P2P Lending / NFT Lending Forum

https://forum.lendacademy.com/index.php?topic=2872.msg26024#msg88888888Quote"> from: Unfolder on December 11, 2014, 03:13:04 PM

I only asked for 250 shares and I got 175.

I just confirmed for 250 shares.  I had already transferred $4K to the Fidelity account, that was the maximum I was willing to spend (gamble)or (lose).  I have never bought any stock of one company directly before, only bought shares of diversified funds.  Part of me thinks I might be crazy for participating in this and part of me says go for it and take a risk.  Just like when I starting investing a bit at a time in LC loans back in March 2009 and that has worked out well for me, so far.  Does any one know what the broker fee will be?

I signed up for 350 shares.  As of Sept 30, I had $30K in my main LC account and $23.5K in my Roth LC account.  Thanks for all the folks posting info and alerts.  I am glad I check this site everyday.  The Fidelity emails have come to my email address for my LC Roth account, which is the email address I don't use and check very often.

I did not see the LC IPO email from Lending Club in my inbox for the email address I use for my main LC account.  So I decided to check the email for my Roth LC account (different email address) and the IPO email was there.  I hardly check this email.  So when I click on the link in the IPO email, it takes me to  a LC sign-in page with my main LC account email address (not the Roth LC email address) and so I signed in with the main LC email address.  Kinda confusing.  I do have a Fidelity account, mostly to take advantage of the 2% cashback Fidelity Amex. 

http://www.bakersfieldinvestmentclub.com/conversion-page" class="bbc_link" target="_blank">http://www.bakersfieldinvestmentclub.com/conversion-page

"Last Year We Paid All Our Members 33%

We offer a minimum return of 15%, a guarantee of principal, 100% liquidity, no fees and no minimum investment. We can do rollovers from any type of retirement account with no taxes. 100k at 30% will give you about 30k per year of income."

Sounds fantastic!.....or what?......   Here I am plodding away with only 9% return when I could be getting 15% and not losing principal https://forum.lendacademy.com/Smileys/default/shocked.gif" alt=":o" title="Shocked" class="smiley" />

Interesting on their page comparing themselves with Lending Club, they claim they will swap out a defaulted note with a new note.  http://www.bakersfieldinvestmentclub.com/blog/comparison-of-bakersfield-investment-club-vs.-lending-club-direct" class="bbc_link" target="_blank">http://www.bakersfieldinvestmentclub.com/blog/comparison-of-bakersfield-investment-club-vs.-lending-club-direct

"What do you mean by helping new members with losses?

Although it hasn't happened yet, we don't want any of our members to have a bad experience, especially when they're just getting started. So if you have a late payment or a default soon after opening your account, we'll just swap out those notes with some new ones up to $50."

They are so new at this that a late or default "hasn't happened yet".

My results:

Your Percentile:
vs All Accounts: 58
vs Similar Age Accounts: 80

Using this data:

Your Notes purchased on the Lending Club platform
Adjusted Net Annualized Return:   9.21%  (This is adjusted figure for past due notes)
Weighted Average Interest Rate:   14.60%
Weighted Average Age of Portfolio:   17.8 mos
Number of Notes:   1,844

I sold some notes on Folio last year, but not any this year.  Too time consuming for me. I am using Interest Radar to autoinvest this year.

There was a lot of discussion before on why selling notes from your IRA lending club account might be a problem.  Could be viewed as a taxable distribution.  Status of Folio as an IRA custodian is not clear.  See this thread.

http://www.lendacademy.com/forum/index.php?topic=1674.0" class="bbc_link" target="_blank">http://www.lendacademy.com/forum/index.php?topic=1674.0

What is a benchmark return?

I was looking at some note last night where the income was over $760,000 per MONTH.  I think they worked at the LA public library.  Must have been a typo. But it was already 69% funded when I was looking at it.  I passed on it.

I remember the Prosper loan descriptions that had a long column of the borrower's estimated monthly expenses:  rent, utilities, car payment, credit cards, medical, food etc.   I don't know if that was a form they had to fill out or a suggested format for the loan description.  I think it was easy for them to fill in the monthly payments such as rent or mortgage that are the same every month, but harder for some other expenses.  Most people have a hard time tracking exactly how much they spend on variable expenses like food (groceries and eat out) unless they have carefully tracked it before.  I used to laugh at the loans where the borrower estimated they spent $50 a month on food.  Could be true if they are still living with parents.  So I can see how borrowers might be put off trying to supply all these estimates if they don't already have then within easy reach.

Here is a loan description from one of my Prosper loans made in August 2008 (by the way,  my favorite Prosper loan whose borrower made all 36 timely payments on the loan at interest rate of 26.75%.  So I made a profit of $23.34 on a $50 note.)

Purpose of loan:
This loan will be used to pay for Medical Expenses not covered by Medical Insurance. 

My financial situation:
I am a good candidate for this loan because my job is solid during this uncertain time with the economy.  I have very little debt.  My car is paid for.  I also, have a large amount ($1,638) of disposable income left over each month after all bills and expenses have been paid.
 
Ran into a little financial difficulty during 2002 and 2003 when my airline job was eliminated after the events of 911.  Have been financailly solid for the last several years. 

Monthly net income: $3,149 (Monthly gross income $4,333)

Monthly expenses: $1,511 
  Rent: $959
  Electric: $25
  Gas: $6
  Cable: $24
  Cell Phone: $62
  Food: $250
  Auto Insurance $39
  Auto Gas: $40
  Credit Card: $28
  Health Insurance: $78

MONTHLY LEFT OVER INCOME $1,638

Back in the early years of the P2P lending, I would ask questions sometimes and get answers.  Sometimes the answers would be satisfactory, sometimes not.  I remember looking back at the listing for one of my charged off loans and seeing a QA that I did not remember in which the borrower explained he need the money to pay his rent or pay off a payday loan-  obviously a red flag for prospective lender.  But I had probably already invested in the loan before that answer was given.   Now loans are funded so fast there is no time for the QAs.

https://forum.lendacademy.com/index.php?topic=1532.msg12002#msg12002">Quote"> from: New Jersey Guy on September 06, 2013, 09:11:50 PM

The original loan info does not look too bad, except now I only lend to inquiries=0 after reading some of Peter's advice.  The QAs are interesting, this person admits to paying $29,000 on interest alone on her credit cards.  And paying a lawyer with a credit card over 10 years ago with debt still not paid off.

I have about $5000 each in savings accounts attached to the PayPal (5%),  Mango Money (6%) and  Union Plus (5%) prepaid debit cards. 

Union Plus prepaid debit savings account pays about 5% for up to $5,000.
http://www.unionplus.org/money-credit/prepaid-debit-card" class="bbc_link" target="_blank">http://www.unionplus.org/money-credit/prepaid-debit-card

The usual setup, have to put money onto debit card, then transfer to savings.  Can only get the savings out through the debit card.  You get the promotional savings rate if you enroll in recurring direct deposit of $50 per month.  $2 per month maintenance fee for the debit card.