- Address: 111 Sutter Street, 22nd Floor
- San Francisco CA 94104
- Country: US
- Founded: February 2006
Overview
Prosper is a people-to-people lending marketplace that attempts to make consumer lending more financially and socially rewarding.
At Prosper, people list and bid on loans using Prosper's online auction platform. Prospective lenders set their minimum interest rate and bid in increments of $50 to $25,000 on loan listings they select.
In addition to criteria commonly used by institutional lenders, such as credit scores, people who lend can consider borrowers' group affiliations. Groups functionality brings people together for the common goal of borrowing at better rates. Groups earn reputations according to their members' repayment records. Groups with successful repayment histories should attract more lenders offering lower rates.
Borrowers create loan listings for up to $25,000 and set the maximum rate they are willing to pay a lender. Once the auction ends, Prosper takes the bids with the lowest rates and combines them into one simple loan. Prosper handles all on-going loan administration tasks including loan repayment and collections on behalf of the matched borrower and lenders.
Prosper generates revenue by collecting a one-time 1% or 2% fee on funded loans from borrowers, and assesses a 0.5% or 1.0% annual loan servicing fee to lenders.
Products
People
| John Witchel | CTO and Co-Founder |
| Kirk Inglis | CFO |
| Rob Klapper | Chief Marketing Officer |
| Chris Denend | Vice President of Engineering |
| Ed Giedgowd | Chief Compliance Officer and General Counsel |
| Thomas Pigoski | Vice President of Technical Operations |
Funding
| Date | Round | Size | Investors |
| April 05 | Series A | $7.50M |
Accel Partners Benchmark Capital |
| February 06 | Series B | $12.50M |
Accel Partners Benchmark Capital Fidelity Ventures Omidyar Network |
| June 07 | Series C | $20.00M |
Benchmark Capital Duff Ackerman & Goodrich Fidelity Ventures Meritech Capital Partners Omidyar Network |
Tags
User Reviews
- daleDecember 27, 2007 at 3:31am
What the. . .? Is this like some Prosper hater type blog here? So u got 25Gs from Prosper and never have to pay it back huh? What's your sign on name, i'd like to verify that for you. And if you so, you can bet the collectors will be carpooling to your place. Furthermore, Prospers system is good because each lender that trusted you will not lose a big amount. So take your 25Gs and stick where the lies come from and have a nice day.
- ccatDecember 26, 2007 at 9:09am
Prosper lies about the default rates, they lie about the average ROI, and further, they practice extreme censorship on their forum. Prosper = great for deadbeats
- ccatDecember 26, 2007 at 9:09am
Prosper lies about the default rates, they lie about the average ROI, and further, they practice extreme censorship on their forum. Prosper = great for deadbeats
- georgiaboyDecember 25, 2007 at 5:50pm
I got 25,000$ from Prosper and will never have to pay it back.
- 112233December 25, 2007 at 5:31pm
even though prosper is trying hard to silence the truth(see http://www.prosperreport.com), you can find uncensored discussions at www.prospers.org
- A Prosper LenderDecember 24, 2007 at 11:58am
Please check out www.prospers.org for some real information about Prosper.
- chriscoDecember 23, 2007 at 7:17pm
Prosper is going down with the subprime mess...
- JohnNovember 20, 2007 at 10:24am
animal pussy
- UnisonSeptember 28, 2007 at 11:17am
myfreepaysite.com members
- BobiSeptember 28, 2007 at 5:46am
aebn myfreepaysite
TechCrunch Posts
Techmeme Citations
Technorati Results
Prosper does lie about the default rates. As a lender, I've had two loans default and although the loans were small (only $50 each), the amount collected was small as well. I collected $4.16 on one defaulted loan and $11 on the other. Really great rate of return! It also makes up rules on lending that aren't posted on their website. As a lender, I'm done with Prosper when the last loan is paid off or defaults.