Wednesday, May 10, 2006

first prosper loan funded

I've made my first loan on prosper.com. $50 lent at 11.45% interest to a AA credit borrower. I am concerned with the large number of credit inquiries, however, I believe this person has been fishing for a best rate, hence the high number. Otherwise, I need to make sure I have a large number of loans to absorb defaults.

I guess we'll see when the first payment is due mid-June.

I have about $350 more in outstanding bids and another $100 available for bidding. I expect to put in $100-$400 per month into prosper, though probably toward the lesser side due to the illiquidity of the loans.

Have a wonderful day,
makingourway

2 comments:

Personal Finance Blogger said...

Congrats! >11% for an AA borrower is excellent. Once the money starts to flow in from payments you start feeling a lot better about it... :)

makingourway said...

PF blogger,
you're probably right.
if i understand things correctly, principal will be returned along with the interest over 36 equal payments.
I'll have to keep enough loans outstanding to reinvest.

have a wonderful day,
makingourway