Oops, one of my Lending Club investment loans has missed a payment
It had to happen eventually, but for a year now I have managed to avoid any of my Lending Club investment loans ("notes") getting hit with a missed payment or default. Sometime over the past week one of the loans went into "Late (16-30 days)" status. No big deal yet and that loan share is less than 2% of my portfolio, but I had gotten so used to a perfect record for so long. There is no action for me to take, other than to simple watch the loan from a distance to see whether or when the borrower makes up for the missed payment. Lending Club takes care of all of the communication with the borrower. The good news is that if the borrower does catch up, they will have to pay a late fee, which will increase my return. This loan was rated E2, which is moderately risky and has a nominal interest rate of 16%.