[PanchoVilla]

Those were the default loan rates provided by Prosper so I went with what I had. Eventually I will probably want to update those rates when Prosper or one of the number crunchers gets better data specifically on their loans. That's not likely to happen until there are a lot of loans that reach the 2+ year point. I think the oldest loans from Prosper would be around 9-10 months old now and none of mine are older than 7 months.

Besides the way to make a good return on Prosper is to pick the loans that are really a lot better than their rating suggests. Ie find the C's that just missed a B rating. So far my results since May are;
22 loans
2 payed off
17 have been on time every month
2 has been days late twice (15 days)
1 has been late twice (30 days)

I should have avoided one of my problematic loans, but it was before I knew to avoid the group the borrower was a member of. To date (7 months) my predicted return using those number should be 11.5%, my actual return is 15.5% so far. Most of the payments end up being $1-3. Some people like to pay extra and the rates of my loans range from 10.95 - 28%. I have a pretty balanced spread of loans. Using the weightings in my spreadsheet my loans are at 5.75 avg-risk so above average. One of each loan is 5.15 I think.

Pancho