P2P-Loans.com is not 2 months old and we've grown quite a bit (nearly 40 members in 2 short months). Our first 9 loans have all made their first (and some second) payments on time, THANK YOU, and thus we have
NO lates so far. We also have 2
current listings that I would encourage you to take a look at if you are a lender. I am encouraged to hear that so many of you have benefited from the loans this group helped you get. We have also received several personal referrals from our group members, which we appreciate very much - keep 'em coming.
Many of you ask me about what makes a good listing on
Prosper and the answer is not simple. I've approved some listings that I expected to fund VERY quickly and others that I did not expect to do as well. But, here are some of the key elements of a good listing:
1)
A fair (market) interest rate: Lest we forget that most lenders are looking to make a return on their investment (your loan is an investment on their part). Some HR listings (
like this one) tug at the heartstrings of lenders, but they are not the norm.
2)
Endorsements: Ask your friends and family to join Prosper as a lender, endorse your listing AND place a $50 or larger bid on your listing. There is nothing more powerful than a listing that has the support of your friends and family (words and dollars).
Click here for an example of how powerful this can be (note the 22 endorsements and associated bids).
3)
Vetting: This is where you send me (sanitized for your personal information) your financial documents, credit report, credit card statements, bank statements, driver's license and anything else that might be relevant to review and comment on as an independent third party. This process provides lenders with confidence that you are not trying to walk away with their money.
4)
A clear, concise listing: Your listing is your loan application that will be reviewed by several hundred small lenders. Make sure you provide background on your situation, purpose for the loan (including details on loans to be refinanced if you plan to repay existing debt), and how you plan and are able to repay this loan (job information, income situation, summary of liquid assets like savings,
CDs, 401(k), Prosper investments (if you are a lender), etc.). See point 1 again, if you wonder why so much detail is needed =)
5)
A promise to make your Prosper loan your 1st priority: We all have debt that we must service, but when things get tough, who are you going to pay first? Borrowers should not forget that
your bank and credit card companies will turn off the spigot, but Prosper lenders can be much more forgiving, BUT ONLY IF YOU MAKE YOUR PROSPER PAYMENTS! If you burn Prosper lenders, they will never give you a second chance. Thus, you should always make your Prosper loan your stated first priority.
6)
Group Leader Support: this means full vetting (see #3), an endorsement and meaningful bids. Your group leader's (hopefully me) endorsement and vetting mean very little if he is not willing to invest meaningful dollars in your loan. I generally bid anywhere from $300 to $3,500 on each and every loan that I approve for listing in my group. If the loan is not good enough for me, I won't offer it to other lenders in my group.
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