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[112233]

Thanks for the heads up. I have a balance of 2 cents on my paid off loan.

The question now is, will prosper be so stupid as to ask me for this or ding my credit over it?

[big-al]

They replied pretty quickly.

Dear Dan,
 
Thank you for your email. You are correct in that the remaining balances are due to an account system change. We are addressing them as they come in. It will have no impact on the Borrowers credit. We appreciate any input you may have regarding your notes. If you need further assistance feel free to contact us.
 
For future reference, your Prosper support case number is 00410262.
 
Sincerely,
Prosper Customer Support

Lenders' issue:  the money Prosper failed to collect and pass on:  ignored
Customers' issue:  possible credit ding:  addressed

[Cushie]

Found it.  Son of a gun...I owe 1c.  Loan status shows paid, though.

[112233]

They replied pretty quickly.

Dear Dan,
 
Thank you for your email. You are correct in that the remaining balances are due to an account system change. We are addressing them as they come in. It will have no impact on the Borrowers credit. We appreciate any input you may have regarding your notes. If you need further assistance feel free to contact us.
 
For future reference, your Prosper support case number is 00410262.
 
Sincerely,
Prosper Customer Support

Lenders' issue:  the money Prosper failed to collect and pass on:  ignored
Customers' issue:  possible credit ding:  addressed

I hope the final stage is prosper paying off all the mistakes with their own money and crediting the same amount to lenders

[DCS]

Lenders' issue:  the money Prosper failed to collect and pass on:  ignored
Customers' issue:  possible credit ding:  addressed

To be fair, my original e-mail to Prosper (which I should have posted with their response) included a statement to the effect of, "It would be a shame if the borrower's credit were affected by this."

I just checked my girlfriend's borrower account, for which the  loan was paid in full a few months ago.  She has a loan balance of -$0.03.  Thing is, the last payment was an automatic pull by Prosper.  Why the heck did they take three extra cents?

[cwsswc]

My loan, which I paid in full as of October 1, 2008, now shows a "Principal balance" of $0.00 but a "Loan Balance" of $0.03. It has a status of "Paid".

For Prosper's sake, I certainly hope its accounting error does not result in a derogatory mark on my credit report.

Where are you seeing this?  I want to check my account.

From this page: https://www.prosper.com/secure/account/borrower/borrower_loans.aspx , click on the title of your loan. In my case, it flips to this page: https://www.prosper.com/secure/account/borrower/borrower_loan_detail.aspx?loan_id=13454  , but your loan_id will be different.

For my account, in the "Loan summary" section, it now shows a "Loan balance" of $0.03 and a "Loan status" of "Paid". In the "Payment History" section, the top entry in the "Principal balance" column shows "$0.00". That same row of data shows a "Transaction effective date" of "Oct-01-2008".

[cwsswc]

I sent a note to Prosper regarding the accounting issue. Here's the response:

"Thank you for contacting Prosper. I have reviewed your loan and I do see that it is Paid in Full. Prosper recently updated it's billing system and the new system calculates balances more accurately than the former one. This change as resulted in small balances reflecting on loans that are paid in full. No action is needed on your part and no derogatory reports have been sent to the Credit Bureaus. Our Technology team is aware of this situation and is actively working to resolve it to minimize the confusion. If you have any further questions or concerns please feel free to reply to this Email."

[Fred93]

Prosper recently updated it's billing system and the new system calculates balances more accurately than the former one. This change as resulted in small balances reflecting on loans that are paid in full. No action is needed on your part and no derogatory reports have been sent to the Credit Bureaus.

Well if the new system is MORE accurate, then you owe some lender some money.  But they say no action is needed on your part.  Seems self-contradictory.

Our Technology team is aware of this situation and is actively working to resolve it to minimize the confusion.

That's something a person would say if the new system were broken and something needed to be fixed.  Seems in conflict with the statement above that the new system is MORE accurate.

In the examples I've reported, the new system is just bonkers, and has double charged people late fees, reported wrong balances (and by a lot more than a few cents) etc.

[cwsswc]

Prosper recently updated it's billing system and the new system calculates balances more accurately than the former one. This change as resulted in small balances reflecting on loans that are paid in full. No action is needed on your part and no derogatory reports have been sent to the Credit Bureaus.

Well if the new system is MORE accurate, then you owe some lender some money.  But they say no action is needed on your part.  Seems self-contradictory.

Our Technology team is aware of this situation and is actively working to resolve it to minimize the confusion.

That's something a person would say if the new system were broken and something needed to be fixed.  Seems in conflict with the statement above that the new system is MORE accurate.

In the examples I've reported, the new system is just bonkers, and has double charged people late fees, reported wrong balances (and by a lot more than a few cents) etc.

Fred -- Personally, I was never late with a Prosper payment. In fact, I was frequently early. When I saw the $0.03 "Loan balance", my first reaction was to fire up a $0.03 manual payment (preferably from my lender account, which has about $3 or so in 'recovery' money in it -- but that's a topic for another thread) and be done with it, regardless of whether I really owed it or not. That proved to be impossible.

As someone who has at least half a brain about money, I've been very frustrated as a Prosper lender, but rather ambivalent as a Prosper borrower. The minor annoyances I had while paying back the loan were all easily dealt with and/or worked around, at least at the time. These days, it appears that with things like manual payments disabled, even the ability to borrow somewhat intelligently has been dismantled. And with phantom $0.03 'balances' appearing seemingly out of nowhere on loans that were believed to have been paid off well over a year ago? That's not exactly raising my confidence in the platform.

While I don't need to borrow right now, I'm not sure I would be willing to borrow at Prosper again knowing that a mid-stream or post-payoff accounting change on Prosper's part could potentially cause a credit bureau report that made it appear as though I were paying late, making partial payments, or not paying at all even though I had been paying according to what I thought were the actual terms of the loan.

[112233]

Prosper recently updated it's billing system and the new system calculates balances more accurately than the former one. This change as resulted in small balances reflecting on loans that are paid in full. No action is needed on your part and no derogatory reports have been sent to the Credit Bureaus.

Well if the new system is MORE accurate, then you owe some lender some money.  But they say no action is needed on your part.  Seems self-contradictory.

Our Technology team is aware of this situation and is actively working to resolve it to minimize the confusion.

That's something a person would say if the new system were broken and something needed to be fixed.  Seems in conflict with the statement above that the new system is MORE accurate.

In the examples I've reported, the new system is just bonkers, and has double charged people late fees, reported wrong balances (and by a lot more than a few cents) etc.

broke is the only reason to recalculate loan histories.