# Peer to Peer loans.



## Erika (Nov 25, 2018)

Hi everyone,

 Like many we haven't been able to save as much as we would have liked for retirement so we have to be extra cautious with what we have. Mostly we have Ira's parked for awhile in Money market funds . Not losing, not gaining. While looking for safe but modest gains I came across peer to peer loans. It seems that the interest you make is linked to risk so you can spread out the risk.  Anyone who has any experience with these please jump in.   Not really seeing how annuities or CD's would be for us. 

 Erika


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## Marie5656 (Nov 25, 2018)

My husband has done it. He said never again. Too hard collecting if they did not pay. But his were to friends, who took advantage.


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## Erika (Nov 25, 2018)

Hi Marie,

 No ,I wasn't talking about personal loans. We have been burned there too. This is much like a mutual fund of loans. Whatever risk you are willing to take. The bigger the risk the bigger the interest rate. We do not want risk at this point.


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## Trade (Nov 26, 2018)

Marie5656 said:


> My husband has done it. He said never again. Too hard collecting if they did not pay. But his were to friends, who took advantage.



_"Neither a borrower nor a lender be,
For loan oft loses both itself and friend"_


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## mathjak107 (Nov 26, 2018)

last thing i want to do is loan money to people banks rejected . i would sooner buy a junk bond fund


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## mathjak107 (Nov 26, 2018)

Erika said:


> Hi everyone,
> 
> Like many we haven't been able to save as much as we would have liked for retirement so we have to be extra cautious with what we have. Mostly we have Ira's parked for awhile in Money market funds . Not losing, not gaining. While looking for safe but modest gains I came across peer to peer loans. It seems that the interest you make is linked to risk so you can spread out the risk.  Anyone who has any experience with these please jump in.   Not really seeing how annuities or CD's would be for us.
> 
> Erika




so you did not want tt invest in diversified equity funds which over long periods of time like typical accumulation stages and retirement time frames  never lost money  , but you want to invest money  in high risk loans to make up for lost time  ...

let this sink in .


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## Erika (Nov 26, 2018)

Mathjack,
 We have been in equity funds for over 40 years. The problem was never enough money to add to them. The returns we got were good but when things got overvalued I went conservative and stuck most in a money market fund. Glad I did. The market has lost most of its gains this year.     It seems by the replies that no one has researched these types of loans. If you google safe investments for retirees it will explain them. I guess this is how a lot of banking is done now with the younger generation, online. Some won't even consider a loan unless they have a credit rating of 640 or better.  I was just hoping for someone experienced with them to comment.


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## mathjak107 (Nov 26, 2018)

Erika said:


> Mathjack,
> We have been in equity funds for over 40 years. The problem was never enough money to add to them. The returns we got were good but when things got overvalued I went conservative and stuck most in a money market fund. Glad I did. The market has lost most of its gains this year.     It seems by the replies that no one has researched these types of loans. If you google safe investments for retirees it will explain them. I guess this is how a lot of banking is done now with the younger generation, online. Some won't even consider a loan unless they have a credit rating of 640 or better.  I was just hoping for someone experienced with them to comment.


the default rate runs pretty high . the better risks don't pay much interest so to make it worthwhile you need to buy a lot of lower risk and keep your fingers crossed . 

i would sooner buy a fund like fidelity floating rate high yield. most of those who i know who jumped on the band wagon stopped


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