Market Discussions

I confirm this agreement. 5bn ISK sent Aaron Alckschild.

Any banker with half a brain knows this is reputation mining for future scam

Jerry...HE'S ALIVE!!

As mentioned before, this smells like reputation farming for a future scam. I like to give people the benefit of the doubt whenever possible, so I won't jump to that conclusion right away. I do have questions though, and would suggest that providing a little more information might help give some clarification on why this loan was made and why record of the loan was posted here.

Some of the questions I have are:

1) JitaPU - why did you fill this loan? Filling a 5 Billion uncollateralized loan for someone who (as far as I know) has no reputation (and therefore no reputation to lose) seems very risky.

2) Why are the terms of the loan and the confirmation of the agreement posted in the forums? Neither the lender nor the borrower have had very much forum presence before this post. This seems like a strange place to start.

3) What was this loan for? I'm guessing it had something to do with this. If so, I'd be curious to know why Aaron Alckschild did not choose to enter into an agreement with Dethmourne Silvermane (last post in thread).

Obviously no one owes me any answers, but if this a legitimate business deal then answering these questions might help forum readers (like myself) to understand that and prevent them from red flagging you both. I could be wrong, but with the way things are wrote right now I'm guessing most people will flag Aaron Alckschild as a future scammer and JitaPU as either an accomplice or a banker with a poor sense of risk.

Please forgive my negativity.

Ok.....

This is my main. But even if it wasn't (which it is), how would you knowing who my main is have any bearing on why I'm interested?

FYI - I'm interested because I find scams interesting and I think this is one in the making (although I'm happy to be proven wrong).

EDIT - I don't think this post itself is a scam, but I do think it's likely the ground work for a future one.

Hi guys, William asked a few very good questions and I will try to answer them as best as I can:

1) Why did I make this loan?

To set the scene, JitaPu is my Jita trading alt. My main is in Waffles (not a big secret really and pretty easy to find out for most people). I have been looking to get into the lending business for some time and have been checking this sub forum regularly to see what kind of deals people enter into. My risk tolerance and return targets steered me to under/un-collateralized lending.

Aaron first posted on the Horde forums (to which I have access, like everyone in PanFam). My first reaction was the same as everyone's: "This looks strange". So i watched it for a few days and when i realised that he was struggling to fill his loan, I sensed an opportunity to negotiate very favourable terms, so long as I could somehow get comfortable that this is not a scam.

So I PM'd Aaron and set up a voice chat on discord to discuss his plans, his eve history and a lot of other things (after doing all the usual due diligence on publicly available info). It was this personal interaction that helped me get comfortable. Since then, I have been in touch with Aaron on a daily basis, even helping him hauling >ISK5bn of his products between Jita and his staging (without collateral!).

2) Why post the terms here?
Two simple reasons really. Firstly, I wanted to make sure that in the unlikely case that Aaron does try to incur additional debt without my knowledge, at least the more active lenders who frequent this forum would be aware. I have seen other people post info-only deals here to have a public record. Secondly, I want to establish a reputation as a lender and have to start somewhere. Also, if the borrower does perform as agreed, then having his public record established should help him in future loan requests (if you think this is all reputation mining, you are entitled to your opinion).

3) Loan Purpose
Without going too much into the details of the borrower's business, he had the opportunity to buy a bunch of industrial assets in the same line of business he was already active in. This opportunity was time sensitive. As far as I understand, this loan is unrelated to the matter linked by William.

So to conclude, I do not know if the borrower will ultimately repay me or not. The first interest payment is due tomorrow and I will post the outcome here. There will be people who say it is dumb to lend uncollateralized to a complete stranger (90% of my own corp think I am being crazy). That is fine. Our risk preferences are not the same. To me, this loan is more attractive than a 100% BPO collateraized 2.5%/month loan. Why? Because I back my ability to pick the right borrowers. My track record will tell if I am right or wrong.

I hope this answers your questions. Btw. you do not have to apologise about being negative. Your post was actually most constructive, so I thank you for that.

I will keep you all posted on the progress with this loan.

Good post JitaPu. Your reasons the way you explained them make good sense to me.

I will say that building reputation to become a lender is probably not a very important thing. Most people looking for a loan are happy to take ISK from whoever is willing to give it to them. Having said that, a good reputation can't hurt anything.

Good luck with your investments!

I can attest of JitaPu's trustworthiness. I don't know the borrower though.

Whether or not this is a standings grind, I can trust that the money has been loaned.

I just wanted to confirm that the Borrower has repaid me in full on time. Thanks for your business.