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[bamalucky]

http://blog.prosper.com/2008/03/25/why-i-love-prospercom/

While bidding on loans on Prosper.com is not without risk, my overall experience (and investment returns) have been quite positive. I’ve been investing for nearly 18 months and I’m receiving over 13% annualized returns.

Lendingstats has him at a little over 5%

http://www.lendingstats.com/lenders/WealthBuildingLessons

[yankeefan]

On a three year loan, he should be getting over 33% of his money "returned" every year.  13% is more like the average, I fear.   

[112233]

I can't find any way to justify 13%. Even experian's high-end return is under 13%. I looked at the lates and they are all at least 2 months late meaning the ROI did not tick down recently.

erics has even a worse ROI @ 1.02%
http://www.ericscc.com/lenders/WealthBuildingLessons

[bamalucky]

Perhaps someone could ask him on the prosper blog   

[112233]

I hope he isnt using average interest rate

[112233]

I submitted this comment. I don't if it will be approved though

how did you calculate your return?

[traveler505]

I can't find any way to justify 13%. Even experian's high-end return is under 13%. I looked at the lates and they are all at least 2 months late meaning the ROI did not tick down recently.

erics has even a worse ROI @ 1.02%
http://www.ericscc.com/lenders/WealthBuildingLessons

Don't forget about the stock options.

When you take that 1.02% ROI, and add the value of the stock options, that gives him an adjusted ROI of, uhhhh, ummmmmm, 1.02%.

Nevermind.

[bamalucky]

I submitted this comment. I don't if it will be approved though

how did you calculate your return?

Oh thats way too highly inflammatory to ever pass moderation

[112233]

I submitted this comment. I don't if it will be approved though

how did you calculate your return?

Oh thats way too highly inflammatory to ever pass moderation

well, it did the fake post thing until I deleted the blog cookie

[j9359]

Must be that compound interest thing I keep reading about 

[112233]

my blog comment went through and he replied with how he calculated his return
http://blog.prosper.com/2008/03/25/why-i-love-prospercom/#comments

[traveler505]

So, if I undestand correctly, he treats all his lates as if they were current.

Plus, he doesn't mention factoring in time to annualize the returns.

[cowdog]

*cowdog stomps hoof*

Dollars in vs dollars out is the only true stat.

Getting $15 back from $100 in does NOT mean one MADE 15%.

Not until that $100 is returned are there any profits, or any return.

Everything up to the point that the principal is returned is merely projection, not return.

[112233]

*cowdog stomps hoof*

Dollars in vs dollars out is the only true stat.

Getting $15 back from $100 in does NOT mean one MADE 15%.

Not until that $100 is returned are there any profits, or any return.

Everything up to the point that the principal is returned is merely projection, not return.

I guess the keyword in the blog is annualized

[cubbiesnextyr]

I take the amount I initially deposited across all accounts, subtract that from the current value of my prosper portfolios to get the increase. I multiply that by 100 and divide it by original deposits to get the percentage increase.

Let's see...

I've "invested" $2,187.50.  I've withdrawn $795.42.  My current value (as of 3/26/08) is $1,591.25

So, based on his formula...

1,591.25-(2187.50-795.42) = 199.17*100 = 19,917/1392.08 = 14.3%.  Wow, I'm doing way better than I thought!!!