Harmoney

[Halebop]

How many loans are up all the platform at once? Could you spread for example $50K across a decent number of loans to minimise the default risk/exposure?

Not many at any moment in time but there is fairly regular movement in terms of completing financing of individual loans and new offers arriving. If you believe the numbers they stated in various media blurbs it implies they have completed 1,400+ loans since start up ($20m in loans, $14,000 average).

If you wanted to invest $50,000 it might take a while depending upon your risk tolerance. I note Harmoney recommend you purchase no more than 10% of a loan but would suggest unless you are investing millions this would represent an unwise degree of concentration risk for sums like $50,000. Think wiser to take your time and buy into hundreds to allow more room for the pricing vs default statistics to work as designed.

I've been buying into many loans at small values on behalf of my partner to achieve wide diversification since there is no control or visibility of the underwriting/risk assessment process. Based upon desired criteria have over 6 weeks bought into 70 or so loans so far. We intend to continue purchases at the same sort of pace for 3 years assuming the numbers and Harmoney (and their assessment process!) performs as expected.

[noodles]

What's the tax situation for lenders? Do Harmoney deal with the RWT? Is it tax free?

[Halebop]

What's the tax situation for lenders? Do Harmoney deal with the RWT? Is it tax free?

They have a similar process to banks - you specify the with-holding tax or prove to them why you should be zero rated.

[Cricketfan]

I just signed up today and tried to invest a small amount, but apparently there aren't enough loans on the marketplace. Is that a sign of not many borrowers, or has the recent media attention created a flood of investors? I hope it's not normally this hard to find loans to invest in!

[Harvey Specter]

I just signed up today and tried to invest a small amount, but apparently there aren't enough loans on the marketplace. Is that a sign of not many borrowers, or has the recent media attention created a flood of investors? I hope it's not normally this hard to find loans to invest in!

There is over a page of loans currently which is good for them - have very rarely seen 3 pages and have had them run out completely. I understand they drip feed them to the market so as those get taken up, they will be replaced.

Of the 2 pages currently, only 2 meet my criteria.

[Cricketfan]

There is over a page of loans currently which is good for them - have very rarely seen 3 pages and have had them run out completely. I understand they drip feed them to the market so as those get taken up, they will be replaced.

Of the 2 pages currently, only 2 meet my criteria.

That would seem to make it hard for investors. I just tried to do a Quick Invest and it just never found anything for me to invest in. I've withdrawn my funds in the meantime. Seems pointless having them sitting in there when I can't invest in anything.