topic Re: Lending Club in Among Friends

Lending Club

shiningstar — Thu, 22 Dec 2016 19:41:44 GMT

Has anyone borrowed money from the Lending Club? My son was thinking of borrowing, but not quite sure if I trust giving personal information on line or by phone. Banks won't give him a loan so he wants to try it this way. Any advice will help. Thanks

Re: Lending Club

AKgirl2 — Thu, 22 Dec 2016 20:00:03 GMT

I've never had the experience, but I would Google LC's reviews and check them out with BBB for sure before anything is done. Interest rates must be thru the roof. I just don't trust anything about these types of lending companies. Be wary!

Re: Lending Club

libbyannE — Thu, 22 Dec 2016 20:30:14 GMT

It sounds as if your son might be digging a hole that he will have trouble getting out of. If banks won't loan him money, he is already over- extended or a bad risk for some reason. He probably needs to get hold of that problem and turn things around before borrowing, especially at super-high interest rates which I have to assume such p,aces would charge. That sounds harsh, but if he is having trouble, borrowing more and paying too much for that money probably will make his situation worse. I say that out of genuine concern, not criticism. Some people end up in such circumstances due to no fault of their own-- job layoff, etc. I am wishing him all the best.

Re: Lending Club

chrystaltree — Thu, 22 Dec 2016 20:55:01 GMT

I'm sure the interest rates are astronomical. My guess is that it's slippery slope and the borrowers have hard time digging themselves out the pit they put themselves in.

Re: Lending Club

AuntG — Thu, 22 Dec 2016 23:38:19 GMT

I'd help my son out before I'd let him dig himself into a deeper hole.

Re: Lending Club

fthunt — Fri, 23 Dec 2016 00:34:51 GMT

Stop the presses! I just read the mostly negative replies here - I INVESTED over $3,000 in Prosper Lending Company about 8 yeas ago.. This money was loaned to 30 to 50 people who asked for loans and I evaluated each and every person and their debt load and their employment record. Overall my experience most people were dedicated and made regular monthly payments - and I made money on my money. However, there were a few who obtained loans but just walked away and Prospect didn't seem to have teeth in assisting us (the loaners) to get our money back. I quit after 3 years and even today I'm still getting small amounts paid to me from those accounts. If you like adventure it is an interesting experience to loan money and get fair to excellent return on interest - and if you need help - and are honest - I say..............go for it!

Re: Lending Club

fthunt — Fri, 23 Dec 2016 00:42:07 GMT

P.S. Your son is one who determines the interest rate he is willing to pay. Let's say for $5,000 he accepts paying 18%. People like me would decide if I wanted to invest in him or pass or - give him only $25 toward his loan. Each loan could have 10 to 35 different people investing in your son - some for $25 or $75 or $3,000. Your son sets the interest rate and it's up to the investors to accept that or just pass.

I hope this helps.

Re: Lending Club

151949 — Fri, 23 Dec 2016 16:12:53 GMT

OP - it sounds like neither you or your son are very savvy about money. These deals are rip offs. 18% - holy cow!!!! Unless his need is life or death he needs to forget about this.

Re: Lending Club

granny me — Fri, 23 Dec 2016 22:02:16 GMT

@151949 wrote:
OP - it sounds like neither you or your son are very savvy about money. These deals are rip offs. 18% - holy cow!!!! Unless his need is life or death he needs to forget about this.

If you would have read she said the bank would not give him a loan. You don't know the reasons, but maybe this would be a good way to buiild his credit and get him the money he needs. You are always so quick to judge, why would you say they aren't money savvy? You don't know what life has handed them.

Re: Lending Club

151949 — Fri, 23 Dec 2016 22:10:02 GMT

@granny me wrote:
@151949 wrote:
OP - it sounds like neither you or your son are very savvy about money. These deals are rip offs. 18% - holy cow!!!! Unless his need is life or death he needs to forget about this.
If you would have read she said the bank would not give him a loan. You don't know the reasons, but maybe this would be a good way to buiild his credit and get him the money he needs. You are always so quick to judge, why would you say they aren't money savvy? You don't know what life has handed them.

There are very good reasons banks will not loan people money. When you are unable to borrow from a conventional source you need to not borrow AT ALL unless it is simply a matter of life & death. He most likely would be way better off to get involved with a ctredit counselor who would help him get himself out of whatever his situation is. Certainly I would not be encouraging my son to get into some rip off situation.

Re: Lending Club

fthunt — Sat, 24 Dec 2016 00:36:16 GMT

151 - you do seem quick to judge and appear to know things that you can not... and do not know. Just slam these people - because you feel you know best. To educate YOU a little..........banks have not been loaning money for 8 years due to the very low interest rate and thus no $ return on their money. Lending companies are NOT what you express....they make loans available and are funded $$$$ by individuals like me. We 'invest' in loans for perhaps 3 years or more. Loans maybe for dential work - person lost a job or whatever. Regarding an interest rate of 18% - have you checked rates on credit cards lately? And 2017 those rates have Federal approval to increase as well as loans from banks. The lower interest rate you ask for (9%) and the better your rating is (A B C credit rating) the better chance you will have your loan request filled and you will get the money you need. I resent poster who just throw darts at others with limited knowledge. Hope your house is warm for this Christmas season.

Re: Lending Club

151949 — Sat, 24 Dec 2016 01:26:47 GMT

Justify it anyway you need to so it soothe your conscious to take advantage of people who are desperate. I'm sure you made a lot of money charging people interest rates that are sure to put them in a deep financial hole.

Re: Lending Club

fff11 — Sat, 24 Dec 2016 22:58:52 GMT

@151949 wrote:
Justify it anyway you need to so it soothe your conscious to take advantage of people who are desperate. I'm sure you made a lot of money charging people interest rates that are sure to put them in a deep financial hole.

I agree with the prior poster. You obviously have not looked at credit card (Visa, MasterCard, American Express, etc.) because their rates easily approach 15% - 20% and beyond. Again, you need to heed the advice of the prior poster and hold your comments until you know what you're talking about.

Re: Lending Club

fff11 — Sat, 24 Dec 2016 22:59:54 GMT

@fthunt wrote:
151 - you do seem quick to judge and appear to know things that you can not... and do not know. Just slam these people - because you feel you know best. To educate YOU a little..........banks have not been loaning money for 8 years due to the very low interest rate and thus no $ return on their money. Lending companies are NOT what you express....they make loans available and are funded $$$$ by individuals like me. We 'invest' in loans for perhaps 3 years or more. Loans maybe for dential work - person lost a job or whatever. Regarding an interest rate of 18% - have you checked rates on credit cards lately? And 2017 those rates have Federal approval to increase as well as loans from banks. The lower interest rate you ask for (9%) and the better your rating is (A B C credit rating) the better chance you will have your loan request filled and you will get the money you need. I resent poster who just throw darts at others with limited knowledge. Hope your house is warm for this Christmas season.

I had no idea how lending clubs worked. Thank you for sharing your insight. I found it fascinating. Season's Greetings to you & yours!

Re: Lending Club

20sally — Mon, 02 Jan 2017 22:15:30 GMT

@fthunt wrote:
151 - you do seem quick to judge and appear to know things that you can not... and do not know. Just slam these people - because you feel you know best. To educate YOU a little..........banks have not been loaning money for 8 years due to the very low interest rate and thus no $ return on their money. Lending companies are NOT what you express....they make loans available and are funded $$$$ by individuals like me. We 'invest' in loans for perhaps 3 years or more. Loans maybe for dential work - person lost a job or whatever. Regarding an interest rate of 18% - have you checked rates on credit cards lately? And 2017 those rates have Federal approval to increase as well as loans from banks. The lower interest rate you ask for (9%) and the better your rating is (A B C credit rating) the better chance you will have your loan request filled and you will get the money you need. I resent poster who just throw darts at others with limited knowledge. Hope your house is warm for this Christmas season.

Very interesting @fthunt. Never heard of lending clubs before.