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Lending Club's top-rated three-year loans expect a default rate of around 1.4%, and the riskiest loans, offering rates as high as 25%, have a 9.8% default rate.
Lending Clubs top-rated three-year loans expect a default rate of around 1.4%, and the riskiest loans, offering rates as high as 25%, have a 9.8% default rate.
A default rate of 31% seems alarmingly high.
The website is targeting a default rate of less than 1.5%.
However hard they are to price, municipal bonds have a default rate under 1percentt.
His calculations show a default rate of 11.3percentt in July; it is likely to surpass 12percentthisis month.
Of these, only 15 failed to show up in court, a default rate less than seven-tenths of one percent.
After three and a half years and nearly $1 million managed, the program has a default rate of zero.
And they have made lemonade out of lemons: C.L.O.'s had a default rate of less than 1 percent even as the loans underlying them had a default rate of about 6.5 percent.
Seventy-one defaults in a group of that size suggests a default rate of less than 1 percent.
Now about 40% of issues are distressed, implying a default rate of 10% this time next year.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com