Prosper Lands Top 50 March 4, 2008
Posted by jshum in : Lending , add a comment
Prosper has landed the top 50 Website for TIME. What better business to run in the midst of the crashing lending markets.
Countrywide’s failure to capitalize on the saturation of subprime lending started the public acceptance that the industry grew too lax on lending practices. Back in 1999, I was approved for a $165,000 loan, but in 2004, I was approved for a $350,000 loan. We’re all paying the price for the loose reigns that have put thousands of people into bankruptcy and foreclosure.
Prosper’s peer-to-peer lending allow people who wouldn’t qualify for traditional loans, to approach their Net neighbor for loans. Prosper then allows lenders like you and me, to login and lend other people money. The twist is that you can diversify your loans across multiple borrowers, so your risk is minimized.
I think this is a brilliant move for Prosper and other sites similar.
Why are Credit Reports so Important March 4, 2008
Posted by jshum in : Credit Report , add a commentYour credit report says a lot about your financial life. Employers are now actively running credit checks before extending an offer because if you can’t manage your own financial stability, how are you going to manage someone else’s?
Credit score reports allow you to find the kinks in your overall score. Your credit score is a measure of your propensity to be trusted with money. Part of your credit report may identify such factors as:
- Old credit cards not used
- Too many credit reports run by 3rd parties (not you)
- Late or overdue payments
- All credit cards ever owned
- Debt to income ratio
You should check your score each year to figure out how to adjust your credit behavior.
