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[mhs505]

So this is my second instance of this happening. 

This loan, has been late since loan has been late since November or December.  But now, there is a payment pending on April 29.  It looks like it is $100.00 in total.   

http://www.prosper.com/lend/listing.aspx?listingID=111834

It is showing as a community payment, but I believe that it is an application by AmSher of funds that were collected via them.  The reason I believe that is the  payoff on this other loan also showed as a community payment too:

http://www.prosper.com/lend/listing.aspx?listingID=98212

I know several of you disagree, but I am still a proponent of holding these loans long enough for serious collection attempts to get to the borrowers.   There are months and months before the end of the year.  I say let's hold on for a while and see how it pans out.  <shrug>

[Fred93]

It is showing as a community payment, but I believe that it is an application by AmSher of funds that were collected via them.  The reason I believe that is the  payoff on this other loan also showed as a community payment too

In the past, funds collected by a collection agency have never showed up as "community payments".  Therefore, I am skeptical of your conclusion.

[mhs505]

Well, then a masked avenger is going around curing my loans.     

I thought about it being TheKruse, but he really did seemed disappointed in human nature the last time I had heard ... he went into this with really good intentions.

[ira01]

It is showing as a community payment, but I believe that it is an application by AmSher of funds that were collected via them.  The reason I believe that is the  payoff on this other loan also showed as a community payment too:

It's actually showing a heart, and not "CP"?

[mhs505]

When you hover over the heart, it says 'community payment made by anonymous'

Edited to say ... I now think your post was a question.   Yes, both loans show hearts.

[yankeefan]

I don't credit the collection agency's efforts for the payments on either of these loans.

Thank you, masked avenger...

[xraider]

mhs, I continue to respectfully disagree.  Your 3+ late may have a payment pending but my 2 4+ lates have nothing, never made a payment after going late, Penncro did nothing with them, and AmSher has had them for more than 2 months at this point.  AmSher will soon have 5 new lates to try to collect on for me.  None is 30+ yet, but I'll watch with interest to see if AmSher is able to do anything with them.  My bet is no.

Prosper is in violation of the LRA by failing to do anything with my 4+ lates.  The current version of the LRA says:

f. Except in the case of borrower bankruptcy, Notes that become over 120 days past due are charged off and offered for sale to an unaffiliated debt buyer authorized and willing to purchase consumer loans. You authorize Prosper to offer for sale and sell your Notes that become over 120 days past due to a debt buyer in accordance with this Section. Because debt purchasers buy many past-due Notes at once, Notes that are in default might not be offered for sale at the point at which they are exactly 120 days past due, but may remain unsold for some period after they are 120 days past due. Collection efforts will continue until the Note is actually sold to a debt purchaser. Proceeds, if any, from the sale of your Notes, less expenses of sale, will be paid to you. No portion of the proceeds of a defaulted Note sale will be paid to any group leader. PROSPER DOES NOT GUARANTEE THAT A NOTE WILL BE SOLD AT A DEBT SALE, OR THAT YOU WILL RECEIVE ANY PROCEEDS FROM A DEBT SALE OF YOUR NOTE.

Prosper has said it will have quarterly debt sales.  I can agree that it's commercially reasonable to have debt sales quarterly, or with some other regularity, instead of clearing out its old inventory monthly.  However, the last debt sale was in December, and we're now in late April, so whenever this next sale occurs, it's not quarterly.  There is no excuse for my 8+ late, and, frankly, I'm considering it a breach of fiduciary duty that it hasn't been sold yet. 

I'm also unhappy about the utter lack of transparency in collections.  I don't know if AmSher is doing ANYTHING on my 4+ lates.  AmSher may well consider those dead meat and be spending no time at all collecting on them.  While I wouldn't blame AmSher if it determined that there was no reasonable likelihood of repayment and stopped efforts, I have no knowledge of whether that happened.

Finally, Prosper accomplishes two things when it fails to sell my 4+ lates.  It remains able to inflate its statistics falsely (I have a 10%+ ROI per the third party sites but am quickly heading negative) and it can keep my money out of my hands because it's not holding on to its end of the bargain.  I want to have my money and see my true returns.

[bamalucky]

Why can't people understand this statement?

THE LONGER A DEBT GOES UNSOLD,THE LESS A JDB WILL PAY FOR IT!!!

[JammingJAY]

The CP likely came from
http://www.prosper.com/groups/group_home.aspx?group_short_name=TzedakahGroup

[GoBrowns2007]

Prosper is in violation of the LRA by failing to do anything with my 4+ lates.  The current version of the LRA says:

f. Except in the case of borrower bankruptcy, Notes that become over 120 days past due are charged off and offered for sale to an unaffiliated debt buyer authorized and willing to purchase consumer loans. You authorize Prosper to offer for sale and sell your Notes that become over 120 days past due to a debt buyer in accordance with this Section. Because debt purchasers buy many past-due Notes at once, Notes that are in default might not be offered for sale at the point at which they are exactly 120 days past due, but may remain unsold for some period after they are 120 days past due. Collection efforts will continue until the Note is actually sold to a debt purchaser. Proceeds, if any, from the sale of your Notes, less expenses of sale, will be paid to you. No portion of the proceeds of a defaulted Note sale will be paid to any group leader. PROSPER DOES NOT GUARANTEE THAT A NOTE WILL BE SOLD AT A DEBT SALE, OR THAT YOU WILL RECEIVE ANY PROCEEDS FROM A DEBT SALE OF YOUR NOTE.

I don't see where they're violating the terms of the agreement. In particular, this line leaves when they'll see the notes fairly open-ended:

Notes that are in default might not be offered for sale at the point at which they are exactly 120 days past due, but may remain unsold for some period after they are 120 days past due.

"Some period" could be days, months, years...

They may have indicated somewhere that they planned on having quarterly debt sales, but that part of the agreement doesn't hold them to it. It only gives them permission to sell the debt sometime after 120 days.

[Fred93]

Notes that are in default might not be offered for sale at the point at which they are exactly 120 days past due, but may remain unsold for some period after they are 120 days past due.

"Some period" could be days, months, years...

They may have indicated somewhere that they planned on having quarterly debt sales, but that part of the agreement doesn't hold them to it. It only gives them permission to sell the debt sometime after 120 days.

They added that "some period" language after some of us complained that we had loans that were 9 or 10 months late.  That wording is in the more recent agreements. 

[GoBrowns2007]

They added that "some period" language after some of us complained that we had loans that were 9 or 10 months late.  That wording is in the more recent agreements. 

I've seen several comments about unilateral agreement changes by Prosper. I'm really surprised someone hasn't tried to sue them over it yet. Or has someone?

[droolingelmo]

They added that "some period" language after some of us complained that we had loans that were 9 or 10 months late.  That wording is in the more recent agreements. 

I've seen several comments about unilateral agreement changes by Prosper. I'm really surprised someone hasn't tried to sue them over it yet. Or has someone?

Don't worry, before too long we'll be seeing plenty!

[xraider]

DroolingElmo, the language that says, "

Because debt purchasers buy many past-due Notes at once, Notes that are in default might not be offered for sale at the point at which they are exactly 120 days past due, but may remain unsold for some period after they are 120 days past due

does not reasonably leave open a lengthier time.  Prosper doesn't say "from time to time" it will hold debt sales, and does not say that "as often as we feel like" we will hold debt sales.  Instead, the language suggests that precisely 120 days may not be commercially feasible but it does not suggest 6 months, and certainly not double that period.

As bama repeatedly posts, these notes lose value the longer they're late, and Prosper's fiduciary duty to me obligates it to place these notes for sale timely.

I can live with quarterly sales but, again, my oldest late is 8+ months dq now.  I believe MtnChick has an older one. 

If no debt sale by the end of the month, I will likely send a demand letter to Prosper on my 2 that are now more than 6 months old.

[msava]

So this is my second instance of this happening. 

This loan, has been late since loan has been late since November or December.  But now, there is a payment pending on April 29.  It looks like it is $100.00 in total.   

http://www.prosper.com/lend/listing.aspx?listingID=111834

It is showing as a community payment, but I believe that it is an application by AmSher of funds that were collected via them.  The reason I believe that is the  payoff on this other loan also showed as a community payment too:

http://www.prosper.com/lend/listing.aspx?listingID=98212

I know several of you disagree, but I am still a proponent of holding these loans long enough for serious collection attempts to get to the borrowers.   There are months and months before the end of the year.  I say let's hold on for a while and see how it pans out.  <shrug>
Just curious, what did you like about either of those loans to compel you to bid? My personal excuse for bad loans...back in the early days, I really did believe and was incredibly gullible to the stories.