Comments on: Review of My First Loans with Lending Club http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/ Lending Club and Prosper.com Experience Sat, 20 Feb 2010 21:03:27 -0600 http://wordpress.org/?v=2.9.1 hourly 1 By: Jack http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-2186 Jack Mon, 15 Feb 2010 18:06:44 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-2186 Thanks for sharing your review and experiences with Lending Club. Do you have any updates to share, now that you're 2+ years into the initial loans? How is your rate of return now? Thanks for sharing your review and experiences with Lending Club. Do you have any updates to share, now that you’re 2+ years into the initial loans? How is your rate of return now?

]]> By: Lending Club lender http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1494 Lending Club lender Fri, 10 Apr 2009 19:49:52 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1494 I know a common complaint about Lending Club is the relatively limited pool of loans to choose from. I don't know if this is a trend or just a blip, but I've noticed the inventory of loans the over the last week or so has ballooned from 100 or so to over 200. I know a common complaint about Lending Club is the relatively limited pool of loans to choose from. I don’t know if this is a trend or just a blip, but I’ve noticed the inventory of loans the over the last week or so has ballooned from 100 or so to over 200.

]]> By: Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1477 Personal Loan Portfolio Wed, 01 Apr 2009 05:13:33 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1477 I finally made a new post <a href="http://www.personalloanportfolio.com/490/lending-club-ira/">about the Lending Club IRA</a>. I think it is an exciting development in P2P lending. I hope to hear back from you with a guest post on your experience. You can send <a href="http://www.personalloanportfolio.com/contact-us/">a note to me via the contact form</a>. I finally made a new post about the Lending Club IRA.

I think it is an exciting development in P2P lending. I hope to hear back from you with a guest post on your experience. You can send a note to me via the contact form.

]]> By: Why the Lending Club IRA is a great idea: Reduced Volatility | Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1473 Why the Lending Club IRA is a great idea: Reduced Volatility | Personal Loan Portfolio Wed, 01 Apr 2009 03:22:36 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1473 [...] New here? You may want to subscribe to the RSS feed or browse the site map. Thanks!I am thrilled to hear about the new Lending Club IRA account to allow peer to peer lending in an retirement account. EntrustCAMA, part of the Entrust Group, is the account administrator. I heard of the Lending Club IRA only a few weeks ago through the comments by a beta tester on my initial review of Lending Club post. [...] [...] New here? You may want to subscribe to the RSS feed or browse the site map. Thanks!I am thrilled to hear about the new Lending Club IRA account to allow peer to peer lending in an retirement account. EntrustCAMA, part of the Entrust Group, is the account administrator. I heard of the Lending Club IRA only a few weeks ago through the comments by a beta tester on my initial review of Lending Club post. [...]

]]> By: Lending Club lender http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1467 Lending Club lender Wed, 25 Mar 2009 10:42:10 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1467 I don't have a link yet because the program has not been offered 'officially' yet. I'm sure when it is there will be information on Lending Club's home page. Entrust's web site doesn't mention anything on the program yet either. As far as the interest is concerned, it would have to be tax deferred being in an IRA, but I will confirm that with the person in charge of the program at Lending Club and let you know if that is incorrect. I'd be happy to write a guest post after I see how the loans are performing. As far as the process of applying to the program, that was very straightforward and took maybe 10 minutes. I chose to mail a check in rather than wire funds, so it took about 10 days for my funds to become available at Lending Club. As you said, I'd be very happy with 9% too, minus all the volatility implicit in the stock market. I don’t have a link yet because the program has not been offered ‘officially’ yet. I’m sure when it is there will be information on Lending Club’s home page. Entrust’s web site doesn’t mention anything on the program yet either. As far as the interest is concerned, it would have to be tax deferred being in an IRA, but I will confirm that with the person in charge of the program at Lending Club and let you know if that is incorrect. I’d be happy to write a guest post after I see how the loans are performing. As far as the process of applying to the program, that was very straightforward and took maybe 10 minutes. I chose to mail a check in rather than wire funds, so it took about 10 days for my funds to become available at Lending Club. As you said, I’d be very happy with 9% too, minus all the volatility implicit in the stock market.

]]> By: Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1466 Personal Loan Portfolio Wed, 25 Mar 2009 04:35:04 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1466 Thank you for stopping by to comment. I have not heard of the EntrustCAMA option -- that is very intriguing because I have always had concerns around the tax treatment of the interest. Do you have a link to more information? If you can clear even 9% after fees year after year (and can deffer taxes), you will knock the socks off the stock market over time due the geometric average having much less volatility. Care to write a guest post on your experience with the EntrustCAMA option? I'd love it if you did. Thank you for stopping by to comment. I have not heard of the EntrustCAMA option — that is very intriguing because I have always had concerns around the tax treatment of the interest. Do you have a link to more information?

If you can clear even 9% after fees year after year (and can deffer taxes), you will knock the socks off the stock market over time due the geometric average having much less volatility.

Care to write a guest post on your experience with the EntrustCAMA option? I’d love it if you did.

]]> By: Lending Club lender http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1463 Lending Club lender Sun, 22 Mar 2009 20:57:04 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1463 I've been a Lending Club lender for three months, now, and have been pleased overall with the process. They will be rolling out an IRA investment option through EntrustCAMA in the very near future. I was invited to invest in that program as an early adopter, and am in the process of lending out my SIMPLE IRA contribution for this year ($13,500). I have close to 20k invested with them, and so far, so good, although I know my loans are brand new. Time will tell what the default rate with my loans will be. I've tried to keep about 65% in grades A and B combined, with another 20% in C, leaving the balance split between D, E and F levels. I hope to clear 10% after fees and defaults are figured in, before taxes. I’ve been a Lending Club lender for three months, now, and have been pleased overall with the process. They will be rolling out an IRA investment option through EntrustCAMA in the very near future. I was invited to invest in that program as an early adopter, and am in the process of lending out my SIMPLE IRA contribution for this year ($13,500). I have close to 20k invested with them, and so far, so good, although I know my loans are brand new. Time will tell what the default rate with my loans will be. I’ve tried to keep about 65% in grades A and B combined, with another 20% in C, leaving the balance split between D, E and F levels. I hope to clear 10% after fees and defaults are figured in, before taxes.

]]> By: Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1443 Personal Loan Portfolio Fri, 27 Feb 2009 19:57:04 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1443 Penny, Sorry that I missed your comment earlier. Thank you for stopping by and commenting. I have only loaned about $2,000 total in P2P loans. Most of the people who invested heavily in Prosper loans are regretting it, so I agree with your test the water approach. Actually, I would be putting a little more my portfolio in Lending Club loans if it were available in my area right now. (I still think stocks overall are a better buy right now, but I try not to put all eggs in one basket to reduce risk and volatility.) But unfortunately, Lending Club is not currently available in my state on the primary market and most of the loans on the secondary market are selling at a premium. That is the main reason that I have not blogged much on the topic lately. Penny,

Sorry that I missed your comment earlier. Thank you for stopping by and commenting. I have only loaned about $2,000 total in P2P loans. Most of the people who invested heavily in Prosper loans are regretting it, so I agree with your test the water approach.

Actually, I would be putting a little more my portfolio in Lending Club loans if it were available in my area right now. (I still think stocks overall are a better buy right now, but I try not to put all eggs in one basket to reduce risk and volatility.) But unfortunately, Lending Club is not currently available in my state on the primary market and most of the loans on the secondary market are selling at a premium. That is the main reason that I have not blogged much on the topic lately.

]]> By: Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1442 Personal Loan Portfolio Fri, 27 Feb 2009 19:51:54 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1442 Savvy, A flaw to this WordPress theme is that it does not have the year listed with the date on the post. However, if you notice all the previous comments, they started back in 2007, so deduction says the post was created in December 2007. We know that that hindsight is 20/20. The 9% return refers to the historical average stock market return before the latest meltdown. No one saw this kind of melt down in the stock market more than a year ago. I won't accept that anyone saw it coming back in 2007 unless they show me their trades proving it, and then that has a good chance of being dumb luck. You are right that I was not clear about the credit risk point. There is no credit risk in the stock market. However, it is a correct statement that stocks have less credit risk than a P2P loan. Additionally, my portfolio (outside of P2P lending) does carry credit risk in the form of bonds. Can you say for certain what the stock market will be at the end of this year? It might be up more than 10% from where it is now. Due to the tax treatment of P2P loan interest, the stock market does not need to return 10% to beat my P2P lending portfolio. This meltdown has made me even more certain that the stock market is a better investment right now than P2P lending. Forget what has happened in the last few months - we only have the money we have today and invest today going forward. There are many individuals in real trouble and those in trouble are more likely to be seeking a loan. With the beat down the stock market has taken, it won't take much of a comeback to trounce a P2P lending portfolio after taxes after the next few years. I will keep some money in Lending Club but will continue to buy stocks on sale as well. Can you say today that my stock market portfolio from today forward will perform better or worse than my P2P lending portfolio? Of course you can't. Well, you can try, but I bet you would have the exact same chance of being right back in December 2008 -- 50/50. Thanks for commenting. Savvy,

A flaw to this WordPress theme is that it does not have the year listed with the date on the post. However, if you notice all the previous comments, they started back in 2007, so deduction says the post was created in December 2007.

We know that that hindsight is 20/20. The 9% return refers to the historical average stock market return before the latest meltdown. No one saw this kind of melt down in the stock market more than a year ago. I won’t accept that anyone saw it coming back in 2007 unless they show me their trades proving it, and then that has a good chance of being dumb luck.

You are right that I was not clear about the credit risk point. There is no credit risk in the stock market. However, it is a correct statement that stocks have less credit risk than a P2P loan. Additionally, my portfolio (outside of P2P lending) does carry credit risk in the form of bonds.

Can you say for certain what the stock market will be at the end of this year? It might be up more than 10% from where it is now. Due to the tax treatment of P2P loan interest, the stock market does not need to return 10% to beat my P2P lending portfolio.

This meltdown has made me even more certain that the stock market is a better investment right now than P2P lending. Forget what has happened in the last few months – we only have the money we have today and invest today going forward.

There are many individuals in real trouble and those in trouble are more likely to be seeking a loan. With the beat down the stock market has taken, it won’t take much of a comeback to trounce a P2P lending portfolio after taxes after the next few years. I will keep some money in Lending Club but will continue to buy stocks on sale as well.

Can you say today that my stock market portfolio from today forward will perform better or worse than my P2P lending portfolio? Of course you can’t. Well, you can try, but I bet you would have the exact same chance of being right back in December 2008 — 50/50.

Thanks for commenting.

]]> By: savvy investor? http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1441 savvy investor? Thu, 26 Feb 2009 21:21:29 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1441 LMAO @ "...My current portfolio will not beat the stock market on average. Purchasing $500 of the total stock market index would be a much better investment because it is more diversified, contains less credit risk, and is more tax efficient." Is that December fourth of THIS YEAR!? You think the stock market is going to beat 9%? Less of a credit risk? What does that even mean? There is no 'credit' in the stock market. LMAO @

“…My current portfolio will not beat the stock market on average. Purchasing $500 of the total stock market index would be a much better investment because it is more diversified, contains less credit risk, and is more tax efficient.”

Is that December fourth of THIS YEAR!? You think the stock market is going to beat 9%? Less of a credit risk? What does that even mean? There is no ‘credit’ in the stock market.

]]> By: PennySeeds.com http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-1306 PennySeeds.com Tue, 02 Dec 2008 16:29:32 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-1306 Glad to find some commenters with serious investments! Most of what I've found are people still testing the water like me. $11,000 in prosper sounds like a substantial investment to me, how's that treating you?? The interest rates look delicious, and are way better than my CD which is actually one of the best rates around for those types of investments right now. I'm thinking about adding some P2P loans to my long term investment portfolio a long with my stocks, CDs, high yield, and cash. Glad to find some commenters with serious investments! Most of what I’ve found are people still testing the water like me.

$11,000 in prosper sounds like a substantial investment to me, how’s that treating you??

The interest rates look delicious, and are way better than my CD which is actually one of the best rates around for those types of investments right now.

I’m thinking about adding some P2P loans to my long term investment portfolio a long with my stocks, CDs, high yield, and cash.

]]> By: Lending Club Update: My First P2P Loan Delinquency | Personal Loan Portfolio http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/comment-page-1/#comment-533 Lending Club Update: My First P2P Loan Delinquency | Personal Loan Portfolio Tue, 27 May 2008 12:25:01 +0000 http://www.personalloanportfolio.com/26/review-of-my-first-loans-with-lending-club/#comment-533 [...] the site map. Thanks!Sorry for being nearly as quiet as Lending Club lately. A quick update on my Lending Club portfolio is in order. Most importantly, I had my first late loan. It is only 16-30 days late, but as most [...] [...] the site map. Thanks!Sorry for being nearly as quiet as Lending Club lately. A quick update on my Lending Club portfolio is in order. Most importantly, I had my first late loan. It is only 16-30 days late, but as most [...]

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