Feb 03, 2017
I tried using GroundFloor like lendingclub because of the low minimums and loan grading. I tested the site out with 5K and invested in around 10 loans. Almost all of them were returned because the deal didn't close. I have one outstanding where the home was vandalized. Communication is on par with the other CF sites.
The biggest problem is that there are no interest payments. Interest is paid in balloon fashion at the end of the loan. An 11% balloon payment is not the same as 11% paid monthly (time cost of money)..