PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING MADE EASY • LENDINGMEMO September 5, 2014 in P2P Lending Basics. People looking for a way to safely invest their extra cash should consider Lending Club. Since its launch in mid-2007, the peer to peer lender has paid over $540 million to tens of thousands of investors, with most people earning a 5 PEER TO PEER LENDING SITES Won’t hurt your credit score. Prosper investors: typically earn between 5% and 9.5% depending how much risk is taken on. Read: our Prosper investor review. Peer to peer lending news and education sites. A wide variety of news and education sources INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. PEER TO PEER LENDING BASICS Peer to peer lending sites – An exhaustive review. Many people like peer to peer lending for its low loan rates. Others celebrate its. April 17, 2015 in P2P Lending Basics. 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

INTRODUCING THE LIQUIDITY PROJECT • LENDINGMEMO Today, LendingMemo is happy to announce the launch of The Liquidity Project. This will be a five month experiment to examine how easy it is to liquidate a peer to peer lending account. We will do this by selling $1000 worth of notes (40 notes) from each platform on the secondary market. The process will be as follows: Set Up Portfolios

– My

THE COMPLETE GUIDE TO INVESTOR RISKS AT LENDING CLUB & PROSPER The seven major risks in peer to peer lending are: Borrowers could default on their loans. The platforms could make mistakes in their underwriting. Lending Club or Prosper might go bankrupt. A rise in unemployment could cause increased defaults. New regulatory hurdles could bring hardship. DOWNLOAD THIS FREE PEER TO PEER LENDING EBOOK • LENDINGMEMO Download this free peer to peer lending eBook. by Simon Cunningham on May 19, 2014 in News & Community. Don't miss new articles. Follow LendingMemo: One amazing thing about this asset class is the blistering speed with which it changes month by month. Already the Lending Club screencasts I made in February feel out of date because

Lending Club

INVESTOR RETURNS AT LENDING CLUB ARE GOING DOWN. WHAT'S The black line is a rough guess of the return investors earn once loans have been paid back or defaulted. This line has seen a 1.88% decline since mid 2013. The new normal for Lending Club investors may be an average return of just 5.7%, and this return could even PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING MADE EASY • LENDINGMEMO September 5, 2014 in P2P Lending Basics. People looking for a way to safely invest their extra cash should consider Lending Club. Since its launch in mid-2007, the peer to peer lender has paid over $540 million to tens of thousands of investors, with most people earning a 5 PEER TO PEER LENDING SITES Won’t hurt your credit score. Prosper investors: typically earn between 5% and 9.5% depending how much risk is taken on. Read: our Prosper investor review. Peer to peer lending news and education sites. A wide variety of news and education sources PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. PEER TO PEER LENDING BASICS Peer to peer lending sites – An exhaustive review. Many people like peer to peer lending for its low loan rates. Others celebrate its. April 17, 2015 in P2P Lending Basics. INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

INTRODUCING THE LIQUIDITY PROJECT • LENDINGMEMO Today, LendingMemo is happy to announce the launch of The Liquidity Project. This will be a five month experiment to examine how easy it is to liquidate a peer to peer lending account. We will do this by selling $1000 worth of notes (40 notes) from each platform on the secondary market. The process will be as follows: Set Up Portfolios

– My

THE COMPLETE GUIDE TO INVESTOR RISKS AT LENDING CLUB & PROSPER The seven major risks in peer to peer lending are: Borrowers could default on their loans. The platforms could make mistakes in their underwriting. Lending Club or Prosper might go bankrupt. A rise in unemployment could cause increased defaults. New regulatory hurdles could bring hardship. DOWNLOAD THIS FREE PEER TO PEER LENDING EBOOK • LENDINGMEMO Download this free peer to peer lending eBook. by Simon Cunningham on May 19, 2014 in News & Community. Don't miss new articles. Follow LendingMemo: One amazing thing about this asset class is the blistering speed with which it changes month by month. Already the Lending Club screencasts I made in February feel out of date because

Lending Club

PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Complaint #2: Lending Club’s interest rates can be too high. Perhaps you applied for a loan, but when Lending Club showed you your loan offer the interest rate was higher than expected (like, 15-20%). This is perhaps the most complicated part of this article, mostly because the way that Lending Club sets its interest rates is a company secret. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Complaint #2: Lending Club’s interest rates can be too high. Perhaps you applied for a loan, but when Lending Club showed you your loan offer the interest rate was higher than expected (like, 15-20%). This is perhaps the most complicated part of this article, mostly because the way that Lending Club sets its interest rates is a company secret. PEER TO PEER LENDING MADE EASY • LENDINGMEMO September 5, 2014 in P2P Lending Basics. People looking for a way to safely invest their extra cash should consider Lending Club. Since its launch in mid-2007, the peer to peer lender has paid over $540 million to tens of thousands of investors, with most people earning a 5 PEER TO PEER LENDING SITES Won’t hurt your credit score. Prosper investors: typically earn between 5% and 9.5% depending how much risk is taken on. Read: our Prosper investor review. Peer to peer lending news and education sites. A wide variety of news and education sources PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. PEER TO PEER LENDING BASICS Peer to peer lending sites – An exhaustive review. Many people like peer to peer lending for its low loan rates. Others celebrate its. April 17, 2015 in P2P Lending Basics. 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

THE COMPLETE GUIDE TO INVESTOR RISKS AT LENDING CLUB & PROSPER The seven major risks in peer to peer lending are: Borrowers could default on their loans. The platforms could make mistakes in their underwriting. Lending Club or Prosper might go bankrupt. A rise in unemployment could cause increased defaults. New regulatory hurdles could bring hardship. INTRODUCING THE LIQUIDITY PROJECT • LENDINGMEMO Today, LendingMemo is happy to announce the launch of The Liquidity Project. This will be a five month experiment to examine how easy it is to liquidate a peer to peer lending account. We will do this by selling $1000 worth of notes (40 notes) from each platform on the secondary market. The process will be as follows: Set Up Portfolios

– My

DOWNLOAD THIS FREE PEER TO PEER LENDING EBOOK • LENDINGMEMO Download this free peer to peer lending eBook. by Simon Cunningham on May 19, 2014 in News & Community. Don't miss new articles. Follow LendingMemo: One amazing thing about this asset class is the blistering speed with which it changes month by month. Already the Lending Club screencasts I made in February feel out of date because

Lending Club

PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING For some prospective investors, an initial investment of $5000 (200 x $25 notes) is a big pill to swallow. However, if we suggested prospective investors try peer to peer lending with half this amount, perhaps $2,000 (80 x $25 A-grade notes), the trial investment is palatable for a greater number of interested people. WHAT MAKING HISTORY LOOKS LIKE: LENDING CLUB FILES FOR IPO On Wednesday morning, something remarkable happened. Lending Club filed this S-1 form with the SEC, their first official step towards having an IPO and becoming a public company that trades on the US stock market. The filing marks an historic moment for their company and peer to peer lending in general. What an exciting time this is. PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BEST In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPER 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

WHAT IS AN EXPECTED RETURN IN PEER TO PEER LENDING Some think a 5% return can be expected; others say 12%. The overall consensus certainly trumpets the lucrative returns available within peer to peer lending, but when pushed for actual numbers, this consensus breaks down. It’s like asking five dietitians what makes a healthy eating habit. All would respond a with some version of a

balanced diet.

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING For some prospective investors, an initial investment of $5000 (200 x $25 notes) is a big pill to swallow. However, if we suggested prospective investors try peer to peer lending with half this amount, perhaps $2,000 (80 x $25 A-grade notes), the trial investment is palatable for a greater number of interested people. WHAT MAKING HISTORY LOOKS LIKE: LENDING CLUB FILES FOR IPO On Wednesday morning, something remarkable happened. Lending Club filed this S-1 form with the SEC, their first official step towards having an IPO and becoming a public company that trades on the US stock market. The filing marks an historic moment for their company and peer to peer lending in general. What an exciting time this is. PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LOAN CALCULATOR FOR LENDING CLUB & PROSPER Peer to peer loan calculator for Lending Club & Prosper. This loan calculator, also known as an amortization scheduler, lets you see your monthly loan payments at Lending Club and Prosper, the two largest peer to peer loan companies in the United States. If you’re getting a loan, it is a good idea to check your rate with both companies and HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. WHICH STATES ARE OPEN TO LENDING CLUB AND PROSPER? I was recently interviewed by Joe Saul-Sehy for the Stacking Benjamins podcast. At one point in the interview, Joe mentioned he was unable to invest because he lives in Texas, a state that is closed to both Lending Club and Prosper investors [Update: as seen below, Texas is now open!This is really frustrating for Joe, because he is a big fan of peer to peer loans. THE COMPLETE GUIDE TO INVESTOR RISKS AT LENDING CLUB & PROSPER The seven major risks in peer to peer lending are: Borrowers could default on their loans. The platforms could make mistakes in their underwriting. Lending Club or Prosper might go bankrupt. A rise in unemployment could cause increased defaults. New regulatory hurdles could bring hardship. LIQUIDATE AND CLOSE A LENDING CLUB OR PROSPER ACCOUNT Finally, contact Lending Club or Prosper account services and have them close your account. To do this, I called Lending Club’s toll-free number for Investor Services: (888) 596-3159. Prosper’s investor line is (877) 646-5922. A few short minutes on the phone with an account manager and your account will close. IPO: THE DAY THE WORLD MET LENDING CLUB • LENDINGMEMO Yesterday was the largest day in peer to peer lending history. Lending Club became the first company to go public and trade on the stock market, bringing a tremendous degree of publicity to this previously niche sector of finance. The entire New York Stock Exchange was dedicated to heralding this day, with the stock surging 60% on its

opening.

PEER TO PEER LOAN CALCULATOR FOR LENDING CLUB & PROSPERLENDING CLUB LOAN CALCULATORLENDING CLUB PERSONAL LOAN CALCULATOR Peer to peer loan calculator for Lending Club & Prosper. This loan calculator, also known as an amortization scheduler, lets you see your monthly loan payments at Lending Club and Prosper, the two largest peer to peer loan companies in the United States. If you’re getting a loan, it is a good idea to check your rate with both companies and WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BESTLENDING CLUB PERSONAL LOANCOMMERCIAL LOAN RISK RATING DEFINITIONSLOAN RISK ASSESSMENTRISK RATING DEFINITIONS FOR LOANS In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPERXIRR FULL FORMXIRR FUNCTION EXCELXIRR GUESSXIRR MEANINGXIRR VS IRR 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENTBEST P2P LENDINGP2P LENDING FOR INVESTORSP2P LENDING INVESTINGP2P LENDING SITES It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING For some prospective investors, an initial investment of $5000 (200 x $25 notes) is a big pill to swallow. However, if we suggested prospective investors try peer to peer lending with half this amount, perhaps $2,000 (80 x $25 A-grade notes), the trial investment is palatable for a greater number of interested people. LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Complaint #2: Lending Club’s interest rates can be too high. Perhaps you applied for a loan, but when Lending Club showed you your loan offer the interest rate was higher than expected (like, 15-20%). This is perhaps the most complicated part of this article, mostly because the way that Lending Club sets its interest rates is a company secret. PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LOAN CALCULATOR FOR LENDING CLUB & PROSPERLENDING CLUB LOAN CALCULATORLENDING CLUB PERSONAL LOAN CALCULATOR Peer to peer loan calculator for Lending Club & Prosper. This loan calculator, also known as an amortization scheduler, lets you see your monthly loan payments at Lending Club and Prosper, the two largest peer to peer loan companies in the United States. If you’re getting a loan, it is a good idea to check your rate with both companies and WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BESTLENDING CLUB PERSONAL LOANCOMMERCIAL LOAN RISK RATING DEFINITIONSLOAN RISK ASSESSMENTRISK RATING DEFINITIONS FOR LOANS In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPERXIRR FULL FORMXIRR FUNCTION EXCELXIRR GUESSXIRR MEANINGXIRR VS IRR 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENTBEST P2P LENDINGP2P LENDING FOR INVESTORSP2P LENDING INVESTINGP2P LENDING SITES It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING For some prospective investors, an initial investment of $5000 (200 x $25 notes) is a big pill to swallow. However, if we suggested prospective investors try peer to peer lending with half this amount, perhaps $2,000 (80 x $25 A-grade notes), the trial investment is palatable for a greater number of interested people. LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Complaint #2: Lending Club’s interest rates can be too high. Perhaps you applied for a loan, but when Lending Club showed you your loan offer the interest rate was higher than expected (like, 15-20%). This is perhaps the most complicated part of this article, mostly because the way that Lending Club sets its interest rates is a company secret. PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. PEER TO PEER LENDING BASICS Peer to peer lending sites – An exhaustive review. Many people like peer to peer lending for its low loan rates. Others celebrate its. April 17, 2015 in P2P Lending Basics. INTRODUCING THE LIQUIDITY PROJECT • LENDINGMEMO Today, LendingMemo is happy to announce the launch of The Liquidity Project. This will be a five month experiment to examine how easy it is to liquidate a peer to peer lending account. We will do this by selling $1000 worth of notes (40 notes) from each platform on the secondary market. The process will be as follows: Set Up Portfolios

– My

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING A lot has been written about diversification in peer to peer lending, including on this site (see here & here).In short, it is the most important thing investors need to do. Beginner investors sometimes pay too much attention to the details of each individual loan, occasionally forgetting to simply diversify their investment across

hundreds of loans.

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

QUARTERLY REPORTS OF SIMON'S PERSONAL P2P INVESTMENTS My returns at Lending Club & Prosper for Q4 2014. To encourage more people to start investing, each quarter I post the current state of. October 10, 2014 in My P2P Lending Returns. 6 WAYS TO INCREASE RETURNS • LENDINGMEMO 6 Ways to Increase Returns. Investors on Lending Club and Prosper who diversify their accounts in two hundred notes can reasonably expect a return between 5-10%. In today’s Whiteboard we look at how we can do our best to be on the higher side of that spectrum. PEER TO PEER LOAN CALCULATOR FOR LENDING CLUB & PROSPERLENDING CLUB LOAN CALCULATORLENDING CLUB PERSONAL LOAN CALCULATOR This loan calculator, also known as an amortization scheduler, lets you see your monthly loan payments at Lending Club and Prosper, the two largest peer to peer loan companies in the United States. INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING A peer to peer loan, on the other hand, is quick and easy. You simply go online, fill in your info, submit some documents to validate your identity, and (if approved) the money is electronically moved to your

checking account.

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BESTLENDING CLUB PERSONAL LOANCOMMERCIAL LOAN RISK RATING DEFINITIONSLOAN RISK ASSESSMENTRISK RATING DEFINITIONS FOR LOANS Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPERXIRR FULL FORMXIRR FUNCTION EXCELXIRR GUESSXIRR MEANINGXIRR VS IRR Great article..I just made my first deposit with Lending Club waiting for my initial batch of loan to become active. I see your point about not taking “uninvested” cash into account when calculating your return, but at the same time, if that cash sits earning no interest, it’s no different than other savings I have sitting in my Fidelity money market account or my bank checking WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING A lot has been written about diversification in peer to peer lending, including on this site (see here & here).In short, it is the most important thing investors need to do. Beginner investors sometimes pay too much attention to the details of each individual loan, occasionally forgetting to simply diversify their investment across

hundreds of loans.

LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Of course, the simplest way to increase your yearly income is to increase how much money you make at your job, so perhaps this is a great opportunity to sit down with your boss and negotiate that raise you’ve been on the fence about. Or maybe this is the month for you to launch that side business you’ve been meaning to start. Literally do anything to increase your yearly income. 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENTBEST P2P LENDINGP2P LENDING FOR INVESTORSP2P LENDING INVESTINGP2P LENDING SITES It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN A lack of strategy is one of the most common problems new investors face at Prosper. Once someone has opened an account and transferred funds over from their bank account, it can be confusing to figure out what to do next. This problem is easy to see in the variety of success that different people experience on at Prosper. PEER TO PEER LOAN CALCULATOR FOR LENDING CLUB & PROSPERLENDING CLUB LOAN CALCULATORLENDING CLUB PERSONAL LOAN CALCULATOR Peer to peer loan calculator for Lending Club & Prosper. This loan calculator, also known as an amortization scheduler, lets you see your monthly loan payments at Lending Club and Prosper, the two largest peer to peer loan companies in the United States. If you’re getting a loan, it is a good idea to check your rate with both companies and WHAT IS A PEER TO PEER LOAN? WHAT IS P2P LENDING Peer to peer lending (also known as p2p lending) is the large-scale lending of money between people online. It’s exactly what it sounds like — peer to peer, person to person lending, except done by thousands of people working together. At its most basic level, peer to peer lending actually is not much different than just lending money to

a

IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. RISK TOLERANCE 101: WHICH P2P LOAN GRADES ARE BESTLENDING CLUB PERSONAL LOANCOMMERCIAL LOAN RISK RATING DEFINITIONSLOAN RISK ASSESSMENTRISK RATING DEFINITIONS FOR LOANS In peer to peer lending, our individual risk tolerance is related to the grade of the loans we invest in. Both platforms have seven risk-grades they give their loans. Lending Club’s grades span from A to G, with A-grade being the safest. Prosper starts with the safe AA-grade, then grades A through E, and finally HR (high risk). INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. XIRR MAGIC: CALCULATING RETURNS ON LENDING CLUB & PROSPERXIRR FULL FORMXIRR FUNCTION EXCELXIRR GUESSXIRR MEANINGXIRR VS IRR 3. Calculate XIRR: Go to an empty cell and type in = (the equals sign) followed by XIRR. Then type (B2:B x ,A2:A x). B2 equals the cell of your first amount and Bx is the cell of your last amount. A2 is the cell of your first date and Ax is the cell of your last date. So for

our example I

7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENTBEST P2P LENDINGP2P LENDING FOR INVESTORSP2P LENDING INVESTINGP2P LENDING SITES It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING For some prospective investors, an initial investment of $5000 (200 x $25 notes) is a big pill to swallow. However, if we suggested prospective investors try peer to peer lending with half this amount, perhaps $2,000 (80 x $25 A-grade notes), the trial investment is palatable for a greater number of interested people. LENDING CLUB COMPLAINTS: 5 PROBLEMS BORROWERS CAN FACE FOR Complaint #2: Lending Club’s interest rates can be too high. Perhaps you applied for a loan, but when Lending Club showed you your loan offer the interest rate was higher than expected (like, 15-20%). This is perhaps the most complicated part of this article, mostly because the way that Lending Club sets its interest rates is a company secret. PROSPER STRATEGY: 6 INVESTOR TIPS FOR A SOLID RETURN The benefits of a peer to peer IRA are awesome. Say you are 35 years old and open a Prosper IRA with $5,000, adding just $500 per month that grows at 10%, closing it when you retire at age 65. You would earn $1,074,000. If you used a taxable account all those years and were in a 25% tax bracket, you would only have $664,000. PEER TO PEER LENDING VIDEOS • LENDINGMEMO Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. HOW TO TRY PEER TO PEER LENDING (WITH $2,000) • LENDINGMEMO Investing Note 3 – With $5,000 or more you can invest in lots of grades: This article emphasizes that you need 80 A-grade notes for a diversified peer to peer lending account. This means a minimum of $2,000 (80*$25=$2K). However, with $5,000+ you can invest in 200 notes (200*$25=$5K) across lots of grades – the safer A-grades through the INTRODUCTION TO P2P LENDING Note: Out of date. Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. IS LENDING CLUB A SCAM? 8 REASONS IT’S SAFE FOR A LOAN The evidence is clear : While many fraudulent cheating sites exist on the internet, Lending Club is a trusted way to take out a loan (up to $40,000). For a quick low-rate loan, Lending Club is one of the best options nationwide. You can easily find your rate and apply at no risk of it affecting your credit score. Check your rate. PEER TO PEER LENDING BASICS Peer to peer lending sites – An exhaustive review. Many people like peer to peer lending for its low loan rates. Others celebrate its. April 17, 2015 in P2P Lending Basics. 7 PROBLEMS THAT KEEP P2P LENDING A NICHE INVESTMENT It’s probably pretty obvious to visitors of this site that I’m a fan of lending money online. A significant portion of my week is dedicated to reading, writing, and having conversations about p2p lending.I’m so convinced, I’ve even suggested investors put 20% of their excess cash into this investment.. That said, a number of

problems remain.

INTRODUCING THE LIQUIDITY PROJECT • LENDINGMEMO Today, LendingMemo is happy to announce the launch of The Liquidity Project. This will be a five month experiment to examine how easy it is to liquidate a peer to peer lending account. We will do this by selling $1000 worth of notes (40 notes) from each platform on the secondary market. The process will be as follows: Set Up Portfolios

– My

WHEN 200 AIN'T ENOUGH: DIVERSIFICATION & RISK IN P2P LENDING A lot has been written about diversification in peer to peer lending, including on this site (see here & here).In short, it is the most important thing investors need to do. Beginner investors sometimes pay too much attention to the details of each individual loan, occasionally forgetting to simply diversify their investment across

hundreds of loans.

XIRR CALCULATOR • LENDINGMEMO XIRR calculator. XIRR remains the best way for p2p investors to independently determine their account’s internal rate of return. To use it, place each transaction in the appropriate box, indicating it as a deposit/withdrawal. Finally, input your investment period’s final date & value and click Calculate. Related article: Calculating

Returns

QUARTERLY REPORTS OF SIMON'S PERSONAL P2P INVESTMENTS My returns at Lending Club & Prosper for Q4 2014. To encourage more people to start investing, each quarter I post the current state of. October 10, 2014 in My P2P Lending Returns.

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FEATURED LENDER ARTICLESFEATURED BORROWER ARTICLES LENDING CLUB INVESTOR REVIEW: HOW TO EARN A GREAT RETURN September 5, 2014 in P2P Lending Basics People looking for a way to safely invest their extra cash should consider Lending Club. Since its launch in mid-2007, the peer to peer lender has paid over $540 million to tens of thousands of investors, with most people earning a 5-10% return per year.

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HOW TO TRY PEER TO PEER LENDING (WITH $2,000) June 27, 2014 in P2P Lending Basics To help prospective investors, I have broken down the average registration and investment process below.

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WHY WELLS FARGO IS TERRIFIED OF PEER TO PEER LENDING February 26, 2014 in Editorials Five weeks ago the London-based newspaper Financial Times broke a story that Wells Fargo, one of the largest banks in the world, had issued a memo banning their staff from taking part in Lending Club and Prosper. This was big news.

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Read investing articles FEATURED BORROWER ARTICLES LENDING CLUB VS. PROSPER 2019: 5 BIG DIFFERENCES February 25, 2019 in Borrower Help Lending Club and Prosper are two options for getting an online loan. But which is better for your situation? Dear reader, you are in luck. I have taken a loan out from both companies, and have seen how they

compare.

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LENDING CLUB REVIEW FOR BORROWERS 2019: IS THIS COMPANY LEGIT? February 14, 2019 in Borrower Help I knew that Lending Club was a good option for a loan, but I wanted to see what they would offer me. So last Monday I booted up my computer and went to their website to check my rate.

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PROSPER LOANS REVIEW FOR BORROWERS: IS THIS COMPANY LEGIT? June 4, 2018 in Borrower Help I knew the rates on loans at Prosper were some of the lowest in the nation, but I was curious to see what interest rate they would offer me. So one Thursday morning I sat on my couch, turned on my computer, and went to their website to see for myself.

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NOTE: OUT OF DATE

Hello dear visitor! This site was active for many years but today is no longer being maintained. While some of the writing I did may be still enjoyable to read these years later, please do not rely on this site for current borrowing or lending information. To learn more about peer to peer lending in the current year I suggest you visit Peter Renton's regularly updated site: LendAcademy.com

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Simon

February 2021

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