RateLadder IRR/ROI Update April 2008 — (2.6%) to 14.37% | P2P Lending, Peer to Peer Lending, People to People Lending

Quicken is a simple default only ROI calculation performed by my quicken entry method: http://www.rateladder.com/2007/04/10/adam-nash-merged-with-rateladder-to-form-the-ideal-quicken-solution-without-prosper-integration/

The IRR is actually 3 related calculations… the Default IRR only counts defaults when they actually default… the Model IRR counts any prinicpal balance that is 1 month late or worse as have a value of $0. and the Average is the average of the 2. I havn’t updated this page is a while but here is the explanations: http://www.rateladder.com/my-prosper-irr/

Eric (http://www.ericscc.com) and LendingStats (http://www.lendingstats.com) both have ROI calculations that estimate your ROI… I think they both have issues with there projection and they both mean different things…

As for which one is “THE” right answer I don’t know… I know that the default IRR is the one that applies to my taxes, but it is also the one that ignores the late loans are heading towards default…

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