pending payment of $0.53 for 3/5/19. When I look at my activity history for 3/6/19 I see that pending payment as -$0.53 whereas on 3/5/19 it's there as +$0.53

So it looks like on the 5th they credited my account 53 cents, and on the 6th they took it back. In the meantime they let me spend that money (and some others) and my account somehow ended up then with a negative balance.

I guess that's an explanation, but it doesn't seem like they should be crediting money to me that they haven't actually received. Weird.
I am seeing some of this too.
Title: Re: Available Cash -$1.49
Post by: Fred93 on March 08, 2019, 12:11:52 AM
I see negative account balances quite often.

Each evening, LC subtracts fees from your account balance and then a bit later adds payments into your account balance.  If you start with a small account balance, your balance can be negative for few hours in between these events. 
Title: Re: Available Cash -$1.49
Post by: mrwhizzard on March 08, 2019, 11:49:21 AM
I guess that's an explanation, but it doesn't seem like they should be crediting money to me that they haven't actually received. Weird.

This seems like the change to the payment process that started on Feb 12. From the LC help page (https://help.lendingclub.com/hc/en-us/articles/215481958-How-are-borrower-payments-received-?utm_source=internal&utm_medium=email&utm_campaign=inv_txn_clawback_all):

Quote
Effective February 12, 2019, when borrowers make payments, LendingClub applies the applicable portion to investor accounts within one business day, versus the former transfer time of up to 5 business days. By reducing the payment transfer period, investors:
...
May see “reverse payment” transactions, reflecting failed payments from borrowers.
...
Therefore, in rare cases, you may see a payment deposited and later reversed. Payments that fail after they’re deposited into investor accounts will appear as negative line items on investor statements.
...
May experience negative ending cash balances in certain circumstances, which will be reflected on their statements.