That didn't last long.
Prosper.com recently reopened for business, but they've stepped on the sidelines again.
The peer to peer lender decided to work for regulation under the SEC with the goal of reaching lenders nationwide. Previously they were operating with certain lenders in California only.
Your existing loans should not be affected, but you can't apply for new loans during this 'quiet period'. For more details, visit Prosper.com.
Further reading:
what a disappointment. we wait and wait and wait and then they go live, take new listings, allow people to bid on them, fund their accounts, etc. and BAM! – gone once more. prosper needs to get their s**t together.
Justin and mcw:
were you expecting anything else?
If you really want to invest in micro lending, go to LendingClub.com or Kiva.org.
Those companies are solid: I have never had a default on Kiva.org, and I’m making 9.76% ROI at Lending Club after defaults.
How does anyone know that any of these borrowers actually exist? It sounds like a perfect setup for a Ponzi scheme, where the loan arranger ( prosper ) pays off old investors with money raised from new ones.
Thats what I thought when I first saw the media hyping this site. There seems to be no independent auditing or verifciation that the borrowers exist.