Those final pesky notes

I’ve been selling off my Lending Club notes on FOLIOfn to empty and close my IRA account. It’s not easy to do. Each day I go to the sell notes page on FOLIOfn and get a list of notes that are not currently listed for sale. This list comes in 2 varieties, those eligible to be listed and those ineligible to be listed. For those eligible to be listed, I select them for sale and start an offer with about a 2% discount. I then go back to my entire list of notes offered for sale and mark them down an additional 2%.

Notes are marked ineligible for sale if they are in a payment pending status. If notes being offered for sale enter a payment pending status before they are sold, they are removed from FOLIOfn, sent back to Lending Club where they will sit until the payment pending status is resolved.

I’ve sold hundreds of notes using this procedure and am now down to 24 remaining. But those notes are proving to be pesky. I am beginning to view my account as be radioactive, declining at a slow pace. I think it has a half life of about a week.

For instance, today I have 13 notes for sale on FOLIOfn and 7 that are ineligible to be listed. The other 4 apparently entered a pay period today and are on their way back to Lending Club. If they are paid, then they will reappear in about a week. If not, then they will join the ineligible list for some period.

It is these ineligibles that concern me. Of the 7, 1 has entered the grace period, 5 are late, and the other in default. I did have 1 late note that had a partial payment made and became eligible. It is now for sale for $1.00 to get rid of it. I hope some of these get resolved and I’ll be near the end in another week. Follow me on Twitter @billlanke and I’ll let you know when my next post is made updating my account status.