Eight loans to peers, no defaults

I am very happy with these results so far. My average interest rate is 18.87%, and I am making twenty-three cents of interest per day. I have so far netted $20.73 from the loans I have made. No, it hasn't made me rich, but I really have just been doing this to see how and if it works. I will continue to invest and reinvest, and hope to make peer lending a valid source of second income.

Prosper makes it very simple to track earnings and results with a loan summary page (see above) and an account summary page (below). This way I can always see if my loans are current, what returns I am earning, etc.


They also continue to improve the site. For example, I recently noticed that if you are bidding on a loan, and your projected return is lower than you should be getting for the credit tier you are bidding on, they will warn you and make you confirm you are aware of that fact.

The projected return is calculated based on the interest rate, fees, and potential of default on your loan, and shown before you submit your bid. Pretty handy!

Bid On 4th Prosper Loan Won

Well this makes four out of four loans that are being reviewed, so I can only assume that every loan has some sort of review process after the bidding ends and before it is funded. So my general feedback on the whole Prosper lending process is that everything seems to take a lot of time.

I am very pleased so far, though, because my average return is over 20%, and I'm three for three, having recieved the first payment on all three of my existing loans. That makes me feel like I didn't lend any money to complete deadbeats.

I'll continue to post updates as things progress, and if you have any specific questions, please feel free to leave me a comment and I'll be happy to reply to anything.

I Got Paid!

Well I collected my first payment of $2.74 on an $80 loan, 99 cents of which is pure profit! That is certainly not a lot, but multiply that out over time and reinvetest the money, and I think I could make decent income after a bit. Sure beats making 4.25% in my savings account anyway. Right now, this is kind of a glorified hobby, but it really doesn't take up much time and how many hobbies do people have that actually MAKE money instead of COSTING money!