Harmoney

[permutation]

With over 750 Loans and a RAR of 14% I have a good idea of the way I want to structure my lending going forward. I have created a risk spread table from my current data, I will now heavily stack my investment money into B and C grades, with a sprinkling of A and D. Then ultimately E and F grades will vanish from my chart either through repayment or more write-offs, then I should see my RAR steadily increase to at least 17-18%.

Attachment 8414

So no-one has an opinion about the information I provide to possibly to help others.
I have decided to never post again on this forum!

[Snow Leopard]

So no-one has an opinion about the information I provide to possibly to help others.
I have decided to never post again on this forum!

OK - If you want to pack a sad that is fine but you should read my post with regard to individual grade RAR's first.

If it is correct, and it may well not be, then your scheme will not give you as high a return as you expect.

Bye Bye
Paper Tiger

[whitt]

So no-one has an opinion about the information I provide to possibly to help others.
I have decided to never post again on this forum!

I read it and opened attachment. Nice data , it is similar to what i already do and results are same as i found.
I have come to the realization that approx 14% is easier to achieve with just doing loans 11 to 16% rather than the wide spread of A & E etc
I tried doing higher risk loans to chase returns but a single writeoff brings it back towards 14% anyway. No point fighting it so gave up and cruise now using autolend and rules set.

[whitt]

Who has been using autolend and wants to share the criteria they use plus the results.

Here is a couple of my snapshots from Marketplace>Autolend and Marketplace>Orders ( magic wand are autoloans)

This criteria appears to give several loans ranging from 11 to 16% which I think is a fair return. As many users in this forum seem to hover about this range and 1% higher than the platform average.

Who else is keen to share criteria and results?

Attachment 8419
Screenshot_2.jpg

[Investor]

I had autolend on for two days however as a result I'm now invested in a C grade with 7 enquiries! Would rather do things manually as the amount of cash I am contributing is easily invested before the next opportunity I have to add funds arrives.

[Bjauck]

I agree with Investor, other than the old fees on principal, having your loan paid back early is good for us. And I think it lowers your default rate rather than raise it as you now got a successful loan (in that you got your money back).

Having an early repayment is definitely better than a default - if it were just a binary choice between those two outcomes. However as a non-default outcome for the loan note, I would prefer the loan to run its full term.

[Bjauck]

I had autolend on for two days however as a result I'm now invested in a C grade with 7 enquiries! Would rather do things manually as the amount of cash I am contributing is easily invested before the next opportunity I have to add funds arrives.

Autolend needs more options.

[Investor]

Autolend needs more options.

Yeah I've been meaning to contact them to suggest this. I'm sure others may of already. They may not want a near fool-proof Auto Lend filter as this may encourage further 'cherry picking' of loans and reduce their revenue

[whitt]

I had autolend on for two days however as a result I'm now invested in a C grade with 7 enquiries! Would rather do things manually as the amount of cash I am contributing is easily invested before the next opportunity I have to add funds arrives.

The six autolend loans I got are all a and b grades. All have 1 enquiry too. If you got a grade c that is merely a filter option that can be avoided. Enquires I ignore as I am yet to see hard data t show default rates on these types of people.

I am happy with my filter so far it seems to have picked quite well. Not 100% perfect but definitely better than no filter.

[Cool Bear]

Having an early repayment is definitely better than a default - if it were just a binary choice between those two outcomes. However as a non-default outcome for the loan note, I would prefer the loan to run its full term.

Yes, I would prefer the loan to run its full term too.

My point is that having a paid off loan would lower your default rate rather than increase it in reply to an (yours?) earlier post. That post implies that having an early paid off loan would mean that your money is invested in a new loan and defaults are usually in the first few months of a loan thereby increasing the default rate.

That is similar to arguing that an earlier coin toss would affect the result of a later coin toss. A lot of people think that if you get three "heads" then the next toss is likely to be a "tail". However, every toss is 50:50 regardless of what comes before.

A lot of people are confused with the probability of getting 4 heads in a row (which is before the very first toss) vs the probability of each toss which is always 50:50.