Now is the time to become a lender

With the painful recession taking its toll on millions it may be a good time for you to consider opening up your own investing company or lending firm. There are so many people that are upside down on their mortgages or having high credit card debt that they are struggling. You can help them out by drawing up loans and providing people with single payments or lower monthly payments. The good thing is you can charge higher interest so you will be able to make a nice profit from this type of business.

Since banks are becoming strict with their lending rules, it is hard for a lot of small businesses and others to get loans. You can become the lender they need to keep their business afloat and you will have a nice business of your own going here. The great thing is you do not need to have thousands of dollars to become a lender. If you have $50 you can become a lender.

So how do you get started? Head over to Prosper.com and read through the contract information before you test the waters and start lending money. Prosper allows you to offer loans and they will charge a 1% commission on the loans. It's a great way to make about 10% of the investment amount and to start growing your lending business.

What Prosper.com does is allows borrowers a chance to get loans without needing to call Citi Financial and other companies and ask for a personal loan. Personal loans can absolutely kill you as the interest rates are enormous and this causes more people to get into worse financial situations instead of better ones.

As a lender on Proper you are able to diversify your investments as you can choose to send out loans of multiple sizes. Since you are signed up with Prosper, you also get the protection of the company and you are still going to get your money back if you happen to have someone that defaults on their payments.

The Proper lenders also have the ability to decide who they would like to lend the money to. You get to screen out the different applicants that are in need of the loan and make the decision to pass on them or to provide them with the money. It's a unique way to test the waters and see if you life being a lender. If you enjoy it you can start doing more loans or it can even help groom you to start up your own lending company someday.

If you want a different way to invest and you need to find new ways to diversify your portfolio besides bonds, stocks, real estate, and precious metals becoming a lender is one of the most unique ways to do this. A lot of people are using this site and are having a lot of success. It goes back to the "people helping people" mindset of old as individuals are able to finally get loans when the banks are telling them no. It also gives investors a chance to do something different with their money. They still get a chance to make money but they don't need to go through long processes in order to make the money.

So is Prosper credible? This website is a great lending website that many people are turning to. As a lender you can offer loans starting at $50 and they can go on up to $25,000 or more. It's a unique way to invest in small businesses and other organizations as you can screen who you are lending your money to. There is an interest rate limit that you will need to set before you "advertise" your loan on the site and then start screening the applicants for your loan.