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My Lending Club Account Performance Update 3

May 13, 2010 | Investing | My Ramblings | 5 Comments

It’s time for another update of my Lending Club Account Performance. The last update was on February 20, 2010.  Since then Lending Club has revamped their website and changed their logo (see below).  The new site is easier to navigate and features different background pictures which I guess is cool!

Since starting to issue loans last August (2009), I’ve earned a total of $1,483.68 in interest, but with and interest plus bonus I’ve earned $2,196.75.  I currently have 456 notes (loans) issued with 14 fully paid.  One note is currently late 16-30 days and 3 are late 31 to 120 days.  One was charged off with a loss of $24.  Calculated net annualized return is 10.83%.  Total payments to date (principal and interest) is $7,050.89.  (See screen shot below)

As notes are paid back I’ve re-invested in new notes to A, B, and C investors using the Build Portfolio feature.  I use the filter option to only list A, B, and C investors and issue $25 notes to each borrower.  Additionally,  I use the Conservative and Moderate portfolios to loan to mostly A and B investors.

I do not review the notes to determine the reason why each borrower want the money.  I’m more concerned about the borrower rating (A, B, C).  Reviewing each note would be very time consuming and there is no way to really determine risk.

According to Lending Club, there are now 35,000 investors and 220,000 members.  Investors have earned an average return of 9.65%.  The company announced last month the closing of a $24.5 million investment and just recently added 5 year notes.  Before only 3 year notes were available. The 5 year notes pay a higher interest than the 3 year notes. I’m not certain if I’ll invest in 5 year notes as yet!

So far so good,   I’m happy with my account performance.  If Lending Club was a profitable entity I’d consider investing more money.  However, for now I’ll take the wait and see approach to see how the company does over the next several months.

Lending Club is offer $25 for free when you sign-up as an investor at no risk.  You can use the $25 to try out P2P lending with no future obligation.  There is nothing for you to deposit and you can lend the $25 immediately.

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5 Comments to “My Lending Club Account Performance Update 3”

  1. Investor Junkie
    5:02 pm on May 13th, 2010

    Congrats on your great performance. Have you sold any loans via FolioFN? Based upon the amount of loans you have and no defaults that’s pretty (especially if none were sold).
    .-= Investor Junkie´s last blog ..Fidelity Investment Rewards Visa Card Review =-.

  2. Patrick
    5:33 pm on May 16th, 2010

    I have not sold any loans via FolioFN. I did have one loan default losing $24.

  3. My Lending Club Account Performance Update 4 | Money Cake
    12:41 pm on September 1st, 2010

    […] Once again, it’s time for another update of my Lending Club Account Performance.  The last update was on May 13, 2010, about 3.5 months […]

  4. My Lending Club Account Performance Update 5 | Money Cake
    5:03 pm on June 15th, 2011

    […] My Lending Club Account Performance Update 3 […]

  5. My Lending Club Account Performance Update 6 | Money Cake
    7:26 pm on November 9th, 2011

    […] My Lending Club Account Performance Update 3 […]

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