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[Capital_Finance_Group]

I just read the Blog article about the changes made last night
I do not see anything that will be of any real use to me

[Mtnchick]

Borrowers who are self-employed will now have their income displayed as “Not calculated”.

Then it goes on to say:

The “Income range” field on the listing page has been renamed “Stated income”, and the stated income of every borrower will always be displayed. This includes self-employed borrowers and wage earners who indicate that they cannot document their income.

And the example is of someone self employed with an actual amount "stated", not "Not Calculated". Has anyone run across an example of one where someone's self employed but has "Not Calculated".

Basically a wasted 7 hours, IMO.

ETA - well, it is interesting seeing when the BK was filed. For instance I have one whose last payment was March 30 and they filed Chapter 7 on April 4. 

They also did NOTHING to explain the situation of why some (several now) accounts have been taken out of collections. Originally I was told P-----r had received C&Ds, then that they were going into a "Charged off" status (even the ones who have been on time for over a year and are now only 2 months late). I really hoped this update would shed some light on these. Wishful thinking.......

[phreddy148]

I thought this part was very interesting.  Did they find out that the old method did not work in court?

Borrowers will now sign promissory notes for their loan

As of today, borrowers will be required to return to the Prosper site and sign the promissory notes which evidence their loan, before loan proceeds are disbursed. Until now, borrowers have not had to sign all of the notes themselves because they authorized Prosper to do so on their behalf.

Borrowers will receive an email notifying them that their loan is ready to sign, and will have 7 days to return to the site and sign the promissory notes. We will remind the borrower via email and phone calls every day until the 7 days is up, at which point, if the borrower has not responded, the loan will be cancelled.

Although this new process may add some additional time before loan funding, we expect that this change will reduce immediate loan payoffs and enhance the legal enforceability of Prosper promissory notes.

[xraider]

As far as I know, NOTHING has gotten far enough in court for this to have been tested, except possibly the Victoria Crawford fraud suit.

I bet some deadbeat had his/her lawyer write a letter saying "Prove I signed this" and Prosper folded.  That might explain why the NAT suits aren't being served.

[NewHorizon]

I bet some deadbeat had his/her lawyer write a letter saying "Prove I signed this" and Prosper folded.  That might explain why the NAT suits aren't being served.

Well as long as we're speculating, it could be that some folks WERE served and THEN Prosper got the "Prove I signed this" message in response.

[xraider]

NH, I periodically monitor the public records that show the status of the lawsuits, and in many counties, those records show whether proofs of service have been filed.  Last I checked, overwhelmingly, proofs of service have NOT been filed.  It's quite possible that of the two or three that have been served, a lawyer letter's gone out, which has resulted in service being halted on the remainder.

It's also possible that this is why the jdbs offer so little on Prosper loans.

Who knows? 

But, it's very, very disconcerting to learn that Prosper has no confidence in its (our) paper after all this time.

[NewHorizon]

OK, but I thought we (well, by "we" I mean those who've checked public records) couldn't find or access records of some California counties....?

[phreddy148]

I posted this at the PMI blog.

phredy148 | June 24th, 2008 at 9:43 am
I am very concerned about what might have caused the change to the borrowers signing their promissary notes. Could someone from Prosper expand on the need for the change? Is there some weakness in the old method that would effect the collectibility of the notes?

I wonder how long it will last or if it will get answered.

[NewHorizon]

Looks like instant transfers are scaled back..?

Old:

When a transfer to Prosper meets certain requirements, funds are made available in a lender's Prosper account instantly, with no delay.

...as still seen at http://www.prosper.com/help/topics/lender-transfer_funds.aspx

New:

All transfers of $500 or more initiated by 3:00PM PST will be approved for same day bidding on Monday's and Wednesday's.

Quoting the June 2008 Lender Newsletter I received via Email over night last night.

[LoanChimp]

nope, I just did an instant transfer...

[Urbi_et_Orbi]

I'd be curious to hear comments/observations from anyone using the institutional lender platform.  How is it different?

[GoBrowns2007]

I'd be curious to hear comments/observations from anyone using the institutional lender platform.  How is it different?

It shows full credit report information, FICO scores from all 3 bureaus, and complete BMV records from every state of residence for the past 20 years.






OK.... I made that up... haven't got a clue... but I can't imagine institutional lenders settling for the inforegular lenders currently get.

[DCS]

well, it is interesting seeing when the BK was filed. For instance I have one whose last payment was March 30 and they filed Chapter 7 on April 4. 

I've got one borrower which Prosper says filed Chapter 7 on February 27th, but made a payment on March 1st!

http://www.prosper.com/lend/listing.aspx?listingID=32438

I hope this doesn't mean they'll be taking that $1.76 back out of my account at some point, lol.

[bamalucky]

My 8 month late that never made a payment hasn't filed for BK it seems.

He never made a payment.I'm positive it's fraud but Prosper will never check into it.

[bamalucky]

If the lawsuits are discharged due to the borrower not signing,them Prosper has to pay the lenders back..

That's pretty simple!