So this has actually been just under 6 weeks since I had invested in my first note. My total account balance is up to 612.18 from the actual amount deposited of 596.90. According to my Mint account it says that is an increase of 2.55% in about 6 weeks, which I don't think is too bad at all. :)
The 17.66% is determined according to the notes that have received some sort of payment.
This graph is a little confusing, but it at least helps one see that you are ahead of the game. This is using Mint.com 's investing tracker. It is not really set up for something like Peer-to-Peer Lending notes, so it just gives you an amount invested vs account total perspective. All the red is supposed to signify where I was losing money, but really it is just where I had less money in the account that the ~$595.
I like this mostly as it gives me a numerical amount each day of how much I have earned in the account.
The 19.53% that you see in the right side of this next picture is the amount of all of my notes averaged, and I believe it also is including the ones that have not yet been issued, which as of right now I only have 3 that have not yet been issued ($75 -in funding).
The .08 cents in service charges is from a 1 cent fee from each time somebody actually makes a payment, and then LendingClub makes a cut of the money. I'm not sure if it will be .01 for every transaction, or if sometimes, I won't get the fee, or sometimes I will get a .02 fee.
My investment strategies have changed a little bit after doing some more research, but I basically designed my own loan filter based on reading what a lot of other people had said that they are doing.
I will continue to reinvest all of the gains, unless I end up needing the money for something very important, and then its basically a guaranteed income of about $15 dollars every month for the next 3-5 years.
Using the Ramsey investment calculator, I came up with these possiblities. Assuming 3 different outcomes. (1) I leave the exact amount I have in there and without adding any money to it, and without there being any defaults (which is practically impossible) I see how big it is after 40 years.
Well I guess 1.4 Million isn't too bad, but it's also unrealistic.
(2) I will add $50 dollars a month for the next 40 years, and also use my weighted average rate, but subtract the average default rate for my average note profile.
Well That's a little more realistic, but 40 years out mind you.
(3) Then this last one probably more realistic with a lower return, and more put into the account than average, assuming that finances do get better after I graduate from college.
Interestingly enough, this one is the highest of the three, but also required the highly amount of monthly contributions.
Hopefully this was interesting to you, and hope you feel inspired to at least start saving money to invest in the future. But also don't waste your time with a "High-Yield" savings account. If you aren't at least beating the rate of inflation which is 3-5% than you are actually losing money, and the bank is the one making all the money off of you saving.
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