Prosper reports that the median loan-to-monthly payment income ratio has remained fairly stable MoM at 5.23%
Prosper, a market lending company that connects borrowers and investors with more than $ 17 billion in loans issued through its platform, shared its Performance update report for the month of August 2021.
As Noted in the report prepared by Haiyan Huang from Prosper, dated September 15, 2021:
“In August, about 67% of loan origination was rated AA-B. The average loan amount remains relatively stable from month to month. Prosper’s median monthly loan-to-income ratio (PTI) payment for August was relatively stable month-over-month at 5.23%.
The Prosper team added:
“The weighted average borrower rate for the August originals was stable month over month.”
Further portfolio information and key charts can be viewed here.
As the company noted, Prosper Performance Updates are designed and intended to help their investment community better understand key performance trends. The updates are also meant to offer important insight into the trends observed by the Prosper team and the information needed to invest strategically through the platform.
As covered in August 2021, Prosper had revealed:
“In July, about 67% of loan origination was rated AA-B. The average loan amount remains relatively stable from month to month. The median monthly payment ratio on the Prosper Income Loan (PTI) for July rose 12 basis points on a month-to-month basis to 5.21%. The weighted average borrower rate for July originations increased 25 basis points from the previous month, mainly due to the growing mix of C-HR loan originations. “
As its management notes:
“Prosper’s mission is to advance financial well-being. The company’s online lending platform connects people wishing to borrow money with individuals and institutions wishing to invest in consumer credit. Borrowers have access to affordable fixed-rate, fixed-term personal loans. Investors have the opportunity to generate strong returns through a data-driven underwriting model. “
To date, over $ 17 billion in personal loans have been “generated through the Prosper platform for debt consolidation and major purchases such as home improvement projects, medical bills and special occasions.”