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[ira01]

Has anyone who is on (and opted-into) any of the NAT loans tried asking Prosper for an update?  Prosper promised regular (monthly? quarterly? -- I can't quite recall it has been so long) updates, but it has now been about 1.5 years, and the last "update" (a DF blog post IIRC) must have been almost a year ago IIRC.  That is pitiful, even by Prosper standards.  All of the NAT cases really should have been concluded by now.  The last time anyone checked the court dockets, a bunch of cases had been dismissed by Prosper, and I don't think ANY of the cases had been resolved in a favorable way (such a default judgment being entered).  What a complete disaster the NAT turned out to be, but that doesn't excuse Prosper from reporting to the lenders about the whole project.

[Fred93]

They promised MONTHLY STATEMENTS on the NAT loans.

There have been no statements at all on the NAT loans.  None ever.

I opted in.  I have not asked.

[Senator]

They promised MONTHLY STATEMENTS on the NAT loans.

There have been no statements at all on the NAT loans.  None ever.

This has to be the saddest broken promise Prosper made.  Even sadder than Andrew's withholding funds from blenders promise.

[Urbi_et_Orbi]

...and yet, they don't even bother to pretend that they care...

Shameful!

[ira01]

...and yet, they don't even bother to pretend that they care...

Shameful!

I agree -- it is an outrage.  I am not on any of the NAT loans, or I would ask Prosper for an update.  Someone who is should ask.

[yankeefan]

I just tried this

In December, 2007, I opted in to your collections test, agreeing to sell my participation in 7 loans to Prosper in return for a share of all collections received, net of expenses, on a portfolio of such late loans.  We were promised regular(Monthly< i beleive) reports on progress.  To date, I don't believe we have receoved any report on progress, nor any recoveries.

Please provide the promised progress report.

THank You.

Will let you know what they say.


ETA-  That was actually 4 loans inFeb 2008- sent correctionto prosper....

Dece 2007 was an actual sale.

[yankeefan]

Also,  Doug noted this in a blog in August 2008

On the legal test, we have filed for “Default Judgment” on the first 20 cases. An additional batch of defaults will be going out next week. The law firm is continuing to work on obtaining “service of process” on the remaining cases. In terms of fallout, we have had 7 accounts file for bankruptcy, two of the accounts have moved out of state, one is deceased and two suits have been contested.

[Urbi_et_Orbi]

I opted in on the first (much more generous) offer, but took no action on the revised (much less generous) offer.

Were does that leave me?

[yankeefan]

As you probably would have guessed

Thank you for your email. Prosper will post an update regarding the legal test when we emerge from our quiet period.

[mtnchickatstore]

As you probably would have guessed

Thank you for your email. Prosper will post an update regarding the legal test when we emerge from our quiet period.

 

They are loving this "quiet period".  Gotta wonder why they have any employees

[ira01]

As you probably would have guessed

Thank you for your email. Prosper will post an update regarding the legal test when we emerge from our quiet period.

I would reply with the following:

Thank you for your response, but it is completely inadequate.  I am not asking for a public statement about the legal test -- I am asking for you to comply with your contractual and fiduciary duties to me by providing the promised and required updates that are now approximately 1.5 years overdue.  In no way does the "quiet period" preclude you from providing this information to legal test participants such as myself (just as the "quiet period" doesn't prevent you from providing monthly account statements to lenders).  As you know, participation in the legal test required participants to "sell" Prosper back our loans for $0.00 and a promise of certain future payments and information about the test.  I performed my end of the deal; Prosper has completely breached its end, as no payments have been made, and no updates have been provided (notwithstanding Prosper's promise to do so monthly).  Please do not compound the problem by falsely asserting that the "quiet period" has any bearing on this matter. 

I look forward to your prompt (and informative) response.

Of course, TINLA and YMMV.

[Fred93]

Thank you for your response, but it is completely inadequate.  I am not asking for a public statement about the legal test -- I am asking for you to comply with your contractual and fiduciary duties to me by providing the promised and required updates that are now approximately 1.5 years overdue.  In no way does the "quiet period" preclude you from providing this information to legal test participants such as myself (just as the "quiet period" doesn't prevent you from providing monthly account statements to lenders).  As you know, participation in the legal test required participants to "sell" Prosper back our loans for $0.00 and a promise of certain future payments and information about the test.  I performed my end of the deal; Prosper has completely breached its end, as no payments have been made, and no updates have been provided (notwithstanding Prosper's promise to do so monthly).  Please do not compound the problem by falsely asserting that the "quiet period" has any bearing on this matter. 

I agree with all that, except that they didn't promise "updates".  They promised "statements".  To me a statement has details of the state of my investment, including numbers which I can sum and reconcile.  No statements of any kind covering these loans have ever been generated.

[ira01]

Thank you for your response, but it is completely inadequate.  I am not asking for a public statement about the legal test -- I am asking for you to comply with your contractual and fiduciary duties to me by providing the promised and required updates that are now approximately 1.5 years overdue.  In no way does the "quiet period" preclude you from providing this information to legal test participants such as myself (just as the "quiet period" doesn't prevent you from providing monthly account statements to lenders).  As you know, participation in the legal test required participants to "sell" Prosper back our loans for $0.00 and a promise of certain future payments and information about the test.  I performed my end of the deal; Prosper has completely breached its end, as no payments have been made, and no updates have been provided (notwithstanding Prosper's promise to do so monthly).  Please do not compound the problem by falsely asserting that the "quiet period" has any bearing on this matter. 

I agree with all that, except that they didn't promise "updates".  They promised "statements".  To me a statement has details of the state of my investment, including numbers which I can sum and reconcile.  No statements of any kind covering these loans have ever been generated.

Fair enough -- I can't remember exactly what they promised, considering it was 1.5 years ago.  Hopefully the statement won't just consist of "Money we owe you based on our collections to date -- $0.00."  It surely seems all but certain that Prosper hasn't recouped its costs yet, so it wouldn't owe participating lenders any money.  But it certainly owes an "update" as to the results of the test -- how many cases were served, how many default judgments were entered and for how much, how many debtors filed BK, etc.  The most important piece of information would probably be how many cases were dropped by prosper and why, and how many (if any) did the defendant prevail on and why.  The lenders would certainly want to know if any of these loans were the result of id-theft, meaning Prosper is legally obligated to repurchase them for 100%.

[Urbi_et_Orbi]

This statement was in an email I received from Doug Fuller on February 17, 2008.

For those lender’s that “opted in” and chose to participate in the legal test, accounting will be provided in a monthly supplementary statement.

[mothandrust]

Thank you for your response, but it is completely inadequate.  I am not asking for a public statement about the legal test -- I am asking for you to comply with your contractual and fiduciary duties to me by providing the promised and required updates that are now approximately 1.5 years overdue.  In no way does the "quiet period" preclude you from providing this information to legal test participants such as myself (just as the "quiet period" doesn't prevent you from providing monthly account statements to lenders). 

Wouldn't this be the ideal time for Prosper to provide these statements/updates?

Employees that would otherwise be approving loans, interfacing with borrowers, answering customer service emails, moderating forums, etc. could be deployed to issuing these statements.

So much time, so little to do.