How to Create a Successful Prosper Loan Listing
If you are looking for an effective way to borrow money, consider a peer to peer lending platform such as Prosper.com. Prosper provides thousands of Borrowers with loans to fund a variety of personal financial needs.
The lending network allows individual Lenders to search and select the Borrowers that they would like to lend their personal money to. If you would like to borrow money from Prosper, there are several important techniques to consider to receive funding for your financial goals and needs.
Understand the Lenders
In order to be selected by Lenders, start by putting yourself in their shoes. Lenders are interested in giving out loans that they will receive interest on and that will be paid back.
- Are you a good credit risk?
- What does your financial history tell about you?
- Do you have a realistic view about your financial situation? Do you have a good plan to pay the loan back?
- If you were the Lender, would you choose yourself as a Borrower?
Lenders are giving you their personal funds and by putting yourself in their shoes, you will have a better idea of what they are looking for from you and can create an effective profile.
If you are a high credit risk, consider joining a Prosper group. Groups help to combine Borrowers together to reduce the risk of the overall investment for the Lenders.
Sell Your Story
Don’t just tell you story, sell your story. You need to not only make Lenders feel comfortable giving you their money but also inspire them to want to fund your loan.
- Be compelling
- Be accurate
- Be descriptive
Make sure to go into detail about yourself, your situation, why you need the money and why you are a good risk for the Lender.
Be sure to tell the truth and explain any delinquencies or financial issues from your past. Having a financial issue does not mean that you will not be able to get a loan, it just means that you need to explain the situation in detail to the Lender so that they feel comfortable giving you a loan. Always spell check your response before you submit your profile to the Prosper site.
Use a professional photograph of yourself in your profile, preferably a head shot taken by a photographer. I am sure that you have heard the old saying that a “picture is worth a 1000 words”. Some lenders prefer to have a visual of who they are lending their funds to since it creates more of a personal connection.
Learn About the Site
It is recommended that you learn about Prosper site by reading the FAQ section, the tutorials and the forums. Also take some time to explore about what you will need to enter in your profile so that you can take your time to prepare your responses, and to put together all of your information. The more that you understand about the system and what is expected of you, the better chances that you will have that your loan will be selected and fully funded.
As you are looking through the site to become familiar with the process, click on and review other Borrower’s profiles. Choose profiles that have been fully funded in the past as well as current loans that are almost fully funded. What do their profiles look like? What can you learn from them to apply to your profile? Be sure to incorporate any key learning items into your profile.
Get an Endorsement
Have you ever asked someone for a referral for a dentist, doctor, attorney or other professional? People often prefer to work with someone that they either know or that was referred by a trusted friend. Peer to peer lending is no different.
Prosper.com offers the ability to get endorsements from other members on the site, both Lenders and Borrowers. If you have the opportunity, seek out an endorsement. When someone sees a credible endorsement for you as a Borrower, they will feel more comfortable when lending you their money.
Be Realistic
Be realistic about your funding request. Not all loans will be funded and not all loans that are funded will be fully funded. Asking for a loan from Prosper is similar to asking for a loan from a bank or another credit institution in that you can be “denied” if you’re not an acceptable risk to enough lenders. Do the best that you can to create a compelling profile and remain optimistic through the process. Be sure to be responsive if you have communication or a question from a Lender throughout your loan bidding process.
Prosper is a great opportunity for any Borrower to request money for their financial needs. Whether you need to consolidate debt, pay for school, or make a new purchase; the peer to peer lending site can connect qualified Lenders to you in a matter of minutes from when you upload your profile. Good luck!