I feel like I spend a boatload of time on this for ~5% (and falling) current return.
This sentence pretty much sums up my thoughts right now. In the early days, I think LC investment was a no-brainer. I cautiously recommended this as an asset class to friends and family. Now though, the risk/reward equation has shifted.
In looking at the returns by lascott's wonderful spreadsheet, it's apparent to me that I am about middle of the pack here, although on LC's own chart I'm definitely in the upper 80-90% of investors based on my portfolio characteristics. I'm pushing about 7% lifetime returns, but recent returns have been dismal due to higher default rates.
The amount of time and effort I have needed to invest to learn, select, pick, and try to earn a higher yield is becoming too high for me., and I don't even trade on Folio. It's not that I don't think it can't be done, it's just that I don't want to do it anymore. I'm an RN, not a programmer, accountant, banker, analyst, etc. so my skill set is decidedly different than probably a lot of posters here. I'd rather pick up an extra shift at the hospital and get overtime and keep my eye out for FDIC-insured CDs (which I have over $200k in at 3.1%) and wait for the stock market/bond market to re-correct and purchase. Just my 2 cents.
Now if LC were to raise there rates and figure out how not to punish investors for early payoffs, I'd probably reconsider my decision.