Risk Rating

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  • Vilarestal #5104

    Why are different listings from the same loanee have risk ratings allocated differently (assuming they are in fact the same loanee)?

    I note that Pty Ltd is shown on the >90% risk rated investment but not on the >70% ones.

    Specifically we currently have:
    Speedy Money Pty Ltd >90% $50,000 9 months 15.77% Funded
    Speedy Money >70% $50,000 6 Months 18% 67.00% Funded
    Speedy Money >70% $50,000 9 months 18% 6.00% Funded

    The reason I am asking is that I am using a set allocation of funds to a loan based on risk rating but wish to understand how the risk rating is modified by factors within, what appears to be, the same loanee.

    HOMBRE #5105

    Hi – This is David at Speedymoney. All the loan listings are for the same company, Speedymoney Pty Ltd. The reason we have multiple listing is because we manage the loans to different maturities. The listings that are >90% risk weighted include a contribution by Speedymoney to a loss provision fund that further protects creditors in the (unlikely) event of default.

    Vilarestal #5106

    Thank you David for your reply. That explains it very well.

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