I am a considering to invest a substational sum in Prosper as a lender. This loan request is a test for me to see how the borrower experience is (i.e. what steps the borrow takes, how it's reported to the credit agencies, how Prosper drafts payment from bank accounts, etc.). I am offering an above market interest rate for my highest possible credit rating b/c I want to see if the market will bid it down.
The only reason my DTI ratio is even 8% is b/c I took out a big loan ($10K+) from a credit card that was giving me 0% interest for a year. I took this money and put it into a savings account paying 5%+ APY. I own a home, put 20% down on it, have lots of cash sitting in my bank account. This is virtually a risk free loan and I'm just giving away money here to test Progress to see if I want to be a big lender here. And also to see what the lowest possible rate is for a person with the highest credit rating, and to see if they really report loans to credit agenies. I will order by credit report again in a few months to see if this loans shows up on it. |
