How To Avoid The 3 Biggest Risks In Peer Lending

How To Avoid The 3 Biggest Risks In Peer LendingHello! Here is a post from a blogger friend. Peer lending is something I have been interested in learning more about, so I thought this topic would be perfect for my readers. Enjoy! 

If you haven’t heard about the peer lending revolution yet, you soon will. Both companies in the space, Prosper and Lending Club, are issuing more than $100 million in new loans every month.

The revolution in peer lending is opening a new world to investors but many are being caught off guard. Know the risks and resources before investing in online loans and you might just find one of your favorite investments.

 

Peer lending is taking the power from big banks

The first peer loans were made on Prosper nearly a decade ago but the movement has only just begun to gain momentum over the last year. It took Prosper over eight years to originate a billion dollars in loans. It took the loan platform just six months this year to originate its second billion.

Peer lending is the coming together of the online world and traditional lending. Borrowers fill out an application for up to $35,000 on a lending website, either Prosper or Lending Club in the United States. After a credit check and review, the application is assigned a credit rating and an interest rate.

The loan request then goes live on the website for investors to fund. Investors decide how much they want to fund in a particular loan, as low as $25, and in how many loans they want to invest. Once enough people choose to invest in a loan and it reaches its requested amount, the money is deposited in the borrower’s bank account.

The borrower makes regular payments to the lending website, as with any loan, and the website passes payments on to investors. The concept is nothing new, people have been investing in bank loans for ages but they’ve always had to go through the bank or a brokerage firm.

Peer lending is changing all that and connecting borrowers with investors directly. [Read more…]

5 Mistakes That Can Hurt Your Chances For Retirement

5 Mistakes That Can Hurt Preparing For RetirementSadly, there are many out there who do not save enough money when preparing for retirement. In fact, according to Zacks Investment Research, 72% do not save enough for retirement each month.

Also, according to a different survey done by Bankrate.com, 36% of people in the United States have absolutely NOTHING saved for retirement.

These numbers are very alarming.

I believe that saving for retirement is possible, and it’s something more people should be working towards and succeeding at.

While many believe the economy ruins their chances for retirement, in reality most retirement preparation problems have to do with the specific beliefs people have towards retirement.

There are many reasons for why a person might be horrible at saving for retirement. By looking at the various reasons for why preparing for retirement doesn’t seem to be working for someone, I feel that more people can be aware of and overcome their retirement preparation problems.

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Below are five different ways you may by hurting your chances for retirement. Continue reading if you are interested in preparing for retirement but want to avoid common mistakes! [Read more…]

The Smart Woman’s Guide To Investing Success

The Smart Woman's Guide To Investing SuccessHello! Please enjoy this amazing post by a blogger friend.

Women face different obstacles than men do when it comes to investing in the stock market. Right off the bat, they tend to have less in savings because women often take time off to raise children. With years of not earning a salary, there is no money being saved and compounded upon.

In addition to this, women typically outlive men by close to 10 years on average. Therefore, it is important as a woman to invest in the stock market.

Research shows that most women would rather preserve their money by stashing it away in a bank account or other safe investment as opposed to the stock market.

In this post, I am going to show you why this is a bad idea and why you need to become comfortable with investing in the stock market. From there, I will teach you the basics of the stock market so that you can overcome your fear and become a successful investor. [Read more…]

How I Manage My Finances So I Can Save Time and Worry Less

How To Manage Your Finances Effectively And Save Time And StressBetween managing retirement, paying bills, handling credit cards, saving for things in life you want and more, managing your financial life can get difficult.

Due to this, I am often looking for ways to make managing my financial life easier since at times handling everything can seem so hectic and stressful.

Making everything simpler and easier means that I can have more time to spend on other areas of my life, and also worry less about what I may be forgetting.

This is why I am creating this article. I believe that if you can learn how to manage your finances effectively as well, you can save a ton of time, have less stress, and focus on the things you truly want to in life.

Managing your finances does not have to be hard, and I want to show everyone that. Too many people give up and let their finances get out of order, when it really does not have to be that hard.

Below is how I manage my finances easily so I can save time and worry less. [Read more…]

5 Easy Ways To Lose Money And Become Broke – Investing Mistakes

5 Easy Ways To Lose Money And Become Broke - Investing Mistakes Budget Picture

Whether we are talking about investing in the stock market, real estate, material objects, or something else, I’m sure all of us have heard a story about someone losing their money by making some sort of investing mistake.

While we all hope that we will never make the same mistake and lose some or all of our money, that’s easier said than done.

No one wants to lose their money, possibly have to start all over with their investments, or risk their retirement because of a simple mistake.

While I am definitely not an investing expert (yet!) as you can tell from my recent post Why You Should Invest and Save For Retirement – Plus a Personal Finance Confession Fail (basically an investing 101 post), investment mistakes are something I want to try to avoid, especially if they are the easy ones. [Read more…]

10 Great Ways To Gain Control Of Your Finances and Reach Financial Freedom

10 Great Ways To Gain Control Of Your Finances and Reach Financial Freedom Family Picture With Dog

I’m sure many of you are wanting to achieve financial freedom in some form, and you probably have some money-related goals/resolutions for the future. I know I do!

If you want to get ahead, stop living paycheck to paycheck, and/or you want to gain control of your finances so that you can learn how to achieve financial freedom, I recommend you continue reading below.

I have packed some of my best money tips into this post, and I definitely think you can improve your finances by instilling at least some of the money advice below into your life. [Read more…]