Comments on: How I Overcame My Fear of Lending Money on Prosper.com

By: Why I Chose Not To Invest In Peer-To-Peer Lending

Why I Chose Not To Invest In Peer-To-Peer Lending — Mon, 07 Jul 2008 10:17:53 +0000

[...] emergency then your loan to them might be at risk. You can mitigate this risk by lending using a portfolio plan but I suggest that while this does reduce your risk, it doesn’t change the basic asset class [...]

By: Lending Club vs. Prosper SmackDown--Who has the best interest rates? | Smarter Money Management

Wed, 25 Jun 2008 01:53:02 +0000

[...] have five loans on Prosper, all chosen using Prosper’s Portfolio Plans. Some of the loans can’t be compared to Lending Club either because the DTI is above 29% or [...]

By: DR

DR — Sun, 08 Jun 2008 19:20:42 +0000

djmike, thanks for the info. I too have yet to have a default, although I’ve not invested as much as you.

By: djmike805

djmike805 — Fri, 06 Jun 2008 20:48:21 +0000

I have been a Prosper lender for over a year and have not had a single loan be late or become default. I have over $2000 invested in “AA” and “A” borrowers with maybe 1 or 2 “B” grade borrowers. For those who have had loans default or become late I guarantee if you only make loans to the top 2 credit grade borrowers you will see the defaults and late payments nearly vanish. I have only two bits of advise:
1. No more than $50 to any borrower.
2. No loans under “A” credit rating, period.
Feel free to email me if anyone can prove this method wrong…
And feel free to visit http://www.lendingstats.com and look at my portfolio: djmike805

By: Jake

Jake — Thu, 05 Jun 2008 20:03:19 +0000

I think P2P lending is an excellent idea even though I have yet to take the plunge. The free credit score is nice though, but I’m not likely to jump in just yet. Call me crazy.

By: Is Peer to-Peer Lending Ready for Prime Time? | Moolanomy

Is Peer to-Peer Lending Ready for Prime Time? | Moolanomy — Tue, 15 Apr 2008 19:40:42 +0000

[...] From The Dough Roller: A Visual Guide to Lending Money with Prosper’s New Portfolio Plans and How I Overcame My Fear of Lending Money on Prosper.com [...]

By: Lexchoice Financial Articles

Lexchoice Financial Articles — Mon, 31 Mar 2008 19:32:10 +0000

I think I’m going to give p2p lending a shot. I will start with a small amount and see how it goes. Thanks for the information.

By: Reader Question: Should $15,000 be invested in P2P Lending or in a Better Mortgage?

Mon, 31 Mar 2008 17:34:10 +0000

[...] how she should invest $15,000. She initially considered investing in P2P loans with Lending Club or Prosper, which is how she found my site. But now she wonders if she should use the money to refinance her [...]

By: Richnpoor

Richnpoor — Thu, 28 Feb 2008 12:21:17 +0000

I was considering the comments you made about the level of risk you have in some of your other investments.
Personally I currently have about 20% of assets in a precious metals fund. Originally it was only about 7 % and within a month i was staring at a 15% loss( I have a remarkable gift for investing just prior to a correction), Reexamined my analysis several times was sure gold was bullish and committed another 5% of assets to a losing position. It came roaring back and Im up 8% (a 23% swing).
I recently put about 2% in a BRIC fund…not the most conservative investment by far. International funds, small cap funds my broker says Im not risk tolerant Im risk immune. I moved 80 % of assets into ultra short term bonds just prior to the big correction that started middle of October (um…yeah I was timing the market and got it right). But I gotten plenty of trades wrong in my life.
Despite this apparent risk tolerance a $250 unsecured personal loan just gives me the jitters. My portolio moves more than that on most days, so its not a huge sum.
Maybe its the fact that 10 years ago I stopped lending money to family. If I have it and it wont negatively impact my family I give the money as a gift, if I get it back im pleasently surprised (more often I dont, but it doesnt bother me the way it used to). I like some level of distance in my investment, I dont want social interaction. I invest to make money and I prefer to base my decisions on fundamentals, technical analysis, not on how much someone’s “story” appeals to me.
Im not a complete risk it all on one roll of dice guy as I may seem, the money I kept in the market during the correction was in a Utility fund (yeah like your grandmother owns) I just ‘went long the market’ with a small % of my portfolio and I put that in a very conservative Dividend/Income fund and I only put in a small percentage. The charts seem o indicate we had a ‘Panic Bottom’ around jan 22nd volume spiked to the downside and the dow has crossed above its 20 dma and its 50dma in the past few days. Bernake seems determine to cut rates to 0 if neccessary (inflation will come but the market will party til it gets here)
Anyone who’s in this market in spite of the subprime mess (and its not done yet) who buys when fannie mae loses 4 billion is risk tolerant but I still wouldnt lend my sister $300 and expect it back
~

By: Prosper vs. Lending Club SmackDown--Who has the best interest rates?

Prosper vs. Lending Club SmackDown--Who has the best interest rates? — Sat, 16 Feb 2008 14:29:14 +0000

[...] have five loans on Prosper, all chosen using Prosper’s Portfolio Plans. Some of the loans can’t be compared to Lending Club either because the DTI is above 29% or [...]