Time for another Lending Club performance update…
As of today, I’m enjoying a 12.50% net annualized return on my investments. In addition to my “High Risk” and “Low Risk” test portfolios, I’ve been investing additional funds in a “catchall” portfolio. This portfolio primarily contains a mix of Grade A and Grade B loans, though I have a few Grade C loans in there, as well.
While I made it through the month of June with all loans intact, July saw my first loan go late. It’s currently listed as being 31-120 days late, so there’s still hope. In fact, it appears that there’s a payment currently being processed, so it might flip back into the “Current” category before to long.
The loan in question is a Grade E loan from my “High Risk” portfolio. As I’ve noted in the past, loans in this range have a 15-20% likelihood of going bad based on historical data, so this isn’t terribly surprising.
On the bright side, 95% of the loans in my “High Risk” portfolio (19 of 20) are still paying on time, as are 100% of my other loans. As I’ve said before, only time will tell how things turn out. As of right now, however, I’m still quite happy with my Lending Club experience.