Good afternoon everyone!
I wanted to drop a quick update on our Lending Club venture we have been doing for the past 5 months or so. The screen shot you see up above is from our account. As you see, all of our loans are current and one is fully paid. I was surprised by that one and a little upset because I only made $1 in interest. Anyway, I invest in high interest loans so that I can get my money back quickly if they default. I have not had any missed payments yet...*knocks on wood*. It has made us $7 in interest and we are paid back about $4.00 a month with principal and interest.
We have been pleased with it. We are still not completely comfortable with it, so we only do $25 a month. The downsides would be the amount of time it takes for the money to transfer. We have it automated for the 27th of each month. I am able to invest that money by the 5th day of the next month. Crazy, right? Why does this take so long? In addition, once the money is available, it can be tied up while the person waits to take the money from LC. I have had some money tied up for a month before the loan falls through and they release the money back to the account. Those would be the most frustrating parts to it.
If you have any other questions, I will be happy to answer them in the comment section.