Author Topic: Do you invest in a loan because of touching or excellent description?  (Read 10187 times)

Grant

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #15 on: February 28, 2013, 07:30:24 AM »
Words are worth as much as the electron used to display them on your screen.  The other stuff  --purpose, inquiries, income, DTI ratio --are evidence of someone's lifelong behavior and are more likely to relate to someone's future behavior. 

AmCap

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #16 on: February 28, 2013, 01:06:43 PM »
Some of your loans will chargeoff - this is a fact of life for nearly all p2p debt investors.

investforfreedom

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #17 on: February 28, 2013, 01:48:33 PM »
I have a couple of LC borrowers declaring bankruptcy right after making one or two payments.  And here is one from Prosper:

"I am a good candidate for this loan because I have never filed for bankruptcy, I have never had a tax lien, always pay my taxes and always pay my debts off

Monthly net income: $10k
Monthly expenses: $8,415.00"

This guy filed bankruptcy after making one payment.  If that was not knowingly committing fraud, I don't know what that was.

No sob stories for me as far as this kind of p2p is concerned.  If you really want to invest in people with stories, I suggest microplace.com    I have a small sum invested over there.

« Last Edit: February 28, 2013, 01:55:56 PM by investforfreedom »

Randawl

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #18 on: February 28, 2013, 02:15:14 PM »
We should start compiling all of the loans we come across that were charged off that contain descriptions like these!
I think it would be a constant reminder for us not to become enamored by superficial fluff and a valuable resource to all new investors who may not possess a high enough level of skepticism yet!
What should it be named?  The Hall of Shame?

rawraw

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #19 on: February 28, 2013, 05:22:53 PM »
Although I like those anecdotes and laughed , that is an extreme sampling bias. Be careful to draw more than laughs from it

Sent from my SAMSUNG-SGH-I747 using Tapatalk 2


Grant

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #20 on: March 01, 2013, 09:05:34 AM »
We should start compiling all of the loans we come across that were charged off that contain descriptions like these!
I think it would be a constant reminder for us not to become enamored by superficial fluff and a valuable resource to all new investors who may not possess a high enough level of skepticism yet!
What should it be named?  The Hall of Shame?

+1

neals384

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #21 on: March 03, 2013, 12:29:12 AM »
How about this for an opening line?
Hi! How'd you like to make an easy $15,000?
After she slaps you, tell her how to take out a p2p loan and default on it.  Won't she be grateful!

faeriering

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #22 on: March 03, 2013, 09:54:38 AM »
So if you are wanting to invest in loans that wouldn't necessarily meet your data driven criteria, that's fine as long as you assume that there might be a higher risk of default.  There have been a couple loans that I invested in this way.  Some of them have worked out well, some haven't.  I find loan descriptions helpful, for providing insight into people's situations.  I really like it when they let it slip that they are using a "debt consolidation" loan to get their business off the ground.

RawRaw, I gotta admit I would be way more offended that you lied to me about who you were investing in than bored about the topic.  Of course I don't tend to pick up guys at the bar, and I like numbers.

On the whole prefer perfect grammar and spelling vs bad grammar question:
I find that many people who are looking for cash, and are good credit risks aren't necessarily people that use written language & keyboards on a daily basis (i.e. fire fighters, welders, electricians, doctors).  I have no problem lending to folks that aren't perfect spellers or that have poor sentence structure.  I actually get a little suspicious if the text feels too refined.

rawraw

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #23 on: March 03, 2013, 10:22:55 AM »
RawRaw, I gotta admit I would be way more offended that you lied to me about who you were investing in than bored about the topic.  Of course I don't tend to pick up guys at the bar, and I like numbers.
I think you misunderstood my post.  I guess sarcasm is one of the hardest things to convey via text.  (I don't even go out to bars unless pulled kicking and screaming by buddies :) )

faeriering

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #24 on: March 04, 2013, 07:18:21 PM »
@ RawRaw,  Right, totally sorry about misreading that then.  I'm pretty sarcastic normally too so I should have heard that in your original post.  Thanks for correcting the image I had in my head! :)

rawraw

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #25 on: March 09, 2013, 12:55:02 PM »
It's better than talking about my fico, right? :-P

Mmmmm, I don't know.  If I recall, FICO's were always at the top of chicks "Gotta Know" list!

But seriously RawRaw!  We need to find you a new hobby to talk about, something more interesting than P2P.  Walking up to a woman with you're hand up in the air yelling "Hey you A-Grade Babe, High FICO Me!" just isn't their idea of a good, first impression.

Here's an idea.  Buy an ant farm.  That's more interesting than P2P.    Try opening with something like "Mind if I bug you?" then whip out your smart phone and show her pictures of your ants.  Don't forget to call them by name as you toggle through the pictures.  It shows you really care.  Once you show her about 9 or 10 of your favorite ants, finish off with a line like "Now that you know a little about me, I need to know a little about you.  Like, what's your favorite breakfast?"

Works for me.
I missed this reply.  And I love it.

wikaworld

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Re: Do you invest in a loan because of touching or excellent description?
« Reply #26 on: March 13, 2013, 02:15:31 AM »
I have a couple of questions.
I formed an LLC for my Prosper Account and a few questions arose while doing my taxes.
First off a 1099-MISC info can be put into a Schedule C, BUT there is no place to put in a 1099-OID or a 1099-B. I talked to a turbotax CTA and she said to put the 1099-OID info under “Other Income” and 1099-B under Expenses. Should LC and Prosper issue 1099-OID and 1099-B’s for LLC’s?
I’m going to call IRS this week and see what their take is on this. Any input by you or other readers have would be greatly appreciated.