New Prosper Blog

Hollow Oak, a lender at Prosper and frequent forum participant, has started to blog about some stats he's been examining lately. It seems that the number of lenders is growing much faster than the number of borrowers, resulting in more bids. This means lower rates for borrowers, especially those with good credit.

Here is Prosper's chart showing the 30-day average rates for borrowers. It looks like B and worse credit borrowers get better rates with group membership. A and AA borrowers can get loans for $10,000 or less with interest rates below 10%, and $5,000 or less at less than 9% interest. E's and HR's have been averaging 22% with group membership, which is ridiculously low, considering the risk.

If you visit SavageNumber.com, you'll see that these latest rates are considerably lower than the average rates over the life of Prosper: 1% to 3% lower, actually.