Comments on: Prosper is Dead

By: Tom

Tom — Wed, 03 Dec 2008 13:03:33 +0000

“In honesty, I think that Prosper’s huge first mover advantage over other peer-to-peer lending platforms, gives me more confidence that they can weather this storm than Lending Club did.”

Now it looks like Lending Club is totally out-executing Prosper. Prosper just got two more strikes against it – a million dollar fine and pending class action lawsuit.

By: PizzaForADream

PizzaForADream — Fri, 17 Oct 2008 23:45:21 +0000

Not sure what exactly you complained about? I’ve completed 1 loan with Prosper and am currently paying off 2 more with no problems whatsoever. If it weren’t for Prosper, I wouldn’t be nearly as far ahead in my current business as I am. Hopefully their quite period doesn’t last very long as I believe it provides a valuable service in our society today.

By: Matt

Matt — Fri, 17 Oct 2008 17:35:11 +0000

bamalucky has been making complaints to the SEC against Prosper and encouraging others to do the same. He reason was he couldn’t get a straight answer from Prosper on who owned the loans (Prosper or the people doing the $50 bids on a loan). So, he filed a complaint against Prosper for selling unregistered securities.

By: Patrick

Patrick — Fri, 17 Oct 2008 01:16:31 +0000

I think Prosper will be fine. I see good things in the future for the P2P industry – especially if banks and traditional lenders tighten the purse strings for an extended period of time.

By: Lazy Man

Lazy Man — Wed, 15 Oct 2008 18:52:14 +0000

I was going to mention why I left the tombstone picture out. At the time of the Lending Club, a very new company, abruptly going dark with no notice, no sign for how long, and less funding than Prosper (from what I can tell), I really thought they’d go under.

Prosper has enough time under it’s belt, had announced the SEC thing months in advance, says that it will be several months (at least a rough indication there), and sufficient funding to withstand that time.

(Plus I thought the tombstone would get old.)

By: DebtKid

DebtKid — Wed, 15 Oct 2008 18:46:23 +0000

Lazy ~

What, no tombstone picture? Ha! Just kidding, crazy week in P2P lending…

By: Tom

Tom — Wed, 15 Oct 2008 17:25:23 +0000

“Why is the SEC focusing on Prosper and Lending Club?”

I wonder if the SEC is actually focusing on Prosper and LC or if this move is a decision they made and a fundamental change to their business model. A model which includes, among other things, a secondary market for loans.

By: Tom

Tom — Wed, 15 Oct 2008 17:23:32 +0000

It sure is a provocative title, but Prosper is not dead – just like Lending Club wasn’t dead. It took a little over 6 months for LC to register with the SEC and now they are open for lenders from 15 states. I wonder if Prosper will be quicker given LC did the hard lifting.