I am with arebelspy on this one. I was one of the early lenders on prosper and' percentage wise, I took a bath. Fortunately I was dealing with small loans, one toe in the water, so actual dollars lost was not that bad.
The whole thing at the time seemed fishy, almost like my borrowers weren't even real or their credit worthiness was not vetted correctly. Also, their monthly statements and tax documents were always really shoddy looking, almost sub quick books in appearance. Maybe that has changed. Anyway, bad experience and I will never do business with them again.