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May 4, 2009

Prosper is back (sorta)

Phone rang half an hour ago with a 212 number. I thought it was some pals from NYC so I answered. Nope, NPR Marketplace producer asking what I thought of the relaunch of Prosper. Hummm. What do I think? Well about the middle of last year I noticed that the site was shut down and I couldn't add any funds or make any new loans or bid on loans. So I started taking any money off the table there and ignored the site. A couple months ago I started to see big losses in my portfolio. As of today, I have had an 8.9% principal charge-off, my notes (new word with relaunch - not loans anymore) are averaging 11.32% I have 20 current notes and one late (better). So by current all in return on prosper (assuming no more principal charge offs) is about 2.42%. Better than t-bills (today), but I expect more principal chargeoffs to put me into the negative return basis. I doubt I will be deploying any new capital on Prosper.

Now this:

image

 

looks like i won’t be able to anyway

Posted by Martin at May 4, 2009 11:18 AM

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