Prosper Lenders

Archive for 'Default Listings' Category

One of my loans defaulted due to bankruptcy

20 March 2007

Yikes! Looked like a good loan too. B credit rating with 12% DTI @17%. It was worth the risk but another example of why one should be more careful when a borrower is borrowing a large amount ($25,000) with automatic funding at a rate well above market rate.
Loan: Fast Cash Needed (Loan #413)
Borrower: henryjr
Default date: […]

Credit Grade: A, Requested: $3200, Lender Rate: 24.9%, DTI: 7%, Now delinquent: 2

22 January 2007

https://www.prosper.com/public/lend/listing.aspx?listingID=36232
Another listing with 2 current delinquency. Everything else looks ok. The E credit rating is justified by the 24.9% interest rate. The borrowed amount and DTI are both very low.

Credit Grade: A, Requested: $3500, Lender Rate: 11.1%, DTI: 25%, Now delinquent: 1

11 January 2007

https://www.prosper.com/public/lend/listing.aspx?listingID=25343
3+ month late heading for default. 
The two red flags are the 25% DTI and the 1 current delinquency, despite the A credit rating and low amount borrowed.
However, out of my 479 active loans, there are plenty of current listings with DTI greater than 20%. So, in my opinion, high DTI is not as strong of an indication of the […]

Credit Grade: E, Requested: $7000, Lender Rate: 26%, DTI: 20%, Now delinquent: 2, Group: America One Funding

11 January 2007

3+ month late, headed towards default
https://www.prosper.com/public/lend/listing.aspx?listingID=2983
I bidded on this listing despite the E credit rating partially because of the 26% lender rate. I also bidded on similar listings to test the additional credit information such as “Now Delinquent”, “Delinquencies in last 7y”, and “Public records in last 10y”.
So far it feels like the number of “Now […]

Credit Grade: B, Requested: $25000, Lender Rate: 17%

9 January 2007

3+ month late, headed for default
https://www.prosper.com/public/lend/listing.aspx?listingID=2983
Additional credit data is not available for this borrower becuse prosper did not implement it till June. This listing was posted in April, 2006.

The only thing that looks out of place is the high amount borrowed, $25000.
Everything else looked pretty good, B credit at 17% with 12% DTI.
 

Credit Grade: B, Requested: $15001, Lender Rate: 14%, Group: FANAFI Financial

6 January 2007

Here is the listing: https://www.prosper.com/public/lend/listing.aspx?listingID=3962 
This listing was created before prosper added the additional credit information. So the only red flag is the high borrowed amount.
Loan: money to pay off high interest cc and fix my rental home (Loan #515)
Borrower: substituteteacher
Sale date: Dec-21-2006
Sale reason: Delinquency
Principal balance before sale: $48.78
Loan value before sale: $51.31
Proceeds from sale and […]