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[Gogmagog]

What's pathetic is that the people who are condemning it are the same people who will end up benefiting if it becomes a class action suit.

Class action lawsuits only punish the Defendants and enrich the lawyers.  The never benefit the people filing the suit.   

Interesting - I've seen quite a few businesses have to change their business practices after a class action suit. Do the lawyers make money? Yes - they're working. Do the plaintiffs make money? Usually not. But do the business practices get changed? Yep. Especially when what they are doing is deemed illegal.

Changing business practices of the company would come after the "punishing the defendants" part I mentioned. The post I was responding to claimed we would benefit from a class action suit.  Any significant lawsuit that Prosper lost would cause the company to fold.  Not because of the cost of the lawsuit, but the incremental cost added to loans by needing to change practices would kill any hope of profitability they had.

[xraider]

Gog, don't you think you'd benefit if there was actual collections work done?  Don't you think you'd benefit if you have ID theft loans that Prosper repurchases?  Don't you think you'd benefit if Prosper honored the TOS under which you loaned?

I have a 12+ late... and have no clue what's EVER been done on it, why it hasn't been sold, and what these post-charge off techniques are.  If the post-charge off techniques include surprise pulls, well, it wasn't included.

So, my interest in suing is to get information and be sure that Prosper is abiding by the TOS.  Prosper won't provide me with information on my loans short of that (yeah, I've asked).  If I find a problem, or compel sale of any of these dogs, so much the better.

[Mtnchick]

What's pathetic is that the people who are condemning it are the same people who will end up benefiting if it becomes a class action suit.

Class action lawsuits only punish the Defendants and enrich the lawyers.  The never benefit the people filing the suit.   

Interesting - I've seen quite a few businesses have to change their business practices after a class action suit. Do the lawyers make money? Yes - they're working. Do the plaintiffs make money? Usually not. But do the business practices get changed? Yep. Especially when what they are doing is deemed illegal.

Changing business practices of the company would come after the "punishing the defendants" part I mentioned. The post I was responding to claimed we would benefit from a class action suit.  Any significant lawsuit that Prosper lost would cause the company to fold.  Not because of the cost of the lawsuit, but the incremental cost added to loans by needing to change practices would kill any hope of profitability they had.

Are you seriously saying that forcing P----r to do what it says it's going to do (collections, following up on BKs, ID theft guarantees, validating loans, etc) would cause them to fold? Wow. That's a pretty sad endorsement One would think that if they did things properly, they could actually be a profitable company which would cover any "cost" that it takes to do these things (which in actuality should have already been included in the business plan).

[Mtnchick]

Just remember as with EVERY Class Action suit, you can opt out of it. I certainly would expect all of you who don't think making P-----r adhere to their TOS is a good idea to opt out After all, you wouldn't want to be a part of making them go out business by following their own business plan............

[Gogmagog]

Gog, don't you think you'd benefit if there was actual collections work done? 

Prosper has gone through 5 or is it 6 Collections agencies, all having broadly similar(poor) performance. 
A. Prosper sucks-ass at picking collections agencies.  In a field that is the scourge of deadbeat borrowers, Prosper has managed to pick 6 Fluffy-Bunny Collections agencies.
B. Prosper Lenders suck-ass at picking loans.  Prosper Lenders are handing off some of the most worthless shit those Collection agencies have ever seen.

Of those two options, I think B is the overwhelming factor in poor collections.  Prosper might be able to do some things better, but seriously dude... Prosper can improve collections like this...
1. Take everyone from the collections team and put them in the server room.
2. As soon as any C grade or lower loan gets funded at 10%, they reboot the server repeatedly until the Borrower gives up.

Don't you think you'd benefit if you have ID theft loans that Prosper repurchases?  Don't you think you'd benefit if Prosper honored the TOS under which you loaned?

Yes

I have a 12+ late... and have no clue what's EVER been done on it, why it hasn't been sold, and what these post-charge off techniques are.  If the post-charge off techniques include surprise pulls, well, it wasn't included.

To sell, you need someone to buy.  Since the debt buyers know the same information the Collections agency does, I bet Prosper needs to get them liquored up just to have a meeting.

So, my interest in suing is to get information and be sure that Prosper is abiding by the TOS.  Prosper won't provide me with information on my loans short of that (yeah, I've asked).  If I find a problem, or compel sale of any of these dogs, so much the better.

Yay!  I will contribute $500 to the legal fund!  Up with ACTION!  Down with .ORG CIRCLE JERKS!

[Gogmagog]

Are you seriously saying that forcing P----r to do what it says it's going to do (collections, following up on BKs, ID theft guarantees, validating loans, etc) would cause them to fold? Wow. That's a pretty sad endorsement One would think that if they did things properly, they could actually be a profitable company which would cover any "cost" that it takes to do these things (which in actuality should have already been included in the business plan).

Nope.  I think Prosper having to protect Lenders from themselves will cause Prosper to fold. 

[Mtnchick]

Are you seriously saying that forcing P----r to do what it says it's going to do (collections, following up on BKs, ID theft guarantees, validating loans, etc) would cause them to fold? Wow. That's a pretty sad endorsement One would think that if they did things properly, they could actually be a profitable company which would cover any "cost" that it takes to do these things (which in actuality should have already been included in the business plan).

Nope.  I think Prosper having to protect Lenders from themselves will cause Prosper to fold. 

OMG. Sometimes I wonder if you're doing more than just "gin". These were loans that P-----r apparently verified specific information with. People with late loans have verified that NO ONE from a collection agency has called them. P-----r themselves has admitted that if someone says they filed BK, they put them in a BK status but don't verify for AT LEAST 60 days. Just these two things are completely unheard of in ANY company that is owed money, let alone one that presents itself as a financial company. Hell, right now I have 2 accounts that are in BK *and* collections. They can't even get their shit right on that.

But you ARE right that it's not easy for me to get a loan. Even though I've been a lender and they have verified and have listed my banking info, SS#, DL#, etc. when I tried to even see if they would lend me money:

Our automated method was unable to verify your information. At Prosper your security is of utmost importance.

We are therefore going to check your information manually. This means you will need to fax some documents to us. The documents required are listed on the Fax Cover page:

    Print Fax Cover Page
    This is required if you wish to continue.

When you fax the documents please be sure to include the barcoded fax cover sheet for security reasons.

Once we have verified your identity, you will receive an email from Prosper customer support in about two to three days.

What they are asking for is a voided check (even though they've been making withdrawals and deposits from my bank account for almost 2 years now) and a copy of my DL that they already have a copy. Brilliant. 

[bamalucky]

Gog,whats the collection rate on AA loans?

Wait,you don't know do you.

These were supposed to be the cream of the crop.What does Prosper call them?

Prime select.

hahahahahahahahhaha

[xraider]

Gog, one of the questions I have is the conditions the debt buyers allegedly placed on the purchase of debt.  I wonder if there was some sort of identity theft repurchase requirement.  If that was the case, this is problematic.

I don't know the reasons why collections are so poor.  I called Penncro once upon a time to ask what we lenders could propose to improve collections.  (Boy, was I naive.)  Prosper's response was to amend the LRA to say lenders couldn't contact collection agencies.  That and the simultaneous second loan rule stopped my lending.

Not enough gin in the world (or in my case, Chardonnay) to  get me to lend again on current terms.

Thanks for an offer to donate to the legal fund.  The thought is appreciated, but no funding is needed.

[Gogmagog]

Gog,whats the collection rate on AA loans?

Wait,you don't know do you.

These were supposed to be the cream of the crop.What does Prosper call them?

Prime select.

hahahahahahahahhaha

Restate this so it has a point please.  Also...  Maniacal laughter confuses me. You could be nuts and really amused, or about to fire a Death Ray.  I need guidance, or at least an emoticon, to let me know what to expect.

[Gogmagog]

OMG. Sometimes I wonder if you're doing more than just "gin".

Rum on occasion.  Captain Morgan Spiced Rum.  On the rocks. 

These were loans that P-----r apparently verified specific information with. People with late loans have verified that NO ONE from a collection agency has called them. P-----r themselves has admitted that if someone says they filed BK, they put them in a BK status but don't verify for AT LEAST 60 days. Just these two things are completely unheard of in ANY company that is owed money, let alone one that presents itself as a financial company. Hell, right now I have 2 accounts that are in BK *and* collections. They can't even get their shit right on that.

The instant you hit the bid button, the sum total of your control was irrevocably lost.  I knew this going in, which is why I don't get infuriated and bitter.  If you think that their efforts are lacking, take some legal action.  Or at least have your lawyer send a nasty note. I'll happily contribute to anyone who makes a reasonable legal move against Prosper. 

I'd tell people to put up or shut up, but I know they won't do either. 

[Nora_Lenderbee]

  If you think that their efforts are lacking, take some legal action.  Or at least have your lawyer send a nasty note.

And now this thread has come full circle. Legal action IS EXACTLY what this thread is about.

[Mtnchick]

  If you think that their efforts are lacking, take some legal action.  Or at least have your lawyer send a nasty note.

And now this thread has come full circle. Legal action IS EXACTLY what this thread is about.

Bingo. Apparently Gog hasn't been reading the thread

And Gog, when I was bidding it was long before I realized P-----r's completely and total lack of following their own business model. As you may have noticed, I no longer bid. I actually believed them when they said they had a collections agency working for them and I actually thought a company would VERIFY a customer claiming BK. You know, like a normal successful company would do. 

[Gogmagog]

  If you think that their efforts are lacking, take some legal action.  Or at least have your lawyer send a nasty note.

And now this thread has come full circle. Legal action IS EXACTLY what this thread is about.

To quote "Dude, where's my car?".... 
"And thennn?"

It started that way.... but it evolved into a "WTF is happening?" thread.  Nobody knows WTF is happening. 

Hey... that sounds familiar...

[Gogmagog]

Bingo. Apparently Gog hasn't been reading the thread

The beginning of the thread is very "Forceful Action".  The end of the thread is very "Is Anything Happening?"

And Gog, when I was bidding it was long before I realized P-----r's completely and total lack of following their own business model. As you may have noticed, I no longer bid. I actually believed them when they said they had a collections agency working for them and I actually thought a company would VERIFY a customer claiming BK. You know, like a normal successful company would do. 

Successful companies don't need periodic multi-million dollar cash infusions to stay afloat.  Startups, however, have more issues.  You expect a lot from a slightly older than 3 company trying something new.  E-Bay still doesn't have that fraud thing licked...  How unprofessional of them.