Print

[Fred93]

http://www.prospers.org/blogs/Fred93/2008/07/26/prosper_com_collections_you_have_forsake
A discussion of the sad state of Prosper collections.

Here's one of the highlights:

[Mtnchick]

It's like a nightmare that never ends............

[xraider]

Bleah.

[mothandrust]

The lesson here is that if you're being manipulated, forced, or tricked into doing something, that "something" is rarely going to work out for your benefit. 

How many lenders posted here drivel like, "Let's give Amsher a chance" and "It can't be any worse than Penncro" and "They can have 17% if they can get a payment" and "Well, I didn't like the way they went about it, but..."

Someone who doesn't respect your freedom to choose and past agreements isn't going to respect anything about you; he is not your friend and you are a fool to believe his promises.

[ira01]

The lesson here is that if you're being manipulated, forced, or tricked into doing something, that "something" is rarely going to work out for your benefit. 

How many lenders posted here drivel like, "Let's give Amsher a chance" and "It can't be any worse than Penncro" and "They can have 17% if they can get a payment" and "Well, I didn't like the way they went about it, but..."

Someone who doesn't respect your freedom to choose and past agreements isn't going to respect anything about you; he is not your friend and you are a fool to believe his promises.

+1.  I seem to recall posting at the time that Prosper had no legal right to decide to switch agencies on already originated loans, and that Prosper should only have done so on a going forward basis.  A lot of people responded that it would be good for lenders, and that at least Prosper was doing something good for lenders for a change.  It seems to me that Prosper now owes lenders collectively the difference between Penncro's numbers and AmSher's numbers.

[bankomatic]

Before we get super angry at how poor the collections are, I think we have to compare these results to results of other collections agencies on similar loans that originiated in a similar way (P2P lending). I am not sure if such numbers exist, but may be this 6.5% cure rate is all there is to get. I suspect that a lot of the defaulters probably feel easier on defaulting to a bunch of strangers who have no power to persue them vs a big bank who they may think might have the capability to harass them endlessly.

[Fred93]

Before we get super angry at how poor the collections are, I think we have to compare these results to results of other collections agencies on similar loans that originiated in a similar way (P2P lending). I am not sure if such numbers exist, but may be this 6.5% cure rate is all there is to get.

Read my blog.  Penncro did better.

[NewHorizon]

Anybody see a hint of a correlation between the Amshere's red line and a Dow Jones Industrial Average chart - especially June's drop-off?

Or is it just me?

[Fred93]

Just recieved a note from Doug Fuller.  He tells me "we found one fairly significant bug in how the
agency interface was feeding back to the stats accumulation".  Also says they are continuing to look for another bug, but gave no details about that.  You will note that the collections numbers displayed on the web site this morning have taken a jump up. 

I believe this means that the collection data from prosper that I've been tracking has all been faulty, and the curves generated from same are also faulty.

I'm going to ask whether this bug applies only to the interface with Amsher, or whether the Penncro data was also fouled by the same problem.

[112233]

I hope there is a public announcement on the part of prosper.

[DakotahFury]

You would think that such a high-vis statistic would have undergone intense scrutiny prior to this. What a convenient bug...

[NewHorizon]

I hope there is a public announcement on the part of prosper.

If recent history is any indication, this sort of announcement would come late on a Friday.
BTW, today is Friday.   

[Nora_Lenderbee]

I'm glad to see that Doug Fuller is reading and replying, even if not to everything we would like.

[112233]

I'm glad to see that Doug Fuller is reading and replying, even if not to everything we would like.

+1, and another +1 for the good faith effort for trying to do something about fred's concerns

[ira01]

Just recieved a note from Doug Fuller.  He tells me "we found one fairly significant bug in how the
agency interface was feeding back to the stats accumulation".  Also says they are continuing to look for another bug, but gave no details about that.  You will note that the collections numbers displayed on the web site this morning have taken a jump up. 

I believe this means that the collection data from prosper that I've been tracking has all been faulty, and the curves generated from same are also faulty.

I'm going to ask whether this bug applies only to the interface with Amsher, or whether the Penncro data was also fouled by the same problem.

If the "jump up" is large, I hope there is a way to verify to see if they reflect reality, or are just more Prosper wishful accounting.