Harmoney

[777]

I deduct the service fees(expense against revenue) but in my opinion the write offs are not deductible.

However you need to keep records yourself as the total service fees already cover two tax years.I believe Harmony should inform you what the service fee total for tax year when they raise the tax certificate. I had to ask for the figure for the last financial tax year.

[Darchie]

I see they are down - mind you I was in process of doing a balance and saw that they were a bit light with their service fee - and yes I have deducted off the "Yellow" loans - those that can out within the consumer 7 day cool off period.

There is quite a lot around these re-written loans that concern me as an invester - as it does appear that Harmoney is extremely active with their promotion of 'top-ups' to their borrowers.

I have four loans that paid Harmoney back on the 17th (now the 25th) and still Harmoney has not passed these funds over to me! - they are saying that there is a glitch within their system and some investers are affected! and they only seem to know which investers these are - "only when the invester rings in!!!" this really instills confidence doesn't it?

Have popped in as a test 40K so far - unfortunately in hind-sight I should have drip feed it in - that way I could have peppered it across many more offerings! but - with all these DREADFUL re-writes I will have a choice at that stage of peppering or actually starting the withdraw process - as I am annoyed that Harmoney ARE clipping that Ticket many Many Times Over. I would like to know the FULL number each borrower has actually topped up - I'd say over time it'll be quite frequently that this'll occur!

I understand that many have been hammering Harmoney for more transparency and they are in the throws of being close to releasing more features on their site - mind you their site needs to be able to handle current traffic!

Squirrel Money turned me cold when I combed it - Bring on LendMe now that is one that is looking a better one to go hand in hand with a wee dabble on Harmoney. Be interested once a thread gets underway on that - it has a beta version running now and plans to go live at beginning of December.

Oh and another aspect I have talked with Harmoney about is with a loan that is re-written and is fully funded - Harmoney then pays out the previous lot of investers - I asked how long does that money sit in their system and I was told about a week! (and I've fould they always estimate shorter times that actually happen!) OMG this is not funds they can say are held up by the bank in Trust Accounts with DD clearance - this delay is being put down to that the credit back to the many investers is done manually!!! how can that be in a fully computerised system! I say: a porky or two - or is it once again once an invester is inside the system the rosy glasses are removed!

[Bjauck]

I deduct the service fees(expense against revenue) but in my opinion the write offs are not deductible.

However you need to keep records yourself as the total service fees already cover two tax years.I believe Harmony should inform you what the service fee total for tax year when they raise the tax certificate. I had to ask for the figure for the last financial tax year.

Thanks. I would have thought Harmoney would have sought a ruling from Inland Revenue on the deductibility of "service fees" and "charge offs" as it would be relevant to many individuals investing with them. This information should be freely available from their site and end of tax year statements from Harmoney should also include service fees and write off figures.

Addendum: As opposed to the last time I emailed them about charge-offs, I actually got a reply from Investor enquiries: " For charged off principal ....The IRD has not given us a definitive answer to this question. You'll have to consult your tax advisor or accountant. We have some customer’s using this as a deductible expense and others waiting for a formal response...."

I wonder when they will get a definitive response as they have now been in business for many months...

[Saamee]

Anyone Else Ever Considered that Just Maybe Harmoney Uses a Few "Fakes Loans"??

I have now invested in just over 200 individual loans with Harmoney.

Just this week 3 have been repaid just a little after 1 Month of being instigated.

I recall back when investing around that time that on a particular Saturday many many of the loans had almost the same borrower criteria ( like a copy and past action! ) same words, same amount, same term length, same eranings maybe just a different south island location!

Just wondering? Harmoney would most likely earn more through the service fee than paying out 1 months inetrest??

[christheinvestor]

I'm struggling to understand the charge-off policy. I had one loan charged off after about 2-3 months without payment. I have another that hasn't had a payment since July and is still sitting in arrears. Unfortunately Harmoney's incentives aren't aligned with their investors', so I won't be continuing to invest with these guys.

[Marque]

I'm struggling to understand the charge-off policy. I had one loan charged off after about 2-3 months without payment. I have another that hasn't had a payment since July and is still sitting in arrears. Unfortunately Harmoney's incentives aren't aligned with their investors', so I won't be continuing to invest with these guys.

Would be great if Harmoney were allowed to join and answer any questions rather than going through the contact us page on their website and wait for an answer.

Users could pool their questions and set up a time for a Q&A. Thoughts?

In the meantime a new player entered the market today - LendMe with 'soft launch'

[christheinvestor]

Got a response about my two loans (one charged off quickly, the other with last payment in July):

LAI-00004967 - Filed bankruptcy

LAI-00004733 - There has been contact with the borrower with tentative agreements to pay. They're going through financial difficulty but they're demonstrating at least a willingness to pay when their circumstances improve.

[winner69]

LAI-00004733 - There has been contact with the borrower with tentative agreements to pay. They're going through financial difficulty but they're demonstrating at least a willingness to pay when their circumstances improve.

Makes you wonder how bad the thousands who don't make it through the first gate must be

Was this a E or F loan?

[WingingIt]

Looks like they decided to just go on the Honeymoon and not continue with their repayment obligations.
Harmoney1.JPGHarmoney3.JPG

[Lewylewylewy]

I wouldn't have funded that - I don't fund anyone who isn't capable of basic spelling, grammar or syntax. If they can't be bothered to write one sentence correctly to explain what they want to borrow my money for, that's a no in my books.

Also, has anyone noticed that loan descriptions often don't match the loan type these days?

Personally, I'm exiting from Harmoney. I don't have confidence in it (borrowers or the company).