Thursday, August 13, 2009

Lending Club Raises Rates, Prosper Responds by Hearlding Auction

Beginning July 30th, Lending Club has raised average rates charged to borrowers by 0.5% in response to increased interest rates charged by mainstream lenders.

Investors will be seeing increased rates, and already the current net annualized return of all Lending Club investors was over 9.5%.

Lending Club has continued to see increasing number of loan requests from prime borrowers and believes that the higher rate remains competitive. The very best, grade A loans, according to a company press release have actually been lowered by 0.46% to further attract the best borrowers.

Prosper.com has responded by further emphasizing its’ auction model, driving interest rates as low as its investors are willing to fund based on risk.

Jessica Ward is a freelance writer from Seattle. You can also read her work at www.debtkid.com and www.pennywisefamily.blogspot.com.

3 comments:

Investors times said...

Dear Jessica,

I am so please to have reached your blog. As I can see you have a nice blog on peer to peer lending.
I have a blog at investorstimes.blogspot.com where I talk about investing in particular.

However i have no knowledge on prosper.
I have tried to write on the subject but the post are not that good.

If you could provide me some post i would be grateful. Since prosper is not my field I would probably need two or three posts introducing prosper and peer to peer lending to keep the readers for some times and then I would have your links at the bottom of each post and send them to your blog.

I have my blog on many top search engine result on prosper like
"borrow from prosper" If I could just get some post I would get the readers and send them to you at the end of the post.

I thank you very much.

Anonymous said...

Wow - you want Jesica do work for free? Nice. If you want to learn about Prosper, in addition to this excellent blog, you can also join the Prosper community at http://prospers.org/forum.

Also, before you put a dime into Prosper, read their S-1 filing with the SEC to understand who actually owns the loans, if Prosper can stay in business for 3 more years and some of risk factors they face.

JessicaW said...

Investors Times: Thanks for your inquiry. If you're interested in freelance writing services, I suggest that you contact me through my Web site at www.jessicaward.me. Tom is the resident Prosper expert, and the owner of this blog. I don't do a lot of Prosper writing here though I do cover the other P2P lenders.

What might be a better fit for your publication is to contact Tom to see if he sells reprints of these articles. (I don't know if he does,or if he's open to that).

Being a freelancer and having many clients in the personal finance niche, I try not to take on too many that have overlapping interests, as in most cases it's really difficult to write stories "different enough" to feel good about selling essentially the same story twice--therefore, I try not to do it at all.