Author Topic: Retail Loan Availability  (Read 6107 times)

Rob L

  • Hero Member
  • *****
  • Posts: 2119
    • View Profile
Re: Retail Loan Availability
« Reply #15 on: June 12, 2016, 02:00:22 PM »
To follow up on the previous post, the relationship between YTM, markup/discount, payments remaining and service fee is an interesting one.
I had my YTM "playground" spreadsheet open when I sat down this afternoon so I decided to throw together a graph.
It provides some background to the "and it's downhill every payment from there" comment above. FWIW, here it is.


  • Newbie
  • *
  • Posts: 49
    • View Profile
Re: Retail Loan Availability
« Reply #16 on: June 14, 2016, 11:02:02 PM »
With all the loans not getting funded on the fractional platform, I don't blame LC for giving the whole loan program the first crack at new loans.

There are currently 85% of loans unfunded W loans vs. 15% of loans unfunded f loans. So it's not like the institutional are making a dent in their whole loan program. The reason they switched to whole loans is because they are more desperate to sell them. Selling them as w requires only 1 investor versus a f may more more than 1 investor....So even though it is likely f loans have a better funding record then w(s), they are probably going to continue the trend until they dump all the May loans they own.