Prosper.com: Cloud Lending with 7% Return Rate

HeSaidSheSaid · Jan 9, 2016

not bad an investment for this type of market.

https://www.nsrplatform.com/#!/

http://wealthpilgrim.com/prosper-social-lending-review/

http://www.lendacademy.com/forum/index.php?PHPSESSID=gkcltd5r2rhgdbvtegkjmn9f97&board=4.0

recession2016 · Jan 9, 2016

you should only lend money out if you're prepared to go shake down the borrowers when they don't pay up

marketsurfer · Jan 9, 2016

HeSaidSheSaid said:
not bad an investment for this type of market.

https://www.nsrplatform.com/#!/

http://wealthpilgrim.com/prosper-social-lending-review/

http://www.lendacademy.com/forum/index.php?PHPSESSID=gkcltd5r2rhgdbvtegkjmn9f97&board=4.0

Agree, good stuff. thanks

tortoise · Jan 10, 2016

recession2016 said:
you should only lend money out if you're prepared to go shake down the borrowers when they don't pay up

Do that and the borrower can collect damages from you for violating the FCRA.

gkishot · Jan 10, 2016

HeSaidSheSaid said:
not bad an investment for this type of market.

https://www.nsrplatform.com/#!/

http://wealthpilgrim.com/prosper-social-lending-review/

http://www.lendacademy.com/forum/index.php?PHPSESSID=gkcltd5r2rhgdbvtegkjmn9f97&board=4.0

With this type of market these type of returns won't last forever. Economy makes the markets interdependent.

marketsurfer · Jan 10, 2016

gkishot said:
With this type of market these type of returns won't last forever. Economy makes the markets interdependent.

They are only going to tick higher if the economy drops and interest rates tick higher.

gkishot · Jan 10, 2016

marketsurfer said:
They are only going to tick higher if the economy drops and interest rates tick higher.

It's physically impossible for interest rates to tick higher if economy drops.

Sig · Jan 10, 2016

tortoise said:
Do that and the borrower can collect damages from you for violating the FCRA.

I think his point is that one writeoff, even from a large portfolio, absolutely kills your returns. Seriously do the math on what happens when one loan becomes nonperforming before you invest here. You're absolutely not getting above market risk adjusted rates with this peer to peer lending, and its a huge mistake to look at this like a CD or govt bond investment. This is way into junk bond territory without the vis you have into junk bond idiosyncratic risk.

marketsurfer · Jan 10, 2016

gkishot said:
It's physically impossible for interest rates to tick higher if economy drops.

Physically impossible??? I don't think so.

HeSaidSheSaid · Jan 10, 2016

Sig said:
I think his point is that one writeoff, even from a large portfolio, absolutely kills your returns. Seriously do the math on what happens when one loan becomes nonperforming before you invest here. You're absolutely not getting above market risk adjusted rates with this peer to peer lending, and its a huge mistake to look at this like a CD or govt bond investment. This is way into junk bond territory without the vis you have into junk bond idiosyncratic risk.

you have a point, as the data shown on the nsrplatform website, percentage loss is 4% while ROI is 8.47%, though data shown on the lending academy website, many people make money. I think it comes down to diversification, keep each loan small, be diligent with your borrowers.

Risk and Return in the cloud lending world: