Last month, Harmoney investors’ dashboards started to show an RAR, which appears 90 days after their first investment.

It is updated monthly based on their account activity.

But some investors were surprised that the RAR was different to the FAR.

One said there was a difference of more than 7% per annum between the two.

“Now rewrites [are] going to explain some of the difference, but not all of it… Don’t get me wrong 18.35% is a good return, I’m just a little puzzled how defaults can be so much better then forecasted (and as allowed for in the FAR) and yet it seems that everyone’s RAR is way below their FAR - If defaults are lower than forecast in general the RAR should be higher than the FAR.”

Harmoney general manager Monica Mathis said there were different calculations behind the FAR and the RAR.

 “It is not possible to openly refer or report on RAR until such time as you have a good set of data within your portfolio (tenure particularly) and therefore be able to report on actual defaults, write-offs, fees ," she said.

“We worked with the FMA prior to Christmas to demonstrate to them how we were going to report on RAR and the underlying information we would have on our site to explain it.  They were comfortable that we progress from FAR to RAR at that point.  FAR was supposed to be removed and replaced with RAR.   We will get this removed as soon as possible.”