As September came to a close, I was enjoying an 11.98% net annualized return with Lending Club. Once again, I spent the month expanding my holdings beyond my original “High Risk” and “Low Risk” test portfolios. My overall rate of return has slipped a bit as the loans I’ve been investing in recently are, on average, higher quality than my original holdings.
At the end of the month, I had 133 notes outstanding, and all but one are performing as expected. That one exception is the same note that has been problematic from the start. In fact, that borrower has yet to make a single payment, and the loan has now been sent to collections. Thankfully that note is only worth $25, so it’s won’t hurt my overall portfolio too much.
Speaking of collections… Lending Club is hosting a “Credit and Collections” webinar tomorrow (Thursday) evening at 7PM Eastern. If you can’t listen in live, you should be able to access the archive at some point in the near future.