A new loan funded (Clearing a personal credit card used for business purchases — $9,500 at 18%).  I participated via an automatic bid Low AMT — Extreme DTI — Autofunding.  Which means this funded at less than 15K less than 60% DTI and was autofunding.   The borrower had A credit and 46% DTI.  As a reminder my standing orders (and manual bids) only find loans with 0 current delinquencies, 10 or less delinquencies in the last 7 years, and 2 or less public records in the last 10.

With this loan I have $4,150 in principal across 65 loans ($63.85 per loan) with an weighted average interest rate of 17.03% and an account value of $3,962.23. Each loan on average is 1.6% of my portfolio with a maximum in any one loan being 3.8%.

Here is the listing:

For the readers that believe in reading the actual description without modification:

I am now the owner of my family’s 30 year old promotional products distributorship.  I am making this loan to pay off a personal credit card I used to purchase products for my business.  The credit card is for my husband and me.  I want to keep my business debt seperate from my husband’s.  I would like to borrow the money and pay it off over time so that I don’t have to put a squeeze on my cash available to run my business.  I only listed my income from my part time job.  My husband’s income takes care of all of our household expenses and our auto and house loans. I did not include my net income from my business because I have not prepared my 2006 income tax return yet.  I estimate my 2006 net income for my business to be about $18,000.  

I am very impressed with this business community and hope to be able to participate as a lender in the future.

Here is a graph of all loans on Prosper with A credit and a DTI of < 46% and Loan Amount $9,500 +/-$5,000 funded in the last 100 days:

Number of Loans	Average Amount Borrowed	Weighted Average	Standard Deviation
117	$7,669.97	10.44%	1.83%

The weighted average plus 1 standard deviation is 12.27%. The weighted average plus 2 standard deviations is 14.1%.  The weighted average plus 3 standard deviations is 15.93%. The weighted average plus 4 standard deviations is 17.76%. The weighted average plus 5 standard deviations is 19.59%. This loan is between 4 and 5 sigmas higher than the mean.  Holy shnikes! A statistical aberration. I LOVE standing orders!

Oh yeah.  And they are a homeowner.

What do you think?

 

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Loan Review, Prosper.com

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