I am in terested in participating in peer to peer lending as an investor. I live in New Jersey and therefore do not qualify to use Lending Club or Prosper’s lending platform. I could, however, invest through Upstart.com. does Upstart.com provide approximatetely the same level of safety as the other two lending platforms?
Milton, I sent you a private email on this as well.
Upstart requires an investor be accredited, which is the primary difference between it and the investing requirements of Prosper and Lending Club. If you are accredited, then you can invest. Upstart is well known and respected in the market so if you are able to invest, I suspect you can replicate the returns you would be seeking on Lending Club with their excellent platform.
I was going over through Title III of jobs acts and see requirements to file SEC form C & D
Does lending platform need to file SEC filings, if the loan limit is under $10k. Are there any exemptions for small loan limits.
Rakesh, this is a great question. I am pretty sure that the SEC filings are still necessary. The reason why is that buying a loan in its entirety (like an entire $10,000 loan) is not a security but buying a piece of a loan as most investors do is a security.
However, I am not a securities attorney so I am only giving my view as how I would act.
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