Comments on: LendingStats Accounts, Extended Credit Data, Watch Lists & More

By: LendingStats

LendingStats — Wed, 21 May 2008 05:36:02 +0000

Hey Mike,

Nice catch, this got broken in the last update. I just looked and corrected the problem.

By: Mike

Mike — Mon, 19 May 2008 17:58:12 +0000

LendingStats:

I noticed that on the Total Loans Funded page, the projection/estimate on where the current month’s lending will come in is no longer active. In my brief scan of the full update list, I couldn’t find anything that suggested that this went away.

By: LendingStats

LendingStats — Thu, 08 May 2008 02:36:53 +0000

vfund: np. Hope you do well :)

By: vfund

vfund — Wed, 07 May 2008 14:36:36 +0000

Thank-you LendingStats
Starting with my bid today
I am following your advice
And for me -it will also be a kinder, safer way of doing business
Since I’ll be bidding on lower interest loans :)

By: LendingStats

LendingStats — Wed, 07 May 2008 00:25:32 +0000

westof8th: np, hope you get better results. :) vfund: "And I think the perception of charging and or receiving a very unkind high interest rate- Attracts borrowers who will take the money and run and lenders that aren’t keepers" A way to somewhat avoid the borrowers who will 'take the money and run' would be to bid on smaller listings and to avoid lower graded borrowers. Just think about how you would execute your hit and run if you were a borrower. If you had a good credit score, you would try to maximize your gains by going for the largest loan possible. Obviously this is all speculation on my part. However the data up to this point supports the theory that smaller loans default less. You can see this using either the Loans Funded page or the Historical Loan Performance page and customizing. Compare: $1000 - $12500 Loans, AA-C: Loan Performance and Loans Funded $12501 - $25000 Loans, AA-C: Loan Performance and Loans Funded Note how I filtered out the lower credit grades since the $ amount one can borrow drops as the credit grade drops. (You can see this from the Listing Overview page (look at avg. loan amount))

By: Westof8th

Westof8th — Tue, 06 May 2008 17:25:02 +0000

LendingStats — thanks for the great advice and taking the time to look at my loans. I’ll give it a shot..

By: vfund

vfund — Tue, 06 May 2008 02:18:06 +0000

LendingStats
Bravo to you for the work you do-
Late Loans and the amount of them is all it takes to sour anyone on the great idea of Prosper-
And I think the perception of charging and or receiving a very unkind high interest rate-
Attracts borrowers who will take the money and run and lenders that aren’t keepers
We become no better functioning then today’s credit market
I think there should be more reasonable interest limits on the program-
Based on the usual credit criteria and a new investigative model- that rewards most people
And with the borrowers that do not meet the reward of decent rates-OK the rate has to be higher-But not a height that eventually becomes unmanagable to them- and the loan late or not paid
We need a new model-new criteria-and what is written by the borrower needs to be checked
Yes- you will still have people who will- not repay or pay late- no matter what interest rate they have
But having a more reasonable rate to begin with-and facts checked- I think ensures a better return
A return of borrowers and lenders

By: LendingStats

LendingStats — Tue, 06 May 2008 00:53:13 +0000

vfund: I noticed my standing order has been grabbing more listings this year. I initially thought it was because of the widespread pessimism with the credit markets, however it might be because of the ads you say Prosper has been putting up recently?

By: vfund

vfund — Tue, 06 May 2008 00:44:35 +0000

Westof8th
Late loans can really be unsettling
What I do is -as I accumulate $50.00- I reinvest in Prosper
Then with the next accumulated $50.00- I transfer it back to my bank account
This way you can stay in and yet be getting out
But I will probably reinvest with a lump sum-equal or more than my initial investment when
I think a few more kinks are worked out
Because I really do believe this is a great idea
And when done right- lender and borrower can both succeed
Prosper is reaching out to a larger borrowing pool-with radio/tv ads, news promotions,etc.
But I am not so happy with all the ads they are test marketing
So for now I’m waiting- before I invest a new lump sum
Best of luck

By: LendingStats

LendingStats — Tue, 06 May 2008 00:19:37 +0000

westof8th: I looked at your 5 late loans and noticed a few of the common things that I avoid as a lender. :)

1) The larger the loan the more chances of default.
2) Avoid borrowers with many inquiries.
3) Avoid automatic funded listings.
4) Only bid on listings with a clean credit history.

Out of your 5 lates:

1) 4 of them were for $20,000 or more.

http://www.lendingstats.com/listings/93308
http://www.lendingstats.com/listings/91884
http://www.lendingstats.com/listings/93637
http://www.lendingstats.com/listings/163439

2) 1 of them had a current delinquency.

http://www.lendingstats.com/listings/93308

3) 1 of them had a lot of inquiries.

http://www.lendingstats.com/listings/163439

4) 1 of them was automatic funding.

http://www.lendingstats.com/listings/92964

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I think you can benefit from doing some more research. (Which reminds me, I should probably write some blog posts regarding things to avoid when lending… which would save some lenders a lot of agony).

You could of avoided 4/5 of your lates had you just refused to lend to people requesting more then$20,000.