Of course, rates can / will change.
But - if you were looking to invest
the Subj rate could influence your
decision to do so (or not).
Either way, Good Luck
RateSetter (f Investors): 1 of Today's rates (@ 7 AM): 7.4% for "1 month rolling" investments
IVI on 08/04/2020 - 17:46
Last edited 08/04/2020 - 17:46
Last edited 08/04/2020 - 17:46
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Increases the 'IVI' factor….
RtSttr (f Invstrs): 1 f Tdy's rts (@ 7 AM): 7.4% for "1 mnth rllng" nvstmnts
How's that?
He is paying his respect to investors. Some are in a world of hurt atm.
Laughed more than I should have.
One issue with RateSetter 1 month rolling lending market. In the recently updated PDS:
May investment be longer than indicative term?
Yes, up to 35 months if you elect not to reinvest borrower payments received and replacement investor funds are not available
Yes, if the borrower is late in making payment and you are not compensated by the Provision Fund
See discussions here on Whirlpool. I still have about $1k on 1 month rolling and been waiting to take that money out for a while…
It's because of the flood of redemptions because of COVID-19. If there's no other party to take over the loan, they keep you for the indicative term.
Yes, that's what we should be warned about, before getting too excited by the headline of "7.4% interest rate". Lucky that I withdrawn the majority of fund from RateSetter late last year. But for those who still have money stuck in 1 month rolling at RS, it might end up becoming son long investment.
@Scotty can you recommend an alternative service where you've put your money?
@OzCheapo: funding.com.au You can invest in a 6-month or 12-month mortgage with 7% interest or more.
But please be aware the problem comes with these high-interest investments is the high risk. You can be screwed if the borrowers stop their repayments.
I've been rolling over 3k investment for 2+ years now and have never had to wait 35 months for payment!
I think once there was a 10 day hold up?
You end up with a number of small investments rolling over and reinvesting as money and interest is paid back.OP add the referral link! $50 for both parties.
Not saying you'll definitely wait 35 months, but at the moment you might not be able to access your 1 month-rolling even if you disabled the auto reinvestment. People putting money in thinking they'll be able to earn >5%pp interest and then withdraw after a month will be surprised. Please check that Whirlpool discussions for more details.
OP add the referral link! $50 for both parties.
Referral links in posts / comments will be removed as per site guidelines. Use random referral instead.
If we wanted old information that's already changed surely news.com.au is more reliable?
Apologies I'm not quite understanding. Are you suggesting that the rate of 7.4% for 1 month rolling investments is good?
Seems like a nice return to me.
What is it normally?
Varies but usually around 3%pa
Just looking at the full market here, it would be pretty lucky to get 7.4% matched as there is $141.5k before that rate. People might hesitate to borrow at such a high rate as well. But who knows
If the market stays the same, $140K would get soaked up in 1-2 day wait.
ATM there's only $31k at 7.5% …
next minute: Ratesetter 'investor' crying for a government bailout because their 'safe' investment went bad.
8.5% now rolling month to month
They must be screaming for new money at the moment. My one month rolling investment just matured and I received an email advising that it is remaining in the current investment as there are insufficient replacement funders in the one month rolling market to replace my investment. They must have had a lot of redemptions lately.
Does this mean they’re frozen your funds indefinitely?
I haven't tried to redeem funds so I can't say if they're frozen. Normally at the end of each month your funds are taken out of current investment and reinvested at new applicable rate - that isn't happening this time, instead it's remaining in the current investment.
I mean they got to have a few defaults due to excess
short term borrowing with what's going on and the rate is so high it has to be a little bit dodgy.Few months ago I joined up. Deposited $100 for 1 month on loan to get my $50 introductory credit. Withdrew $150.25 and GTFO.
I might stick to mortgage income trusts for now. They pay around 7.70% and borrowers usually sign a personal guarantee and LVR 60%+ less risky
I all in on keyboard enter keys for my investment portfolio.
Their usage is clearly on the rise…