I have been a borrower on Lending Club in the past and I fully paid off my loan within the required time. I was so pleased with the site and my results that I decided to become a lender as well in an effort to diversify my income and move more into the world of generating passive income.

I invested a small amount at first and used only the minimum amount per loan per person. This means I only lend $25 to each individual so that I can diversify my risk.

I am not a big risk taker so I was very careful to only choose loans with low risk, which also meant a low rate of return. As you can see from the image below, my rate of return on the loans is now 2.37%, which is pretty low for the funds that are tied up.

As I get more money in the future that I am able to invest, I will invest in some more risky loans that have a higher rate of return so that I can earn some more money.

If you would like a referral to Lending Club where you get a bonus $25 to invest…..just leave me a comment or email me and I will send it out to you.