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Old 12-15-2006, 11:04 PM  
Peaches
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Join Date: Oct 2002
Location: Away
Posts: 13,933
Quote:
Originally Posted by will76 View Post
I would be curious how many of your 3+ lates were people with HR rating. I know you said one guy was a B, but that is very uncommon. People with B rating defaulting is what like 3 - 4% ?

I never lend to A, they almost always get their loans under 10%. I never lend to HR, and would maybe consider to a D, in a rare case. I like to stick to the B and C and in the 14 - 18% interest range.
Here are my 3 months+ lates in order of how late they are (first being the oldest):
B
HR (but with a DTI of 3%)
E
HR (again, DTI of 7%)
HR
HR (DTI of 3% - this is the ONLY one of the 9 who has ever attempted a payment)
HR with 3% DTI
HR
C

I admit I got greedy and did a free for all at the beginning with the HRs with really high rates. I've been sticking to Bs and Cs and like you, an occasional D. I've hit a few A and AA if the interest rate is higher than 10% but I think the absolute lowest bid I've ever made was a 9% on an AA.

What amazes me is that out of my 3+ months late ONLY ONE has even made one measly payment.

One thing I'd also like to discuss with Prosper is the possibility to have shorter term loans. 1-2 years.

I've talked to many friends about it and always give the same advice as I with Vegas - don't put in more than you're prepared to lose
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