Author Topic: non issued loans are wasting my time  (Read 17870 times)

Dennis

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Re: non issued loans are wasting my time
« Reply #15 on: July 31, 2013, 09:39:55 AM »
It's the last day of the month and I now have 103 notes in review.  Out of all those, with some in review for weeks, only 1 note got issued today (July 31).  So now I expect a flood of issuance on Thursday and Friday (August 1 and 2).  Looks like LC may be gaming their origination process in an effort to even out their month to month growth numbers. 

brycemason

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Re: non issued loans are wasting my time
« Reply #16 on: July 31, 2013, 11:37:04 AM »
This is what I proposed a while back. Expect a ton of issued notes tomorrow and Friday.

Dennis

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Re: non issued loans are wasting my time
« Reply #17 on: July 31, 2013, 01:15:27 PM »
This is what I proposed a while back. Expect a ton of issued notes tomorrow and Friday.

What bothers me about this, is now a ton of payments from borrowers will hit on the first few days of the month while the rest of the month not much happens.  I purposely spread my purchasing out so I could have a more balanced payment schedule.  That's especially important when it comes to monitoring late payers.  Now everything will be lumped into the first few days of every month.

core

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Re: non issued loans are wasting my time
« Reply #18 on: July 31, 2013, 01:32:53 PM »
What bothers me about this, is now a ton of payments from borrowers will hit on the first few days of the month while the rest of the month not much happens.

Hmmmm... maybe file a complaint with the SEC and get them busted for pre-IPO stock price manipulation so your payment dates aren't so unbalanced?  Or is that overkill?

TonySaunders

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Re: non issued loans are wasting my time
« Reply #19 on: July 31, 2013, 01:53:04 PM »
I have notes that were issued on the 19th, 24, 25, 26, 29, 30, and 31st. But I also have like 100 "approved" notes that date back as far as the 19th.

My experience as a borrower on LC is that they fund the loan lightning fast into my bank account, (scarily fast actually). But the process involves the borrower having to be responsive and fill certain requirements. I wonder if "approved" status doesn't necessarily mean that LC is free to issue the note at any time, maybe it means that they are just waiting for borrowers to follow through on their end, and the loan has to wait until they do. It does seem strange to call a loan "approved" if it still requires something.

EDIT: Or maybe these loans actually HAVE been funded, and they are earning interest, but their official status in the database isn't updated. Has anyone checked for that? It takes LC longer than a week to process a payment sometimes, maybe it just takes a while to process a new loan.
« Last Edit: July 31, 2013, 01:59:56 PM by TonySaunders »

LonghornSF

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Re: non issued loans are wasting my time
« Reply #20 on: July 31, 2013, 01:55:46 PM »
What bothers me about this, is now a ton of payments from borrowers will hit on the first few days of the month while the rest of the month not much happens.

Hmmmm... maybe file a complaint with the SEC and get them busted for pre-IPO stock price manipulation so your payment dates aren't so unbalanced?  Or is that overkill?

Doubtful the SEC will ever doing anything about it. It sure will be interesting to look at LC's prospectus when they file for their IPO. I'm sure they will prominently display the "total loan issuance" chart that has the ever-so-smooth, and exponentially growing, chart of monthly loan originations.

FWIW, I did have two loans issue today.

brycemason

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Re: non issued loans are wasting my time
« Reply #21 on: July 31, 2013, 02:37:59 PM »
It could also be the case that borrowers want the origination date to be the 1st or the 15th.

LonghornSF

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Re: non issued loans are wasting my time
« Reply #22 on: July 31, 2013, 05:06:27 PM »
It could also be the case that borrowers want the origination date to be the 1st or the 15th.

Do they have the option to set their payment date when the take the loan? I have to admit I don't know much about LC's platform from the borrower's perspective.

Bilgefisher

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Re: non issued loans are wasting my time
« Reply #23 on: August 01, 2013, 09:46:52 AM »
I actually prefer they originate on the 1st or 15th.  I don't want to be at the end of their paycheck but have the loans come out right after borrowers are generally paid. 

I see two issues that can be alleviated by scrubbing the loans first.  The two week delay on issuing notes and the large volume of notes that investors put money into only to have that money returned for some fault with the borrower.

I have had several notes that sit waiting for two weeks only to be canceled.  I reinvest that money and the same thing happens two weeks later.  Now I have a full month were my money sat idle.  It has happened on more than a few occasions.

If hope lending club does not do this just to give the appearance of a large volume of loans.

JDowding

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Re: non issued loans are wasting my time
« Reply #24 on: August 01, 2013, 11:20:26 AM »
I'll be happy when I get my initial IRA deposit invested and only have to worry about reinvesting the payments.  The last two months have been frustrating.

I agree it's painful getting a large amount (IRA) started through the system, but after one month I'm about 85% invested.    My non-IRA account that I've had for a year stays at only ~96 percent invested, so I don't think I'm that far off.

MTaylor

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Re: non issued loans are wasting my time
« Reply #25 on: August 01, 2013, 01:51:50 PM »
If hope lending club does not do this just to give the appearance of a large volume of loans.

Yes, so when it looks as if there are 300 loans available on the platform, it's actually only 150-200 that will eventually be issued.

Apart from loans where the borrower changes their mind, I also see no reason LC can't complete the verification process prior to listing the loans. That way what you see will be real loans, not a crapshoot.

TonySaunders

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Re: non issued loans are wasting my time
« Reply #26 on: August 01, 2013, 03:19:08 PM »
Wow! I don't know if it's because LC wants to work their numbers or because borrowers want their payment to be on the 1st, but I had about 4.5 times as many notes issue today (the 1st) than usual.

Dennis

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Re: non issued loans are wasting my time
« Reply #27 on: August 01, 2013, 03:30:18 PM »
Wow! I don't know if it's because LC wants to work their numbers or because borrowers want their payment to be on the 1st, but I had about 4.5 times as many notes issue today (the 1st) than usual.

I had 28 of my 100+ "In Review" notes issue today.  I expect a similar number tomorrow and perhaps on Monday too.  Prior to today, I'd get maybe 1 or 2 notes issued a day, on average, for the last 2 weeks.  The highest issuance day that I recall was about a week ago when I had 5 issue in 1 day.  Like I said above, I believe LC to be gaming their origination process in an effort to steady their flow of month to month volume.

LonghornSF

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Re: non issued loans are wasting my time
« Reply #28 on: August 01, 2013, 05:40:14 PM »
Yep I too had a huge issuance volume today. What a coincidence    :o

Rob L

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Re: non issued loans are wasting my time
« Reply #29 on: August 01, 2013, 05:44:27 PM »
I had about 30 of 120 issue today; about $2k of the $6k that was "in review" yesterday.
« Last Edit: August 01, 2013, 05:55:47 PM by Rob L »