While a lender sees his cash account balance and investments categorised by credit grade and current status, does the borrower see these details on his my account page?

Nickel, as part of your experiment will you attempt to sell some of your loans on the secondary market?

Appreciate the prompt response..
Pls do forward the borrower sign up details if you happen to come across anywhere..

http://www.fivecentnickel.com/.....g-process/

I haven’t signed up as a borrower, so I’m afraid I can’t help on that account.

For everyone else that is interested in risks, the A loans are pretty solid: https://www.lendingclub.com/info/statistics.action

Thank you.

Why? Because the economy is undergoing massive change. The belief that you can measure risk by the “Grade A” is the same belief that created the credit default swap market! No one understood how much risk there was in the credit defaults. Now they know.

I think you have no idea whether someone will pay back a loan because the economy could collapse in the next 6 months. If it does, how many of those “Grade A” loans will default?

Am I saying that Prosper and Lending Club are bad, or that you shouldn’t invest with them? Not at all. I think it’s great that they are creating brand new ways for people to borrow money. I am only suggesting that you may want to consider the risk of massive economic change.

“Borrowers must have a credit score of at least 660 based on a credit history spanning at least one year and with at least three accounts listed, two of which must still be open. They can’t have any current delinquencies, recent bankruptcies (past seven years), open tax liens, charge-offs, or collections within the past twelve months.”

I’m guessing that, at the very least, that bankruptcy is still haunting you.

As for signing up as a lender, I doubt there would be any problems. The lender signup process is very quick, so it can’t hurt to try.

After Prosper went into “hiding” I decided to try my hand at Lending Club’s site just a few short weeks ago. I was turned down flat. The first thing I asked myself was, “Why did I even bother to write a brief bio of myself, including having paid off that Prosper loan, if no one was going to give that bio so much as a brief glimpse?”

I knew LC was very persnickety about screening potential borrowers; figuring that my three scores were over 660, I thought it wouldn’t be an issue. I was wrong. I DO have a bankruptcy that was discharged over seven years ago. I will be notifying all three companies to “kindly” remove that from my reports.

The questions is: If I was turned down for a loan, what are the odds I would be turned down for applying to become a lender? Do they look at my financial background or as long as I have the dollars to invest, it won’t be an issue. The reason why I wanted to apply for a loan first is to establish a relationship with LC. Many do this, as it is.

Thanks for your thoughts in advance.

I have made 8 total loans from my initial investment, 3 of which were either charged off or filed for bankruptcy, 3 are paid, and two are listed as current.

If I had the same $300 now? I’d probably do what you are doing… Prosper wasn’t a bad experience, it just wasn’t a GREAT experience, but I hope Lending Club proves to be a better deal for you.

The automated loan selection looks like a large improvement, the reduced minimum investment is a plus – it has some things going for it that Prosper didn’t have that I’m sure would have enhanced the experience.

Looking forward to your future updates!