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[mothandrust]

Hold on here.  One of my new "charge-offs" made payments on August 26 and then again on September 22. 

Prosper, charge-off and sell the loans that AREN'T making payments, not the ones where the borrower is paying!

http://www.prosper.com/lend/listing.aspx?listingID=105316

As for the other loans that are 4+ months late, bundle them up and sell them at the market rate to a JDB in a transparent and competitive process.  Repeat quarterly.

[ira01]

They charged off one of mine that made a payment 2 weeks ago after nearly a year without payments.

I have a feeling this was done w/o actually looking at the accounts. The only non-BK I have left in 4+ has an actual payment pending (if you believe the daggers). I have several that were charged off that made payments in Aug/08, Sept/08 and Oct/08. One of the ones that last paid in Oct/08 has been making payments every two weeks since June.

I also have several that are showing Charged off status but still in collections.

More idiocy from the Bay.

Isn't this actually Prosper for once doing what they said they would? The accounts will now be in Charge-off, thus they cannot become current again, yet Prosper will continue their own in-house Post-Charge-off Collections? This way at least we *know* not to expect any additional payments and we can write the severely delinquent loans off against 2008 income taxes.

Yes, it is what Prosper said it would do, but that doesn't make it smart, right, or legal.  Do you believe that a borrower that has been making payments every two weeks since June is likely to keep doing so once the loan has been "charged off" and can never be made current even if the borrower catches up?  I don't. 

[ira01]

From my reading of the email, Prosper has kept open the door on (eventually) selling these loans, or on keeping them in-house and continuing collections, albeit with undisclosed fees and conditions.

Do YOU believe them? Based on past experiences, even IF they collect anything or sell them off we won't get paid until talking about it here in many threads and then several months before it comes right. And that's not even mentioning that so far I've seen no one get paid on Chapter 13 BKs

+1  How about the "NAT" loans? Has anyone seen a penny from that? They don't even have the decency to give us an update on what is happening (obviously they haven't done anything with those).

You raise two different issues here -- receiving payments and getting an update.  As for the payments, there's just about no chance that lenders would be owed any money yet.  We know that these cases are moving excrutiatingly slowly, and even if one or two (or even a few) have actually made payments (even substantial ones), don't forget that all of the expenses have to be paid first, before lenders get a penny.  And those expenses include the cost (which Prosper advanced) of buying all the opting-out lenders' shares of the NAT loans.  I can't remember if we ever calculated how much that would be, but I'm sure it was pretty substantial.

As for the updates, however, that is another matter altogether.  Prosper promised monthly supplemental statements -- a promise (like many Prosper promises) that it has completely broken.  It has been many months since Prosper updated lenders on the NAT, and I'm sure now Prosper will use the "quiet period" as an excuse for continuing its silence.  One of these days, someone should again review the court dockets for all the NAT cases that have been identified to see what (if anything) is going on.  IIRC, a lot of the cases had status conferences and/or Orders to Show Cause re: Dismissal set for October, so there should be some information available (or at least a bunch of requests for defaults/default judgments by Prosper). 

[bamalucky]

Lendingstats has updated today but hasn't moved any loans from late to default display

[cubbiesnextyr]

Lendingstats has updated today but hasn't moved any loans from late to default display

I don't think it'll effect it too much... IIRC, LS treats 4++++ lates pretty much as defaults anyway.

[ira01]

Lendingstats has updated today but hasn't moved any loans from late to default display

I don't think it'll effect it too much... IIRC, LS treats 4++++ lates pretty much as defaults anyway.

Yes, I think this is correct.

[Fred93]

49 of my "4+" loans were moved to "charged off" a few days ago.  I got no email whatsoever about any of them.

[Mtnchick]

49 of my "4+" loans were moved to "charged off" a few days ago.  I got no email whatsoever about any of them.

Not only have I still not received an email, I received an email apologizing for sending one email per charge off (they were there in my messages on P-----r) and not just one combining them all. I think it's even worse than the right hand not knowing what the left hand is doing - I don't think there IS a right hand!!

ETA - 2 more seem to have hopped into the charge off bin today. No message on Prosper, no email.

[Fred93]

Not only have I still not received an email, I received an email apologizing for sending one email per charge off (they were there in my messages on P-----r) and not just one combining them all.

I didn't even get the apology.   

[Mtnchick]

Not only have I still not received an email, I received an email apologizing for sending one email per charge off (they were there in my messages on P-----r) and not just one combining them all.

I didn't even get the apology.   

You can use this one

We apologize for sending you multiple emails on Tuesday, October 28th regarding loans in your portfolio being charged-off. We notified you regarding these loans on Tuesday because, as of that day, any loans 121 or more days past due were accelerated and switched into "charge-off" status.

In our eagerness to ensure that you were aware of this change in status, we sent you individual emails for each loan, rather than sending a single email.

We have now changed the preferences to restrict this particular type of automatic correspondence. If you prefer to continue to receive individual emails for each charged-off loan, please click here and activate charge-offs under Lender notifications.

As always, we strive to provide openness and transparency to our members to ensure you are kept informed. However, sending you multiple emails was not the optimal approach. We thank you for your understanding and apologize for any inconvenience this may have caused.

Sincerely,
Prosper

Bolding mine because it's funny to me What's even weirder is that 1 email per charge off, BK, JDB sold, etc. has always been their MO. I didn't think anything of it when I got 53 messages - just thought it odd I got no emails since it's checked in preferences.

[yankeefan]

They charged off one of mine that made a payment 2 weeks ago after nearly a year without payments.

I have a feeling this was done w/o actually looking at the accounts. The only non-BK I have left in 4+ has an actual payment pending (if you believe the daggers). I have several that were charged off that made payments in Aug/08, Sept/08 and Oct/08. One of the ones that last paid in Oct/08 has been making payments every two weeks since June.

I asked customer service about this loan..

I am confused as to why loan 14742 was "charged off".  The borrower is, indeed, more than 4 months late, but apprears to have been making payments every two weeks for several months, in an amount nearly equal to his monthly payment.

...note that these payments have actually caught him up on interest, and he ahs been payong down a little principal (and , of course, the CA has been taking its share after all that...)

CS response "Rules is Rules"

Prosper will still take and distribute payment made on loan #14742. The borrower would have needed to bring the loan less than 120 days past due to have the loan not charge off. The loan has been over 120 days past due for some time which led to it being charged off.

I don't know whether accounting or tax regs make you give up most discretion on applying "charge off" rules or not.  None of my other 4+++ charge offs had been making much in the way of payments, save a few cents here and there from lender or GL accounts they may have had.

[Mtnchick]

I don't know whether accounting or tax regs make you give up most discretion on applying "charge off" rules or not.  None of my other 4+++ charge offs had been making much in the way of payments, save a few cents here and there from lender or GL accounts they may have had.

This will be an excellent chance for us to see if WE continue getting payments on accounts that are "charged off" as they claim we do.

[Xenon481]

They charged off one of mine that made a payment 2 weeks ago after nearly a year without payments.

I have a feeling this was done w/o actually looking at the accounts. The only non-BK I have left in 4+ has an actual payment pending (if you believe the daggers). I have several that were charged off that made payments in Aug/08, Sept/08 and Oct/08. One of the ones that last paid in Oct/08 has been making payments every two weeks since June.

I asked customer service about this loan..

I am confused as to why loan 14742 was "charged off".  The borrower is, indeed, more than 4 months late, but apprears to have been making payments every two weeks for several months, in an amount nearly equal to his monthly payment.

...note that these payments have actually caught him up on interest, and he ahs been payong down a little principal (and , of course, the CA has been taking its share after all that...)

CS response "Rules is Rules"

Prosper will still take and distribute payment made on loan #14742. The borrower would have needed to bring the loan less than 120 days past due to have the loan not charge off. The loan has been over 120 days past due for some time which led to it being charged off.

I don't know whether accounting or tax regs make you give up most discretion on applying "charge off" rules or not.  None of my other 4+++ charge offs had been making much in the way of payments, save a few cents here and there from lender or GL accounts they may have had.

I thought they were supposed to be quiet and not talk to us at all.   

[arebelspy]

the apology was cute (i got one too, after 59 or so charge off emails).

at least they're still keeping up pretenses of being a company that cares a little what people think.

[ira01]

I don't know whether accounting or tax regs make you give up most discretion on applying "charge off" rules or not.  None of my other 4+++ charge offs had been making much in the way of payments, save a few cents here and there from lender or GL accounts they may have had.

This will be an excellent chance for us to see if WE continue getting payments on accounts that are "charged off" as they claim we do.

I imagine that we'll get the payments that are made, but I think that most borrowers will simply stop paying once their loan is accelerated and charged off.  They'll figure "why bother, since I can never get it out of charged off status no matter how much I pay."  IMHO, this was a really bone-headed move by Prosper (but what else would anyone expect from them).