Peer to peer/lending club investors

[Singuy]

I think he is referring the the requirement to be an investor. Lending club didn't really check btw. I just set up an account and went at it.

[Spiffster]

For a newbie I would suggest going with a service like Lending Robot and let them pick loans for you depending on your risk tolerance. If you want a referral link, let me know .
Stay away from Folio (note trading) until you better understand how things work... trust me, Folio will burn you if youre not familiar with p2p lending.
I have a taxable LC account that Im winding down, and a LC Roth account that im winding up. My original account is doing OK (~5%), while my ROTH is going gang busters (~14%) both are seasoned returns. I also have a taxable Prosper account that is also doing very very well.

I think LC and Prosper need to improve fraud prevention though... because, as others have mentioned, there are people who will borrow with no intentions of paying the money back... scum-bags. Then you look at the borrower application only to find that they claimed to make something crazy like $50k/mo, and for some reason employment / income is was not verified.

[Sallyr70]

I think he is referring the the requirement to be an investor. Lending club didn't really check btw. I just set up an account and went at it.

Correct, thank you!

[LivingAlmostLarge]

how long are the notes for?

[Singuy]

Too long. 3-5 years. I am really wondering how many notes will be paid in full at 25% interest.

You can also sell the notes on the exchange(another website). I never done it myself. Reason why some people want to buy your debt is because lending club is not available in all states.

[~bs]

Too long. 3-5 years. I am really wondering how many notes will be paid in full at 25% interest.

You can also sell the notes on the exchange(another website). I never done it myself. Reason why some people want to buy your debt is because lending club is not available in all states.

What many people do (the smarter ones at least) is use lending club to consolidate their various credit card lines at 25%. Then show a history of payments, then once their credit increases refinance to a lower rate using lendingclub or a "real" financial institution.

I understand that 25% interest rate is borderline predatory, but the reason for the rate is that these are high risk individuals. So if a borrower is making their payments, I prefer to keep them, rather than refinance and dump my note.