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As some of the readers know, I put $200 dollars in my original post on prosper.com.? After 2 months, here are the stats of the 4 x $50 loans.
| Amount @ Rate |
Origination Date |
Principal paid / bal |
Interest paid |
Late fees paid |
Service fees |
Collection fees |
Loan value |
Payment status |
| $50.00 14.5% |
Apr-03-2007 | $1.12 $48.88 |
$0.60 | $0.00 | -$0.02 | $0.00 | $49.29 | Current |
| $50.00 12.8% |
Apr-02-2007 | $1.15 $48.85 |
$0.53 | $0.00 | -$0.04 | $0.00 | $49.22 | Current |
| $50.00 10.5% |
Mar-29-2007 | $1.17 $48.83 |
$0.45 | $0.00 | -$0.02 | $0.00 | $49.18 | Current |
| $50.00 19% |
Mar-27-2007 | $0.99 $49.01 |
$0.81 | $0.00 | -$0.04 | $0.00 | $49.70 | Current |
As you can see, the loan value is $49.29 + $49.22 + $49.18 + $49.70 = $197.39. With the $6.68 already collected, this means I turned $200 into $204.07. This $4.07 in 2 months translates to a profit of roughly 2%. You annualize that, and we are talking about an interest rate of approximately 14%!!! Of course, all four of these loans have not defaulted yet, and I do not have enough confidence in this online loan system yet to put more of my money in. However, this experiment so far is pretty successful so it is very tempting!
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{ 7 comments… read them below or add one }
Not bad performance! I saw an article where someone got 2 mortgages totally $750k and put it all into Prosper.com. So far, the article said he was doing well but I really hope he won’t be burned in the future.
Wow that guy is really going all for broke. I really wish him luck. I guess he is a little more risk tolerate than I am
This is one of the best ideas I have seen in a long time. I like how you’re getting your feet wet and I’m inspired.
One thing, interest payments will drop as the balance drops. Right? I’m not sure, but I don’t think you can extrapolate your first two months earnings.
Honestly, I haven’t looked into it but I believe you are correct in the interest payments. However, my interest calculation is an average of the 4 loans when I applied, which is not really the extrapolation of my earnings.
I might increase my exposure to become a $300 portfolio after this month though but I’m still deciding.
Any chance a screen capture would be more effective at giving this data? Sincerely, a fellow Prosper lender (dancia2007)
I will take that into account in the future if I ever post my performance. I haven’t made any changes to this yet (still using my initial $200 dollar investment) so I probably won’t post anything about this until I change the total investment amount or if I have add another lender or something.
In any case, it seems like the screen is not showing correctly on your screen. I’m guessing it’s because of the screen resolution but could you let me see a screen capture of yours so I see what you are talking about?