When you loan someone money, you have to anticipate the possibility that they won't pay you back. A default will wipe out all of your profit, so you can't ignore the possibility.
In your specific case, I would be curious why someone would want to go to the trouble of borrowing 40 cents. That would make me suspicious.
Topic: Careful with BTC loans - page 2. (Read 3035 times)
Loans and Bitcoins go together about as well as oil and water.
Never make gambling loans. That is a important thing to learn early as well in Bitcoinland.
Never make gambling loans. That is a important thing to learn early as well in Bitcoinland.
It can actually be more risky to loan very small amounts as you have on BTCjam as they only give you an arbitration award and will not actually attempt to collect delinquent loans on your behalf. This means that you will first need to win arbitration (almost a certainty) and then would need to front the expenses of taking the borrower to court, winning the case and getting judgment (if they have not paid this should not be an issue, however it would be much more complex if they have filed for bankruptcy), and collecting on their assets.
i never loaned with my Bitcoin,because no preson or company can do a guarantee for Bitcoins now.some intermediaries who i don't know many are not to be trusted for me!
I'm investing in BTCJam since April 2014 and since then I have been realizing several things about how serious are the ways in case that one loan isn't paid or the things about a fake account and sort of. Anyway, last august I decided to put my BTC in a loan agreement (BTCjam Loan No.16654) with the Creditor for a bitcoin loan in the amount of 0.00101 bitcoins at 9.0% interest every 3 days., says my Award.
I know, is a very small amount but considering that other people put almost 0.8, someone realize is not a joke and you wonder what REALLY BTCJam can guarantee;
The answer is: NOTHING[/i] and let me explain this. When someone is in default, your loan goes to a third-party which make arbitrage take care of your case and they send you an award telling you "person A didn't pay you X amount of BTC and he/she should" but the thing is, wherever the loaner is, BTCJam has no power at all to do nothing; remember they just put the platform and they deliver another company to do the arbitrage. When you think, "Ok but I can do something in order to make the company respond, in the e-mail says, (the black is mine):
This is a particular case because the loaner named Marchenry Hernandez (fake account and person I think) since his first message didn't say a word and...nothing. Other dates are the following:
Covina, CA 91722
United States
[email protected]
https://www.facebook.com/marcchernandez
Phone: 16268234440
Driver's License D7676407
As conclusion now (YES, NOW) I realized loans with BTC are dangerous because no company (so far) can assure you nothing about your return. But if you do this either and you like to do, be careful in people which you borrow money and be aware that is a real person. I don't speak of my experience with Bitbond because they're more honest: they practically tell you if you don't get paid, we will give you all our info about the guy and do whatever you like to do and is for another post. So far, I believe these practices will have more efectiveness when the time move on and also more people still using criptocurrency.
For me is simple: CAREFUL
I know, is a very small amount but considering that other people put almost 0.8, someone realize is not a joke and you wonder what REALLY BTCJam can guarantee;
The answer is: NOTHING[/i] and let me explain this. When someone is in default, your loan goes to a third-party which make arbitrage take care of your case and they send you an award telling you "person A didn't pay you X amount of BTC and he/she should" but the thing is, wherever the loaner is, BTCJam has no power at all to do nothing; remember they just put the platform and they deliver another company to do the arbitrage. When you think, "Ok but I can do something in order to make the company respond, in the e-mail says, (the black is mine):
Quote
The mechanics are straightforward and explained here on our website: http://www.net-arb.com/FAQ.php#Enforcement. However there are costs involved in that process that may make it impractical. The costs vary depending on several factors including geography as a main factor since court action must be filed in the debtor's jurisdiction.
It may be possible for co-creditors on a particular loan to join together to pursue collection, but you will have to contact BTCJam Support for information about possible co-creditors since the rules of arbitration prevent us from sharing personal information. We advise you to consult an attorney regarding the feasibility of undertaking any collection action before embarking on that path.
[/i]It may be possible for co-creditors on a particular loan to join together to pursue collection, but you will have to contact BTCJam Support for information about possible co-creditors since the rules of arbitration prevent us from sharing personal information. We advise you to consult an attorney regarding the feasibility of undertaking any collection action before embarking on that path.
This is a particular case because the loaner named Marchenry Hernandez (fake account and person I think) since his first message didn't say a word and...nothing. Other dates are the following:
Covina, CA 91722
United States
[email protected]
https://www.facebook.com/marcchernandez
Phone: 16268234440
Driver's License D7676407
As conclusion now (YES, NOW) I realized loans with BTC are dangerous because no company (so far) can assure you nothing about your return. But if you do this either and you like to do, be careful in people which you borrow money and be aware that is a real person. I don't speak of my experience with Bitbond because they're more honest: they practically tell you if you don't get paid, we will give you all our info about the guy and do whatever you like to do and is for another post. So far, I believe these practices will have more efectiveness when the time move on and also more people still using criptocurrency.
For me is simple: CAREFUL
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