Harmoney

[whitt]

Are payment protect loans worth the hassle? Does anybody lend on loans with this payment protect (shield) or have some actual data?

Harmoney faq suggests the investor returns will be approximately 1% higher if you lend to these loans.

[Art]

Yes I have, I will let you know whether it was worth it in 5 years time! So far I have 139 of these loans, fees received (capitalised) $204.08, rebates (lender) $4.27, no amounts of principal waived (yet!), makes net $199.81. Also am receiving interest on the $199.81 but I have not tried to calculate how much that would be.

I intend to limit payment protect to 10% of my portfolio until I have seen a decent length of history to judge the performance.

[whitt]

Auto lend option for payment protect only has on or off button.
I currently have it turned off as am unsure if I turn it on if only that loan type shows. I would prefer to not filter and choose all loans as payment protect

[Art]

Auto lend option for payment protect only has on or off button.
I currently have it turned off as am unsure if I turn it on if only that loan type shows. I would prefer to not filter and choose all loans as payment protect

When you select yes some will be with payment protect and some will be without. I agree, there should be three options, all with, all without, or with & without.

[whitt]

When you select yes some will be with payment protect and some will be without. I agree, there should be three options, all with, all without, or with & without.

I might turn the payment protect option on in my auto lend then monitor the results. I dont want all my loans this type so will need to carefully watch them to ensure i don't get too many.

Payment protect is unproven and could result in 3 scenarios for default rates which is why I want to limit quantity until more actual data comes:
Option 1- Responsible borrowers sign up for payment protect. As they are more responsible the defaults are lower
Option 2- Higher risk borrowers sign up for payment protect. They can wrongly get complacent thinking they are protected for payments. It only covers things like disability or redundancy not bad debt. Defaults increase
Option 3- It makes no difference on defaults. The good and bad borrowers average out and default is unchanged.

[Saamee]

Talked with Harmoney this arvo about IT issues getting Withdrawals made.

Seems like they already know about the issue.

Random peoples accounts at random times.

Both my Wife's and my accounts will not allow any Withdrawals of any amount today.

Requested a Manual Withdrawal on both accounts.

[Saamee]

Talked with Harmoney this arvo about IT issues getting Withdrawals made.

Seems like they already know about the issue.

Random peoples accounts at random times.

Update >>> Harmoney went thru to the IT Dept. and they fixed the Issues ( on both accounts )

Both my Wife's and my accounts will not allow any Withdrawals of any amount today.


Requested a Manual Withdrawal on both accounts.

Apparentley the Issues is not expected to be seen again once fixed by IT....

[Saamee]

Apparentley the Issues is not expected to be seen again once fixed by IT....

The IT issues were not expected to reoccur...... BUT THEY HAVE!!! Yesterday and today...

[IntheRearWithTheGear]

in order to calculate your own RAR why not use the xirr function ? Negatives are inputs into harmoney, positives are withdraws or what you have in harmoney cash + pricinple invested.

Xirr sounds like it apportions variable timed inputs and outputs into harmoney.

[humvee]

in order to calculate your own RAR why not use the xirr function ? Negatives are inputs into harmoney, positives are withdraws or what you have in harmoney cash + pricinple invested.

Xirr sounds like it apportions variable timed inputs and outputs into harmoney.

I use the xirr function to calculate mine. The answer does not exactly match Harmoneys numbers but its fairly close