A few month’s ago, I signed up for Lending Club. If you have never heard of it, it is essentially a peer to peer lending platform. With the credit markets tightened up, some people who need to borrow money have chosen to borrow from other people through peer to peer lending companies such as Lending Club. Other’s see an opportunity to invest through providing money to fund loans with Lending Club.

I really like the idea of Lending Club. You can choose the different levels of risk associated with different loans in your portfolio. The higher the risk, the greater the interest rate and return. Of course, there is the risk of some loans defaulting, but if you diversify your loan portfolio, you can earn a decent return.

I actually have yet to invest any of my own money in Lending Club. I took advantage of an offer to try Lending Club out in which the company gave me a free $25 to start my account. I did it four months ago and invested the $25 into a loan with moderate risk and 12.53% interest. So far, the borrower has not missed a payment. Obviously, I do not intend to make any real money with this $25, but I am really just testing out the platform. So far so good.

If you want to try it out as well, you can also get $25 into your account for free (I also get a bonus for referring you). Here is how:

1. Click on this link to Lending Club
2. Sign up for an account and enter this promotion code: blee0408

You will need to input your social security number and some other personal information. Don’t be concerned, this is to verify your identity and etc. Give it a try and please let me know what you think of it by commenting below!