MoneyThing administrator fees breach £1.2m
MoneyThing’s administrators were paid £346,500 in the six months to 21 December 2022, bringing their total fees up to more than £1.2m to date.
The latest update from Moorfields Advisory, filed with Companies House, comes shortly after the administrators extended the process for another two years, until 20 December 2024.
At the start of the process in 2020, Moorfields initially estimated that the administration fees would amount to £430,367.50, but this figure was revised to £728,837.50 in August 2021.
The total administration fees now amount to £1,219,108.50.
MoneyThing went into administration in December 2020 as it could not afford to defend itself against future litigation from a borrower. It had announced in December 2019 that it was winding down its activities, blaming lower investor confidence and fierce competition in the lower-risk business loans market.
At the time the peer-to-peer lending platform went into administration, it had 50 loans outstanding to 18 borrowers, with around £19m owed plus interest and costs.
In the latest six-month update, Moorfields said that three performing loans were redeemed from one borrower over the period, with capital and interest totalling £115,989, which was made available for withdrawal to lenders on the platform.
Another performing loan from one borrower, due to mature in April 2024, collected £37,182 of interest for lenders over the period.
However, four non-performing loans have been crystallised on the basis that no further recoveries will be forthcoming, with a total capital loss of £354,879.