In 2007 I started investing with Prosper.com.  Prosper is a peer to peer lending website.  I thought I was investing cautiously, only choosing to loan to people with good or very good credit (A & AA).  Boy was I wrong. I learned some valuable lessons about  risk and predicting the future. With Prosper, like all [...]

The SEC has issued a cease and desist letter to online lender Prosper.com.  I lend money on Prosper so I have a vested interest in the outcome. The problem is the SEC claims that loans Prosper facilitates are actually securities (stocks/bonds) not just loans.  When you sell securities there are a whole host of byzantine [...]

This is the 3rd post in a series of articles about Prosper.com. Prosper is a person to person lending site with an auction format similar to EBay. If you’re a lender you may want to consider the risks of lending money on Prosper before you start loaning money. In my previous article on Prosper, I [...]

Maybe you’ve heard of peer to peer (p2p) lending. It’s also known as social lending or person to person lending. What is it and how does it work? I have some experience in this area so read on to find out what p2p lending is all about. Borrowers Consumer loans are big business. According to [...]