MoolahSense investing Thread

[sp1980]

I withdrew every 100 possible.
Now at fs n capital match.

Me too, FS so far all ok, but less oppoturnity..
CM only have 1 big seller with 2 debtors with very long delay payment.

 

[Simonlee1977]

Cm long payment company is?
I just started.
Haha

Me too, FS so far all ok, but less oppoturnity..
CM only have 1 big seller with 2 debtors with very long delay payment.

 

[sp1980]

Cm long payment company is?
I just started.
Haha

SANMINA and Flextronics.
Basically is from same seller.

 

[Simonlee1977]

US company.
Flextronics changing many hands n always up down.
Not sure wat happened during economic downturn.

SANMINA and Flextronics.
Basically is from same seller.

 

[sp1980]

US company.
Flextronics changing many hands n always up down.
Not sure wat happened during economic downturn.

If u activate autofunding, u have check everyday and manual remove Sanmina or Flextronics.
or else you will have fund stuck for more than 40weeks if they pay.

 

[Supersian]

All it takes is 1 failed payment to back to square.

 

[Simonlee1977]

40 weeks?
10 mths.
Then interest is for 40 weeks?

If u activate autofunding, u have check everyday and manual remove Sanmina or Flextronics.
or else you will have fund stuck for more than 40weeks if they pay.

 

[wonghw12]

40 weeks?
10 mths.
Then interest is for 40 weeks?

Was owed by one of these borrowers on Capital Match for more than 6 months. Was really scared as the amount is huge in proportion as I didn't know I could set a limit for each seller back then.

Fortunately and different from Moolahsense, the really late ones at Capital Match do eventually repay. Capital Match also imposes really high interest for repaying late. As a result, 20% of the interest I earned from this platform are due to late interest... very good upside risk here . However to take some precaution, I have limited the max amount I lend to each seller at 10% of the portfolio.

 

[Simonlee1977]

Thanks for you information.
Much appreciate.

Was owed by one of these borrowers on Capital Match for more than 6 months. Was really scared as the amount is huge in proportion as I didn't know I could set a limit for each seller back then.

Fortunately and different from Moolahsense, the really late ones at Capital Match do eventually repay. Capital Match also imposes really high interest for repaying late. As a result, 20% of the interest I earned from this platform are due to late interest... very good upside risk here . However to take some precaution, I have limited the max amount I lend to each seller at 10% of the portfolio.

 

[wonghw12]

Interestingly, MoolahSense published some statistics. Somehow they are no longer saying that their default rates are just a mere 4%...

https://www.moolahsense.com/statistics/

For loans made in 2018, the default rate is 28.46% (of which 14.82% are between 30 to 90 days due, 13.64% are more than 90 days due).

With an average rate of return of 9.9% from the 71.54% performing loans (100% less 28.46%), the average investor should be seeing an overall net loss from the 28.46% of the defaulted loans.

Wonder if default rates are higher now versus 31 Dec 2018. My portfolio has seen default rates jumping from 18 out of 60 companies (30% default rate, in-line with MoolahSense's published figures) in Dec 2018 to 23 out of 60 companies (38% default rate) currently.

 

[sp1980]

Note 1849 YI JIA SPECIALITIES PREMIUM PTE. LTD. Bankruptcy Application Poll

I willing to pay the additional legal fees.

 

[microtek]

Long ago I invested in Epicentre (Now bankrupt) and a Subway Sandwich francise. I managed to get all my money back + profits but I stopped because I felt it was too risky for a measly few $100 in profits. If they just default on ONE payment you're in the red already. And 90% of the companies I've never heard of in my life... why would you want to loan money to them? If banks don't want to lend to them they are already high risk companies.

 

[Simonlee1977]

MoolahSense initiated to poll for suing Yi jia?

Note 1849 YI JIA SPECIALITIES PREMIUM PTE. LTD. Bankruptcy Application Poll

I willing to pay the additional legal fees.

 

[RMCWMR]

Long ago I invested in Epicentre (Now bankrupt) and a Subway Sandwich francise. I managed to get all my money back + profits but I stopped because I felt it was too risky for a measly few $100 in profits. If they just default on ONE payment you're in the red already. And 90% of the companies I've never heard of in my life... why would you want to loan money to them? If banks don't want to lend to them they are already high risk companies.

Otherwise how to pay you high interest? High risk high returns. You put your money in bank you get 1-2% returns only. If you are comfortable with that then p2p is obviously not for you

 

[RMCWMR]

Interestingly, MoolahSense published some statistics. Somehow they are no longer saying that their default rates are just a mere 4%...

https://www.moolahsense.com/statistics/

For loans made in 2018, the default rate is 28.46% (of which 14.82% are between 30 to 90 days due, 13.64% are more than 90 days due).

With an average rate of return of 9.9% from the 71.54% performing loans (100% less 28.46%), the average investor should be seeing an overall net loss from the 28.46% of the defaulted loans.

Wonder if default rates are higher now versus 31 Dec 2018. My portfolio has seen default rates jumping from 18 out of 60 companies (30% default rate, in-line with MoolahSense's published figures) in Dec 2018 to 23 out of 60 companies (38% default rate) currently.

I would expect p2p having default rates of between 20-30%. These are afterall high risk loans that even banks do not want to do.

 

[sp1980]

MoolahSense initiated to poll for suing Yi jia?

Yes.. But we need pay for the legal fee.
I vote agree to sue.
Suing them is a good warning to those O$NP$ borrowers.

 

[Simonlee1977]

Wow, first time I see MoolahSense doing their job.
Pls update the cost involved if you have information.
I think soon I will received from them to poll as well.
Accise Enginnering
JSL
maybe Chongwu

Yes.. But we need pay for the legal fee.
I vote agree to sue.
Suing them is a good warning to those O$NP$ borrowers.

 

[sp1980]

Wow, first time I see MoolahSense doing their job.
Pls update the cost involved if you have information.
I think soon I will received from them to poll as well.
Accise Enginnering
JSL
maybe Chongwu

ok, i will update here..
I have accise and chongwu too.

 

[clyclycly]

Yes.. But we need pay for the legal fee.
I vote agree to sue.
Suing them is a good warning to those O$NP$ borrowers.

I actually didnt join in to sue. I do agree morally I should - but the economics doesnt work out for me.

Legal fees estimate from MS is $13,410. The cost per $100 loan range from $44.7 (for 50% participation) to $22.35 (for 100% participation).

It's a bankruptcy filing so it really depends on how much can I expect to recover. Assuming 100% participation and 100% recovery (a big IF), ignoring late interests etc, roughly I'm betting $22.35 to make $100-22.35=$77.65. Approx 1:3.5 bet. And that assumes 100% recovery, no additional legal cost (which MS says is possible) and the process can take years (I have a personal case involving a $100k late payment from a business contact that is taking 2.5 years and counting ...)

I really want to punish these scammers, I really want to. But as I'm in the process of pulling out of MS I decided not to throw good money after bad money.

Good luck to all that decides to join in tho!

 

[clyclycly]

I would expect p2p having default rates of between 20-30%. These are afterall high risk loans that even banks do not want to do.

Man, if the expected default rate is 20-30%, since most p2p platforms only pay 10-18% interest, in the long run we definitely will lose. We should all pull out ...