Squirrel Money P2P

**RGR367** · 10-04-2016, 12:42 PM

Was thnking of becoming their investor earlier via Snowball but decided not to be in the end. I got a lot of HBL shares already so having another "financial" is just having too many exposures on that sort of area. Besides, they already got my money on 2, 3 and 5 years loans. So far, I'm impressed with their email service and my Dashboard. "Risky Lending" (sic) has just become easy DIY

**Kelvin** · 12-04-2016, 09:00 AM

Wow, took almost 4 days from my $500 being matched to a loan (Friday afternoon) until drawdown (this morning). Slow borrower or slow system?

**Kelvin** · 09-05-2016, 09:43 AM

Have had a bit of trouble with Squirrel recently. Firstly I got matched with a loan pretty quickly which was great, and the loan quickly progressed to some "awaiting drawdown" stage. Unfortunately the loan never passed that stage so it was cancelled.

Luckily I was matched with another loan soon after, but now that's cancelled too (never got past the first stages). Perhaps there's something on the borrower side that's not working very well and causing them to not complete the whole borrowing process?

**JB@Squirrel** · 09-05-2016, 11:06 AM

Hi Kelvin,

The way it works is that as a loan is approved it goes to awaiting funding. The platform takes all available bids to fill the loan. As soon as it has funding it goes back to the borrower to accept the rate and then through to documentation. A loan will stay in awaiting funding for up to 2 days before we top it up with our funds (at the highest rate.) We haven't needed to fund loans for a while with plenty of investor funds coming through.
Generally investors will fill up a loan in 24 hours and then the borrower has 24 hours to accept it and 24 hours to complete documents. It is unusual for a borrower to not accept the rate but does happen usually because they miss the 24 hour cut-off. We'll have a look at whether there is something we can improve to tighten it up more.

We're seeing about $500,000 of investor funds going in monthly now and are ramping up our borrowing activity. Noting of course we mostly do A and B grade loans and that we're 100% retail funded. Our near term target is to do $1m of borrowing each month and have just started our first borrower campaign. The one reminder I'd throw into the mix is that you don't need to invest 'fractions' with the platform. In a way you'd be better to throw in $5,000 and have it all invested relatively quickly. A lot of investors are now doing it $5,000 at a time.

Cheers, JB

**Chickens** · 09-05-2016, 03:41 PM

I've just created a new Squirrel order - not sure why I had been unsuccessful for the last 3 hours.

**JB@Squirrel** · 09-05-2016, 03:51 PM

Originally Posted by Chickens

I've just created a new Squirrel order - not sure why I had been unsuccessful for the last 3 hours.

Hey Chicken,

Sorry we did a bug deploy today that created another UX error. Now fixed and we've changed process to make sure that doesn't happen again.

Cheers, JB

**morphs** · 10-05-2016, 10:05 AM

Hi JB,

Will the platform make a partial investment of an investment order? For example, if I place an investment order of $10K, do I need to wait for a loan of $10K or greater to become available or will the platform use my funds to fill a $5K loan order?

**JB@Squirrel** · 10-05-2016, 03:02 PM

Originally Posted by morphs

Hi JB,

Will the platform make a partial investment of an investment order? For example, if I place an investment order of $10K, do I need to wait for a loan of $10K or greater to become available or will the platform use my funds to fill a $5K loan order?

Good question. We should make that clearer. We're in the process of doing some videos to explain the bidding process better.

If you bid say $10,000 that could go into 1 or many loans. Say a loan of $10,000 is already funded for $8,000 then $2,000 would go into that and then your bid would go hunting for another loan. If the next loan was say $15k it would put the remaining $8k in that.

Basically a bid keeps going until it allocated out your whole amount.

Also worth noting that the number of loans is irrelevant from a risk perspective. The credit risk is managed centrally through the reserve fund so there is no financial difference if it's all in one loan or in ten.

The biggest bid/order so far was $50,000 which ended up across 10 loans.

**Kelvin** · 11-05-2016, 08:51 AM

Great, finally got my money invested into some loans. One of them spent over a day in the "Awaiting Drawdown" stage though.

Good to see a higher volume of loans coming through recently, but sadly my funds available for investing are limited