Lending Club is Up, Prosper is Down
I have written many times about using both Lending Club and Prosper for investments. I have made small loans to others on both of those sites so that I can make some more money to tackle my debt.
I also got a loan on Lending Club that I used to consolidate my credit card debt to a lower rate bundle. Lending Club was silent for a little while because they were going through a registration process. This meant that you could not lend any more money than what you had already put in.
First Loan Payment with Lending Club
I got a loan with Lending Club a few weeks ago so that I could pay off higher rate interest cards. This loan had a rate that was almost half of the interest rate that I was paying on those credit cards so it really was a good way for me to save money in the future.
With the Lending Club loan I was able to have a lower monthly payment as well as save money on the interest and fees for those outstanding balances. The first repayment on the loan was due on March 6th so I am reporting on the process.
Tracking my Finances in March: Day 6
Welcome to my daily tracking of income and expenses for the month.
Income for the month to date: $40.00
Expenses for the month to date: $1301.17
Net effect: -$1261.17
The expenses for the month are related mostly to rent and credit card payments. I did spend $30 on gas which is already 60% of my gas budget for the week so I really need to watch my driving for the next couple of weeks.
Lending Club Loan in Review
I recently wrote about issues with signing up as a Borrower in Lending Club. I am taking my words back now because my loan was actually fully funded at this site.
For those who do not know, Lending Club is similar to Prosper. You can lend money to or borrow money from your peers at rates that are currently more attractive than those at banks and even credit unions.
The signup process for lenders is easy and the process to borrow is a little bit more detailed, but it is not anything that you cannot handle in a few minutes.
