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Are there any investors on here that utilize the FolioFN platform to mitigate loss of principal?  I've done it with a fair amount of success and was curious the strategy of others.

For me, I pay attention to processing.  Once a loan has been processing greater than 4 days, I look at the FICO trend and Original Note.  Based on this financial information, I make the determination if I want to sell it.  I immediately place it on FolioFN for a small discount, but normally still in the money for me due to past received payments.  Generally they sell where I break even or make a slight bit of return. 

I also monitor the FICOs of my portfolio weekly.  I sit down and look at all the trends.  I do mostly credit card refinancing loans.  If I see the FICO trending downward or the new level of FICO no longer justify the interest rate (650 FICO whom got a Grade A loan), I'll sell these in the FolioFN as well.  They sell quicker than the above loans, but I rarely take losses on either.

Anyone else have a similar strategy?

In the downloaded LC LoanStats.cvs there are two headings for "Amount Funded":
"Amount Funded By Investors" and "Total Amount Funded", where "Total Amount Funded" is larger.
What is the difference between the two? If a notes is not 100% funded by investors, where does the balance come from?

Interest Radar finds and lists suitable notes.

Clicking on "Invest" (in the "My Investment" column) adds the loan to my LC order and changes the status from "Invest" to "Added". However, the note may already have been fully funded (no longer available) or I may change my mind and not invest in that note. Thus, I may want to reset the status back to "Invest". This scan be done for all listed notes by the "Clear" link. However, that resets all notes.

Furthermore, the "Discard Link", which permanently removes the loan from the list, disappears after adding the note.

1. I would like to  have an option to "Clear" a Note on an individual basis (e.g. in case I change my mind for an individual note).
2. I would also prefer that the "Discard" link remains after adding a note (e.g. so that I can completely remove the note if it was already fully funded)

Note. The "Added" status will be automatically reset to "Invest" when uploading the notes.cvs from LC if there was no investment in the note.

Welcome to Interest Radar's board in Lend Academy's forum. Peter, thanks for having us here.

My first post will be about a new feature implemented this morning.

In your daily alerts, you'll now also receive information about loans that you have that changed status since the previous day, for example loans that went into Grace Period, that cured from late statuses, or that paid off.
That will work if you have your latest notes.csv file uploaded, of course.

Sign up to the new alerts in the preferences page: http://www.interestradar.com/preferences" class="bbc_link" target="_blank">http://www.interestradar.com/preferences

Thanks to Mark for the idea.

Cheers

What's your Modus Operandi?  By that I mean what have your found to be a comfortable way to invest?  Have you developed habits or strategies beyond the obvious (diversification, no red flags etc...)for conducting business? I've only been doing this about three months and am still pretty new.  But the more research I do and the more I think about how a little detail could make a big difference the more I refine my approach.  Here are a few of the things I like to do, I'd love to hear any feedback

I log-in daily but only pick the best few (one or two) loans out of a tight filter that typically only presents a dozen or so options.  My goal is to find the best loans if they are there and if they are not I don't invest.  When I first started I transferred in $500.  I felt this emotional pressure to get it all allocated as fast as I could so it would not be sitting dormant in my account (although it had been dormant in my bank account for some time).   Looking back, I think I invested in some loans I wouldn't choose now (business loans etc...).

I sort by newest loans first and consider the percentage that has been funded.  I don't want to waste my time reviewing a loan that's been up for grabs for the last 11 days and only 10% has been funded... there is probably a reason.  Also don't want to review a loan twice.  I wish there was a way to tag loans I have already reviewed in a previous sessions.

As soon as I see one red flag I move on.  I'd rather just one good loan than 10 good loans with one bad.  Someday when I have more invested and can be more diversified that may change.

I've been investing $500 at a time in a portfollio named with a sequence number and the date.  That way I can track if my performance is improving over time.

I watched Peter's youtube video about lendstats to determine where to set my filters.  (Thank you Peter and lendstats)

Each Monday I read through Peter's weekly round up.


 

What effect, if any, do you think recent Natural Disasters (e.g. SuperStorm Sandy) will have on default rates from those regions affected?

...

Starting a new thread. The original issue went away, but now a bunch of my for sale notes show as IGP, but if I attempt to reprice, in the reprice screen they show as current. The notes should be showing current.

It seems very common for a $10k loan description to cite "Paying off credit cards," while the revolving balance amount in the credit report is only $2k.

Is there a legitimate reason for this discrepancy or should this be met with suspicion? (I have this problem on Prosper, not sure if it also happens on LC)

It looks like LC has an offer through November to start a Prime account with no fees for as little as $10k, or convert an existing account to Prime. I would appreciate thoughts on the Prime account and expected returns.

In my case, I have an LC account under 10k of hand-picked loans (using mostly information from here) that is doing well (but only 4mos old), and I would need to top this off with new funds to hit the 10k mark.

What kind of returns can a Prime account expect and what are the best options for selecting notes in a Prime account?

I would probably fund another smaller account just to keep doing the hand-picked strategies.

I am releasing an ebook about Lending Club next week. It is written and ready to go and I am uploading to Amazon this weekend. It is an introduction to Lending Club aimed at those people who don't know much about them. There are five chapters:
1. Introduction
2. History of Lending Club
3. Investing at Lending Club
4. Borrowing at Lending Club
5. The Future

I am trying to decide between two titles and subtitles:
1. Lending Club: The definitive guide to the world's largest peer to peer lender
2. The Lending Club Story: How the world's largest peer to peer lending is transforming finance

Please let me know which title you prefer. Thanks!

Here are the two covers
https://forum.lendacademy.com/proxy.php?request=http%3A%2F%2Fwww.lendingclubbook.com%2Fwp-content%2Fuploads%2F2012%2F10%2FLendingClub1.jpg&hash=27abcbc3c62629b63ebd441f3be6fd2e" alt="" class="bbc_img" />https://forum.lendacademy.com/proxy.php?request=http%3A%2F%2Fwww.lendingclubbook.com%2Fwp-content%2Fuploads%2F2012%2F10%2FLendingClub2-small.jpg&hash=61aaa7d3199cce1b78d4ff36ed40d638" alt="" class="bbc_img" />

Peter,

by manually searching through my hundreds of notes, under the offending note, in tiny letters it says "bk filed". When I click on the note from the list view, the note detail says "bankruptcy filed" with a link to their bankruptcy policy (which reads, in essence, you're out of luck). But I only found this because I knew what I was looking for, and it was very deeply buried.

I had a note listed on folio that was cancelled for the following reason:

"Your Note listing was cancelled because the borrower on the loan filed for bankruptcy. Note listings whose underlying loans have become subject to a bankruptcy filing are cancelled automatically."

But on the original loan listing there is no mention of bankruptcy. This loan was issued less than 2 weeks ago and has had no payments on it.

https://www.prosper.com/invest/listing.aspx?listingID=651463" class="bbc_link" target="_blank">https://www.prosper.com/invest/listing.aspx?listingID=651463

I assume this loan is a write-off if the borrower declared bankruptcy. At what point does Prosper notify the lenders? If I hadn't listed it on folio, I wouldn't have known about the bankruptcy. Are the lenders on the hook for this?

I am looking for a way to look up a NOTE that I no longer own.

I know that you can look at LOAN details on Nickel Steamroller.  If I had the note ID, loan ID, and order ID, I think I put them Excel and create a hyperlink to view the note listing.

Because I want to look up various notes, I don't want to go through my entire order history to get the order numbers.

Any ideas?

Sometimes I see in the Q&A section where a borrower is consolidating several lower interest loans into a single higher interest loan.  My first reaction is that this is not a very wise move and I have avoided those loans.  I am seeing this more and more.  Is there a valid reason why someone would do this? Am I missing something?

How do you find the filters that work best for you?  ie, reduce default risk while maximizing interest earned?  When I look at the historical data, there are so many possible combinations of factors (income, FICO, DTI, delinquencies, that could influence a loan's 'standing'.  What factors have you come up with that you think have lowered your default rate?  Right now I'm following closely with Peter's High and Medium income filters he posted, thanks!  I really don't like just shotgunning trying out various filter combinations and see what keeps the best rate.

  Doing a brute force on each possible combination is possible, taking hundreds of computer hours I'm sure, but possible, but I'm not sure how beneficial.  The other issue is that you'd have so few matching results, you'd need to compile those results into ranges to get some reasonable pool of loans to have any meaningful statistics.  A sample of 1-2 loans isn't enough.  I'd love to develop a loan strategy for each credit grade, so to have some conservative and some more high risk across the board.  The factors that influence an A rated loan may not be the same as an F or G.

Also, I think something like this has already been done, and no real reason to re-invent the wheel.  See http://blog.dmpatierno.com/post/3161338411/lending-club-genetic-algorithm" class="bbc_link" target="_blank">http://blog.dmpatierno.com/post/3161338411/lending-club-genetic-algorithm where he applies an genetic algorithm to get his results (Way above my skill level).  Amazingly he's shared his code so I'm going to look things over and see what I can come up with.

Hi to everyone

My name is Mariano and I'm the CEO and Founder of the first Italian P2P lending marketplace. I'm used to read about P2P on P2P Lending News Updates  and I'm happy to learn and partecipate to this forum

 https://forum.lendacademy.com/Smileys/default/smiley.gif" alt=":)" title="Smiley" class="smiley" />

So maybe I just need to update but I like Excel 2003 much better than the newer versions (I hate the new menu bars, but I disgress)

Is there another program any of you use to analyze the file you can download from LC with all their notes?

Or is there a way to download portions of it (I'm not so interested in data pre-2011 for what I'm trying to do).

I don't want to use Lendstats either for what I'm trying to look into.

I don't (usually) invest in high grade loans.  You might - not my strategy.

But occasionally I see a listing (I hand select) that says something to me.

This AA listing said:  "I don't know if it will work - but I want to go there!"

https://www.prosper.com/invest/listing.aspx?listingID=637206" class="bbc_link" target="_blank">https://www.prosper.com/invest/listing.aspx?listingID=637206

And so I bid $25. https://forum.lendacademy.com/Smileys/default/smiley.gif" alt=":)" title="Smiley" class="smiley" />

I currently have some money (less than $5k) invested in a Prosper account. If I wanted to start an IRA at the end of the year would Prosper all me to roll my current notes into a Prosper IRA or would it have to be all new money?