loans. The borrowers ratings ranged all over. At the end of the day (three years later), a little over half of the loans were paid back. However, because of the high interest, I ended up down about $160 in actual cash (not taking into account the loss of time value of money or sunk cost opportunities).

However, just when I thought all hope was lost, I received a $28.00 check in the mail because Prosper had settled a class action lawsuit related to securities reporting. I have received three of these checks now (at the beginning of each year). Every year I look forward to the check just rollin' through the door. At this rate, I will have recovered my full original principal in about three more years.

It was a good experiment.