<body><script type="text/javascript"> function setAttributeOnload(object, attribute, val) { if(window.addEventListener) { window.addEventListener('load', function(){ object[attribute] = val; }, false); } else { window.attachEvent('onload', function(){ object[attribute] = val; }); } } </script> <div id="navbar-iframe-container"></div> <script type="text/javascript" src="https://apis.google.com/js/plusone.js"></script> <script type="text/javascript"> gapi.load("gapi.iframes:gapi.iframes.style.bubble", function() { if (gapi.iframes && gapi.iframes.getContext) { gapi.iframes.getContext().openChild({ url: 'https://www.blogger.com/navbar.g?targetBlogID\x3d34221708\x26blogName\x3dHighest+Echelon\x26publishMode\x3dPUBLISH_MODE_BLOGSPOT\x26navbarType\x3dSILVER\x26layoutType\x3dCLASSIC\x26searchRoot\x3dhttp://highestechelon.blogspot.com/search\x26blogLocale\x3den_US\x26v\x3d2\x26homepageUrl\x3dhttp://highestechelon.blogspot.com/\x26vt\x3d-1625387745928298660', where: document.getElementById("navbar-iframe-container"), id: "navbar-iframe" }); } }); </script>

Highest Echelon

A personal finance blog. Paying for my University, life and eventually achieving financial freedom.

Prosper Update: 1 Person Late (<15d)

Tuesday, November 07, 2006

When I checked my Prosper.com account late last night I expected to see all 13 of my active loans to be Current. Was I ever shocked to see that 1 loan was Late (<15d). This is the first time I had seen this, but it means that this person's repayment is late by more than 1 day but less than 15 days.

I didn't want to be bothered by something like this too much so I simply sent an inter-Prosper mail saying:

Please make every effort to make the payment on this loan.

And I left it at that.

This morning I delved a little farther. At the origination of the loan, this person had 1 current delinquency, 10 past delinquencies, only 3 lines of credit, and wasn't a member of any group. Shame on me!

Credit grade: C
Now delinquent: 1
Delinquencies in last 7y: 10
Public records in last 10y: 2
First recorded credit line: Jul-1990
Total credit lines: 3
Inquiries in last 6 months: 0

Debt/Income: 4%

This was one of my first loans so I still didn't know what I was doing. I have since increased my standards. I now no longer lend unless the person is a member of a group and has significantly less delinquencies. The good part about the loan is that it is a C credit rating at 22.90%.

Later this morning I got an email back from this person.

Payment was made yesterday. Sorry, I changed jobs and my first payday fell on the 2nd of the month. I am in Iraq working so there shouldn't be any more problems. It just took a while to get my first paycheck. Thought I had it covered.
Thanks,
[Name withheld]
I confirmed his payment by looking under loan details. There is a small
† next to today's date.
† = in transit.



















DatePayment
number
Amount
paid
-NSF
fees
-Group
reward
=Amount
received
Fees+Interest+Principal-Service
fees
-Collection
fees
=Net
received
Resulting
principal balance
Nov-07-2006† 307336 $1.93 - $0.03 - $0.00 = $1.90 $0.00 + $1.44 + $0.46 - $0.03 - $0.00 = $1.87 $48.36
Sep-21-2006 222981 $1.93 - $0.00 - $0.00 = $1.93 $0.00 + $0.75 + $1.18 - $0.02 - $0.00 = $1.92 $48.82

From what I can tell there is a $0.03 NSF charge that he also has to pay. But it seems like it may go to Prosper not me.
posted by johnwilkx, 10:10 AM

2 Comments:

Unfortunately I have had a lot of experience with late borrowers. I think you're right that Prosper eats the late fees.

Good idea sending the borrower a note. I usually just obsess on the late loan but don't do anything about it.
All paid. :) I'm back to having no late borrowers.

Add a comment