Harmoney

[Darchie]

Harmoney must be having some kind of Pre-Xmas push for Loan Upgrades etc....

Yesterday and today having SO many Loans repaid.

Has any one else noticed this too?

This surge of repaid loans has been going for quite awhile. .. just look at how many of the loans to invest in... vast majority are re-writes...
But i say what about the surge in write-offs that's been romping along in last 8days ... I'm very close now to 2k written-off by HM. JUst like that link to article you posted....

[Darchie]

Should have added also ... finding it really really hard to grow the 'active' loan number tally.

[Saamee]

This surge of repaid loans has been going for quite awhile. .. just look at how many of the loans to invest in... vast majority are re-writes...
But i say what about the surge in write-offs that's been romping along in last 8days ... I'm very close now to 2k written-off by HM. JUst like that link to article you posted....

Oh! I almost did add "No recent writes off's" - did not wish to jink my investing luck!

[Saamee]

But i say what about the surge in write-offs that's been romping along in last 8days ... I'm very close now to 2k written-off by HM. Just like that link to article you posted....

Darchie, What is your % of Capital Written off loans to Total invested???

[Darchie]

Darchie, What is your % of Capital Written off loans to Total invested???

Loan investments $106,075.00.
Charged-off principal 1,951.80.
Have 490 loans paid off ... and 117 in arrears...
with dashboard showing arrears as $229.40 but it's hardly a figure that can be relied upon.
Have 1636 active loans
All loans 2179
Have certainly changed where i take notes.
Am thinking it could well be far too easy for people that have no good intensions of repaying loans, to obtain money through harmoney . ..
But there's still a lot in this mix that are plugging along nicely with regular payments.

[DonB]

Artilce on the latest events on the P2P Market over in the USA...

http://www.zerohedge.com/news/2016-1...rough-industry

Hiall,

Thanks for sharing this article.

I've been reading these P2P boards for a while but not yet taken the plunge. I've enjoyed reading the discussion and appreciated generous sharing of information.

It seems to be working for people and for us the only drawback was that money was committed to it for 3-5 years (except for rewrites).

It seems to me that the biggest threat is the change in economic circumstances (as referred ot in the article above) such that people are no longer able to repay their loans. Inability to withdraw money quickly means that if this happens then lenders are stuck. If suppose that is the risk/reward balance.

Please correct me if I am wrong as I am new to this investing game (I'm reading heaps and very keen to learn).

I'd be interested in others thoughts on the article and its relevance to NZ P2P and Harmoney in particular.

Don

[Saamee]

Hiall,

Thanks for sharing this article.

I've been reading these P2P boards for a while but not yet taken the plunge. I've enjoyed reading the discussion and appreciated generous sharing of information.

It seems to be working for people and for us the only drawback was that money was committed to it for 3-5 years (except for rewrites).

It seems to me that the biggest threat is the change in economic circumstances (as referred ot in the article above) such that people are no longer able to repay their loans. Inability to withdraw money quickly means that if this happens then lenders are stuck. If suppose that is the risk/reward balance.

Please correct me if I am wrong as I am new to this investing game (I'm reading heaps and very keen to learn).

I'd be interested in others thoughts on the article and its relevance to NZ P2P and Harmoney in particular.

Don

Welcome DonB,

Yes you are sort of pretty much spot on.

Remember many people just Repay their loans early and at Harmoney ( from my experience ) you can expect approx 50% of your capital back within 6 months.

Just like a Bank Term Deposit - Only lock your money away, if you are happy with a 3 or 5 year term! That bit is not rocket science

The advantage with the other Two main P2P lenders in NZ ( Lending Crowd & Squirrel ) is that they both do offer some form of Security on their loans.

It's worth taking a look at them.

Harmoney offers NO security.

Rgds Saamee

[Investor]

Hiall,

Thanks for sharing this article.

I've been reading these P2P boards for a while but not yet taken the plunge. I've enjoyed reading the discussion and appreciated generous sharing of information.

It seems to be working for people and for us the only drawback was that money was committed to it for 3-5 years (except for rewrites).

It seems to me that the biggest threat is the change in economic circumstances (as referred ot in the article above) such that people are no longer able to repay their loans. Inability to withdraw money quickly means that if this happens then lenders are stuck. If suppose that is the risk/reward balance.

Please correct me if I am wrong as I am new to this investing game (I'm reading heaps and very keen to learn).

I'd be interested in others thoughts on the article and its relevance to NZ P2P and Harmoney in particular.

Don

In my opinion the main take-home from the article is to assume that defaults could possibly be more likely than Harmoney predicts. I prefer to keep a large portion of my loans in the A and B borrower grades as I don't particularly enjoy lending money at exorbitant rates to people who are possibly out of their depth.

Interesting information on how lending club investors did during the last recession here: http://www.lendingmemo.com/p2p-lendi...n-performance/

Lending-Club-During-the-2008-Recession.png
An image from this article.

[IntheRearWithTheGear]

70k invested drips and draps over the time.
@1 note per loan usually.


4000k charged off (172 loans).

C4 1
C2 1
A5 1
B3 1
B1 2
B4 2
D3 3
C3 3
D2 4
C1 5
F4 5
C5 7
D4 7
E3 7
E1 8
D5 8
F3 10
E2 11
D1 12
F1 13
F2 13
E5 14
E4 15
F5 19



17k gross interest since harmony started..

14% rar according to harmony.
11% xirr after tax (but not taking into account harmony fee which should be able to get tax relief ?)


Active 3355 loans out of 5271 loans


Arrears 252
1-30 103
31-60 52
61-90 36
91-120 25
121-180 34
180+ 2


Cheers

[whitt]

70k invested drips and draps over the time.
@1 note per loan usually.


4000k charged off (172 loans).

C4 1
C2 1
A5 1
B3 1
B1 2
B4 2
D3 3
C3 3
D2 4
C1 5
F4 5
C5 7
D4 7
E3 7
E1 8
D5 8
F3 10
E2 11
D1 12
F1 13
F2 13
E5 14
E4 15
F5 19



17k gross interest since harmony started..

14% rar according to harmony.
11% xirr after tax (but not taking into account harmony fee which should be able to get tax relief ?)


Active 3355 loans out of 5271 loans


Arrears 252
1-30 103
31-60 52
61-90 36
91-120 25
121-180 34
180+ 2


Cheers

Thanks
i get a similar 14% plus rar although I don't invest in D,E or F loans.