My Portfolio – Cash Flow

The Cash Flow box will try to reconstruct the investments and payments received from the notes you possess. The process is very approximate, as the notes.csv file does not contain payment information, only summary numbers. That means Interest Radar must infer payment dates, payoff dates, and replicate interest accrual. The final figures will be approximate, but will help you understand how your performance is in LendingClub compared to more traditional investment alternatives, that are normally presented in a cash flow format.

The columns in the table are:

  • Month: The calendar month for the entry
  • Investments Executed: Funded amounts during the month, based on the Issued Date, not the date you actually picked the loan for funding
  • Payments Received: Amount received in payments during the month, both to pay interest and amortization
  • Losses Incurred: Amount charged off, based on the default date and not the date the loan was considered in default or charged off
  • Principal Balance: Unpaid principal balance by the beginning of the month
  • Interest Payments: Part of the payment amount that went to pay interests (the actual returns of your investments)
  • Annualized Return Rate: The income during that month as a percentage of the principal amount at the beginning of the month; this is the closest indicator of the actual interest rate being charged

And the results are:

  • UPB (Unpaid Principal Balance): How much money the borrowers still owe you, or, how much principal you still hold in notes
  • IRR (Internal Rate of Return): The IRR of your financial life in LendingClub, using the compound interest formula

 

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