Author Topic: what am I missing on this note?  (Read 4780 times)

lc12

  • Newbie
  • *
  • Posts: 21
    • View Profile
    • Email
what am I missing on this note?
« on: April 15, 2014, 01:46:46 AM »
This note has been on the market for 2 days with only 37% funded. It doesnt seem that bad of a note...what am I missing?

Mike


https://www.lendingclub.com/browse/loanDetail.action?loan_id=14519299&previous=browse

Bohb Daishi

  • Sr. Member
  • ****
  • Posts: 481
  • I eat free lunches
    • View Profile
Re: what am I missing on this note?
« Reply #1 on: April 15, 2014, 01:53:23 AM »
Good question. It's probably a fluke, where it doesn't fall in most people's filters.
There are three ways to make a living in this business: be first, be smarter, or cheat.

Jomar

  • Newbie
  • *
  • Posts: 26
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #2 on: April 15, 2014, 09:20:19 AM »
Only significant blemish I see is that they had a $729 debt sent to collections at some point, but that usually doesn't keep a loan from being funded within a few hours.  I agree, that's strange.

Randawl

  • Sr. Member
  • ****
  • Posts: 469
    • View Profile
Re: what am I missing on this note?
« Reply #3 on: April 15, 2014, 10:47:21 AM »
He has owed $729 in collections in the past.  He just opened a revolving account 2 months ago, although he appears to have been approved as the most recent inquiry coincides with it.  His credit age suggests he may be "old" and I know people and websites that suggest excluding those with credit histories longer than 25-30 years.  It's a 60, some investors shy away from those.  He claims to be in sales which some investors dislike because of its suggested income volatility.

Despite the above, it's not really a "bad" appearing loan.  Also, some people only look at "new listings" so loans that are not funded within seconds to hours get overlooked.

Rob L

  • Hero Member
  • *****
  • Posts: 2065
    • View Profile
Re: what am I missing on this note?
« Reply #4 on: April 15, 2014, 11:58:33 AM »
Also, some people only look at "new listings" so loans that are not funded within seconds to hours get overlooked.

Good point.

Lovinglifestyle

  • Hero Member
  • *****
  • Posts: 899
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #5 on: April 15, 2014, 12:49:42 PM »

Dark Vulture

  • Newbie
  • *
  • Posts: 25
    • View Profile
Re: what am I missing on this note?
« Reply #6 on: April 15, 2014, 01:42:57 PM »
1) It's a 5 year loan-Some people prefer 3 year loans only.
2) It has one credit inquiry-Some people only want 0 inquiries in the last 6 months.
3) The person might be "old"- Earliest credit line is 1984. People fear the "borrower deceased" in the future.
4) 58% credit utilization-Some people prefer below 50%.

A couple months ago, this loan would have funded in seconds. Now, there is a big supply of loans where investors can pick and choose which loan to fund with really strict filters.

lc12

  • Newbie
  • *
  • Posts: 21
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #7 on: April 15, 2014, 01:46:32 PM »
He has owed $729 in collections in the past.  He just opened a revolving account 2 months ago, although he appears to have been approved as the most recent inquiry coincides with it.  His credit age suggests he may be "old" and I know people and websites that suggest excluding those with credit histories longer than 25-30 years.  It's a 60, some investors shy away from those.  He claims to be in sales which some investors dislike because of its suggested income volatility.

Despite the above, it's not really a "bad" appearing loan.  Also, some people only look at "new listings" so loans that are not funded within seconds to hours get overlooked.

Still learning here... how do you guys know that he had $729 in past collections and Had just opened a revolving credit? Thanks again

BruiserB

  • Sr. Member
  • ****
  • Posts: 418
    • View Profile
Re: what am I missing on this note?
« Reply #8 on: April 15, 2014, 03:18:47 PM »

3) The person might be "old"- Earliest credit line is 1984. People fear the "borrower deceased" in the future.


Hey!  That would be about the time I got my first department store credit card while still in High School....I wasn't even 18 yet!  And that makes me 46 now!  I may be getting "old".....but I don't have any plans of being "deceased" any time soon!

RaymondG

  • Full Member
  • ***
  • Posts: 247
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #9 on: April 15, 2014, 10:30:03 PM »
He has owed $729 in collections in the past.  He just opened a revolving account 2 months ago, although he appears to have been approved as the most recent inquiry coincides with it.  His credit age suggests he may be "old" and I know people and websites that suggest excluding those with credit histories longer than 25-30 years.  It's a 60, some investors shy away from those.  He claims to be in sales which some investors dislike because of its suggested income volatility.

Despite the above, it's not really a "bad" appearing loan.  Also, some people only look at "new listings" so loans that are not funded within seconds to hours get overlooked.

Still learning here... how do you guys know that he had $729 in past collections and Had just opened a revolving credit? Thanks again

From LC website, click "Download All" at the end of "Browse Notes" page. The downloaded CSV file has much more information of the loans in listing. Statistics-->Download Data --> Data Dictionary explains the fields in the file.
« Last Edit: April 15, 2014, 10:32:52 PM by RaymondG »

RaymondG

  • Full Member
  • ***
  • Posts: 247
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #10 on: April 15, 2014, 10:46:43 PM »
1) It's a 5 year loan-Some people prefer 3 year loans only.
2) It has one credit inquiry-Some people only want 0 inquiries in the last 6 months.
3) The person might be "old"- Earliest credit line is 1984. People fear the "borrower deceased" in the future.
4) 58% credit utilization-Some people prefer below 50%.

A couple months ago, this loan would have funded in seconds. Now, there is a big supply of loans where investors can pick and choose which loan to fund with really strict filters.

The person borrows $22675 which is above his/her revolving CL $22600, together with 1 credit inquiry, plus Credit History being too long and [Months since last rev acc opened] <=2, make it a victim of my filter. My view on "Credit History being too long" is that they have passed the golden age and have less chance to recover from finance hit. And they might be riskier for LC loans since they should have built enough emergency fund with this long CC history.
« Last Edit: April 15, 2014, 11:02:38 PM by RaymondG »

lc12

  • Newbie
  • *
  • Posts: 21
    • View Profile
    • Email
Re: what am I missing on this note?
« Reply #11 on: April 16, 2014, 12:16:48 AM »
Quote
From LC website, click "Download All" at the end of "Browse Notes" page. The downloaded CSV file has much more information of the loans in listing. Statistics-->Download Data --> Data Dictionary explains the fields in the file.

Thanks never knew that.  To the best of my knowledge the filters we use dont filter out that "extra" info found in the CSV file, correct?

On a side note. ..maybe just a coincidence but that note that sat at 37% funded for 2 days is now 100% funded.