Messages

1

Investors - LC / Re: Adjusted Net Annualized Return

« on: November 06, 2013, 06:44:15 PM »

I was hoping the new return calculation would take into account gains and losses from folio sales.  It doesn't appear to.

+1

2

Investors - P / Re: Tax Forms Jacked-Up

« on: March 04, 2013, 08:47:02 PM »

Folio gives you a separate 1099-B.  You can download it from Folio under "My Account", "Statements".  I do not think that 2012 1099s have shown up yet though.

My 2012 1099-B has shown up today just as you said rocco.g.

3

Investors - P / Re: Tax Forms Jacked-Up

« on: February 15, 2013, 11:57:17 AM »

Folio gives you a separate 1099-B.  You can download it from Folio under "My Account", "Statements".  I do not think that 2012 1099s have shown up yet though.

I believe you are right rocco.g.  I called Prosper and they told me that FOLIO takes care of the 1099-B for traded notes.  I think the guy that I spoke with last night from FOLIO was incorrect.  I found on FOLIO's web site that the date they have set for releasing the consolidated 1099's is Feb, 28th.  I'll wait patiently until then.

4

Investors - P / Re: Prosper.com prevents WA residents from trading their notes with no notification.

« on: February 15, 2013, 12:42:46 AM »

It would be nice to know what they mean by "temporary". Is it temporary like a state that has never been allowed to participate in Prosper for it's whole existence is a "temporary" situation? Or is it temporary like they need to pound out some details over the next few weeks but can't say anything for-sure right now?

I learned the hard way that you can't trade ANY note that is in an IRA account with Prosper.
I've heard the same old "we should have a fix for that soon" for nearly a year from Prosper.
I wish you luck, but I wouldn't hold your breath.

5

Investors - P / Re: Tax Forms Jacked-Up

« on: February 15, 2013, 12:19:04 AM »

Before I posted I called FOLIO. They told me that Prosper does all of the 1099-B reporting and FOLIO is just the trading platform.
The statements on FOLIO are Trading Statements but not the actual 1099-B.
I'll call Prosper in the morning and report back.

6

Investors - P / Re: Tax Forms Jacked-Up

« on: February 14, 2013, 11:58:32 PM »

I had hundreds of note sales in December of 2012 but none of them show up on the original or Corrected 1099-B.
3 notes that were charged off are the only things that show on the Corrected 1099-B.
Anyone else have note sales in 2012 through FOLIOfn that didn't show up on their 1099-B?

7

Investors - P / Re: Prosper Roth IRA

« on: January 25, 2013, 06:48:21 PM »

You guys have a much different outlook on this than I do.

When I put my money into the Prosper IRA, I had no idea that I couldn't sell those notes through Folio if I wanted or needed too.
Maybe it's in the documentation to get the IRA started.  If it's written there, I didn't see it.

Let's imagine two different reasons why I might want my IRA money transferred back out of Prosper.

1. I had some type of emergency that made me decide that I wanted to pull my funds back out of the Prosper IRA, accept the tax consequences, and use the remaining dollars for whatever my emergency happened to be.  With a Prosper IRA it's impossible to do.  You can only pull your available cash balance out.  Your funds invested in notes are stuck until the notes mature so some of your money may be locked up in the IRA for up to 5 years.

2. I make an investment decision for whatever reason that I decide my investment isn't safe with Prosper any longer.  Maybe I feel Prosper is going to go belly up and I want to get my money out before it happens.  I'm out of luck. I can withdraw my monthly cash balance as others have said, but the bulk of my investment is stuck at Prosper until the notes mature.

I just find it unacceptable that Prosper can't or wont fix this issue. Like I said earlier, Lending Club allows you to buy and sell from within your IRA just as you can from a regular taxable account.


Jeff

8

Investors - P / Re: Can I "roll" my notes into an IRA?

« on: January 24, 2013, 09:17:04 PM »

dagilbe and graceful are correct indeed.

Here is the bad thing with a Prosper IRA though.

Once you get your funds sent to Sterling Trust who will forward them to your Prosper IRA account, you can start buying Prosper notes from within your IRA.
Sounds great right?
The problem comes in if you ever decide to get your investment back out of your Prosper IRA. Once you buy a note from within a Prosper IRA, there is no way for you to sell that note early to convert it back to cash. If you buy a note in your Prosper IRA you own that note until maturity.
You can transfer your cash balance back to Sterling Trust in order to move it somewhere else, but you cannot sell your notes in your IRA.

If your not sure you want to tie your funds up for a full 3 or 5 years, I would suggest using Lending Club.

Lending Club lets you buy and sell notes in an IRA account through Folio just like they let you buy and sell in a normal account.
You still need to use a trustee to transfer the funds between yourself and Lending Club, but at least in an emergency you could sell your notes, transfer the cash back to the trustee, and get your funds back.

Just my .02 cents.

Jeff

9

Investors - P / Re: Prosper Roth IRA

« on: January 24, 2013, 08:58:59 PM »

Hi guys and gals,
I think one thing you all are overlooking is the fact that Prosper won't let you trade your IRA notes through Folio.
I have an IRA with Prosper, through Sterling Trust.
Here is the HUGE problem. Once you buy a note in your IRA account, you own that note until maturity. There is NO WAY to get back out of that note.
I just got off the phone with Prosper to ask them what options I have to get my funds back out of the IRA. The response was that I have no options other than to wait until the notes mature.
I can transfer the cash that the account generates if I want too, but the notes I own, I have to hold until maturity.
There are no techniques you can use to get those notes converted back into cash.
Once you buy a Prosper note from within a Prosper IRA, You own it until it pays off or defaults.

You better be 100% sure that you will never have a need to get the money you invest into a Prosper IRA back in an emergency.

On the other hand, Lending Club lets you trade notes in an IRA just like they let you trade regular account notes. I could convert my Lending Club IRA notes into cash in a matter of days if I wanted to discount them enough.

I own regular and IRA accounts in both Prosper and Lending Club.

Jeff