Comments on: Prosper Credit Distribution http://www.rateladder.com/2007/08/05/prosper-credit-distribution/ P2P Lending News, Information, Borrowing and Lending Strategy Fri, 16 Oct 2009 04:59:46 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: JBE http://www.rateladder.com/2007/08/05/prosper-credit-distribution/comment-page-1/#comment-20302 JBE Sun, 05 Aug 2007 19:35:58 +0000 http://www.rateladder.com/2007/08/05/prosper-credit-distribution/#comment-20302 The author analyzes per current available listings instead of current loans as dollars per credit grades to reach a bogus conclusion. If you look at what distribution they should be look at (see below) you'll find 65% of loans by dollar are C or high credit grades which roughly matches what the FICO distribution is. The listing may be skewed to the lower credit grades but actual loans aren't which really shouldn't be that surprising. AA/A 27.7% B/C 37.2% D/E 26.8% HR/NC 8.3% The author analyzes per current available listings instead of current loans as dollars per credit grades to reach a bogus conclusion. If you look at what distribution they should be look at (see below) you’ll find 65% of loans by dollar are C or high credit grades which roughly matches what the FICO distribution is. The listing may be skewed to the lower credit grades but actual loans aren’t which really shouldn’t be that surprising.

AA/A 27.7%
B/C 37.2%
D/E 26.8%
HR/NC 8.3%

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