Loan number six on Lending Club

I just made a another loan on Lending Club. I wanted to get more posts up that are more tutorial related before talking about my lending activity however, I believe it's important to also watch someone as they place loans in real time. This is the first loan I have made since starting this blog. I have placed a link below so I hope you can see the listing of this loan. I will tell you things like that I like about the loan and what I don't like. Also why I chose to invest in this particular loan.

https://www.lendingclub.com/browse/loanDetail.action?loan_id=454237
Pros:
- First the loan met my basic screening.
- B and C grade loans, interest over 11%, no deliquencies, less than 20% DTI (Debt to income), Credit score over 750.
- Homeowner
- Good length of employment
- Using the loan to buy what seems to be a stable asset (this is better than paying for a vacation)
- Very low utilization of open credit lines 0.19% (has room to be flexible in tough financial times)
- Interest rate at 12.18%

Cons:
- Asking for a full $25,000
- Seems that they may need the rental income to make the payments
- Buying Real Estate in California, personally I would not do that

** some of the criteria I mentioned you can't see unless you log into Lendng Club.

Summary:
I wanted a loan over 12% interest because I want to be sure that my NAR (Net Annualized Return) has a pretty good chance of staying above 11%. That may be a little optimistic, my hard goal is above 10% and I definitely feel confident I can do that. I will continue to invest $25 in each loan until I have made a total of 100 loans and then I will consider going to $50 in each loan. I do have one loan that I invsted $50 in. This was a couple that I know personally and I knew their financial situation. That particular loan was almost guaranteed money so I invest more in it. I will be posting more tutorial articles later. Subscribe on the top left hand side and you will be notified when I make my next post about Lending Club.