Need Better APR: Prosper Loan Balance of $21,500 at 29.97%!

afsmith · #1 (**permalink**) 03-11-2009, 03:15 PM

Hi,

My business partners and I received funding for two $25,000 loans at Prosper.com in June of 2008. We are searching for a way to payoff those loans in with the creation of a new loan at a lower interest rate than 30%!

- We have paid the loans on time for 8 payments of the total 36-payment loans.
- The borrowers have A+ credit. We accepted a high interest rate because we believed that we would earn enough money from the business venture.
- We now realize that we should have held out for a lower interest rate, of course to save money. We can make the payments as-is, but we would love to lower our payments, obviously

We each have well-paying jobs in Information Technology. One of us is a homeowner. We are all college graduates as well as Army Veterans

Is there someone out there willing to payoff the Propser loans and construct another loan with us? All advice is appreciated!

Thanks,
AFSmith

brian · #2 (**permalink**) 03-24-2009, 09:28 AM

The one thing I don't understand is why on earth you choose a loan with 30% interest rate, when by your own account you should have been able to shop for something cheaper?

afsmith · #3 (**permalink**) 03-25-2009, 10:15 AM

Quote:

Originally Posted by brian

The one thing I don't understand is why on earth you choose a loan with 30% interest rate, when by your own account you should have been able to shop for something cheaper?

It was a mistake, Brian. Now we are looking for a way to improve this situation. Any ideas?

--AFSmith

brian · #4 (**permalink**) 03-31-2009, 07:07 PM

Are there any early penalty fees for the loan?

I know it sounds a bit strange, but it may be worth taking out a lower interest loan to pay off the higher one - that should at least free up your monthly expenses.

However, I have a suspicion there's more to the situation than you're letting on - my reading is that you suggest that you have good credit, yet you ended up on a punishing bad credit loan. That tells me there's something possibly not being addressed.

I can only advise therefore you chat with an independent financial advisor, and ensure they can advise you from a full disclosure of your situation.

Ann · #5 (**permalink**) 04-17-2009, 07:30 PM

Good advice Brian

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