Thursday, June 29, 2006

recent bids & 2nd delinquency

On Monday / Tuesday I bid on six loans.
I was outbid on one loan right away (within hours) and rebid the loan, which I am wining.
The following day I was outbid on a kitchen rennovation loan for a AA borrower initially asking 13%. The going rate has dropped down to 10.2% and will probably go lower as the auction doesn't end for two more days.
Instead of rebidding it all the way down (for the fifth time), I decided the auction was getting too much attention. Instead I rebid the money on another auction where I already had $100. It will be ending in about 1.5 hours for a AA borrower currently paying 14.95%, alot more attractive than 10.2% (or lower).
The downside risk is that the borrowers loan to income ratio is high, however, she's working part time while taking classes, I have confidence her income will rise.
I just recieved notification that one of my borrowers has also entered the <15 days late status. A private online business school out of Washington, DC. Am not sure if I should be worried or not at <15 days. We'll have to track this.
Have a great day,

No comments: