PP > Harmoney added a new section a month or so back on the main page - see below... maybe answers your questions?
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PP > Harmoney added a new section a month or so back on the main page - see below... maybe answers your questions?
Attachment 8275
http://qz.com/420576/the-words-peopl...-pay-you-back/
Thought some of you might be interested in this
http://idealog.co.nz/venture/2014/11...nding-platform
This article is also interesting. Harmoney tested their credit models against data from baycorp and got a 60% success rate which they claim is good. I presume this means that 40 percent of the time they got it wrong?!
@Saamee, you're right of course, the difference value is present in the Recoveries field. Of note, the Charged-Off principal field still shows the original amount, not adjusted for the money recovered.
I expect they were given historical data and used their algorithm to predict which went bad. Given loans go bad due to unforeseen events that would seem a pretty good hit rate. So far default rates have been pretty low so Harmoney seem to be doing a good job in managing risk for us imo.
Wow! That's great news. Thanks for letting me know.
Big thanks to the Harmoney team for making this happen. This is exactly what is was asking and hoping for. You have given investors a great tool for loan performance reporting and analysis.
I think lenders will have more confidence and invest more now.
HM you will also benefit by spending less time on the phone and emails with investors asking questions which your new exportable fields give many of the answers to.
I'll be sending a thank you gift to your office.
Thanks again Harmoney. You have made my week!
Thanks for sharing that. Interesting
I think it proves the point I made that data mining analysis of borrowers performance leads to better insights and investment decisions going forward.
Now imagine if all HM investors could get all of HM's loan/borrower/payment data (every individual loan) since HM started, in the newly expanded data export format.
Then we'd really be cooking with gas. The bigger the data set the better I reckon.
Cheers
Thanks for this humvee, I like your thinking.
It's great to see the power of good data mining analysis in action.
I read something not long ago somewhere saying people with existing mortgages/home owners are the most reliable payers of any other unsecured loans they have too.
So when I am considering to choose a loan/borrower to invest in, if they already have a mortgage/home owner, I don't have to worry so much about if they have low income vs. high monthly payment commitments and all the other variables that I usually assess and consider.
Over the long term I think we'll see the market share of big banks, and maybe traditional finance companies, drop right off and be seriously challenged as the P2P industry develops. P2P could collectively and eventually have a bigger market share than the big banks, like 20 years into the future.