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Enhancements to Automated Note Selling on Lending Club Folio Secondary Market

Selling Delinquent Notes on Lending Club Folio Secondary Market, Part 1: Loss Aversion

Six Steps to Automated Selling on Lending Club Folio Secondary Market


lending club, filter, automated, peercube, folio

In this blog post, we outline end-to-end workflow for setting up automated selling of notes from your Lending Club account on Folio secondary market.

Step 1

If you are a new user, complete Sign Up registration process for PeerCube Free Plan. No credit card information is required to register for Free Plan. We encourage users to familiarize themselves with PeerCube site for a few days before upgrading to Pro Plan. The automated selling feature is available to Pro Plan subscribers.

Step 2

Enter your Lending Club account API Credentials at Lending Club Automated Account Management. For guidance on entering API credentials, please refer to Lending Club and Prosper API Credentials section of our blog post Best Practices for Automated Lending on Lending Club and Prosper Platforms through PeerCube. After you provide API credentials to PeerCube, the system will download and update information for your accounts, portfolios, and notes the following morning. You can expedite the process by manually downloading the notes files from Lending Club and uploading to PeerCube at Upload Lending Club Portfolio Files. Until the automated update or manual upload is performed, you will not see any account specific information on PeerCube.

Step 3

Once you are ready for advanced features of PeerCube, review Terms of Use and upgrade to PeerCube Pro Plan. There are no refunds for unused period of current billing cycle if you decide to cancel Pro Plan.

Step 4

Develop your first Folio secondary market sell order filter by navigating to Lending Club > FOLIOfn Platform then Automated FOLIO Selling > Build Custom Sell Filter. For guidance on different attributes and pricing strategies, please refer to our blog post How to automate Note Selling on Lending Club Secondary Market with PeerCube?.

To save filter, you must select at least one Pricing Strategy, select Save Filter, and provide a Filter Name. A new filter will overwrite an old filter if the name of these filters is same. An existing filter with different filter name will be saved as a new filter. All your saved filters are displayed at Your FOLIOfn Automated Sell Filters.

Review the portfolio notes that meet your selected attributes for automated sell filter by using Save Filter and Review Results button. Though the result page is provided for reference and checking whether the expected notes are being filtered using your criteria, you are also able to manually sell one note at a time from result page.

Step 5

Associate the saved sell filter to your Lending Club account in FOLIO Automated Sell Settings section at Lending Club FOLIO Secondary Market Order Management. Once a saved sell filter is associated with a Lending Club account, the PeerCube system will automatically place notes for sale every morning after downloading latest information for your account from Lending Club. All sell listings are valid for 3 days, i.e. the notes will be listed for 3 days. All expired listings still meeting filter criteria will be resisted again.

Step 6

Periodically review the Last 30 Days Order Activity section at Lending Club FOLIO Secondary Market Order Management to make sure sell orders are being placed correctly. All sell orders with order status SUCCESS_LISTING_FOR_SALE indicate that notes were successfully listed for sale. The order status NEGATIVE_YTM_FOR_ASKING_PRICE indicates that notes were not listed for sale as the order price for notes resulted in negative yield to maturity (YTM). For such notes, either list them for sale manually or modify your note selection criteria (typically using Outstanding Note Principal, Credit Grade and Interest Rate) and/or pricing strategy for the automated sell filter.

Please note once a sell filter is associated with a Lending Club Account, the sell filter can't be deleted without first removing the connection between sell filter and LC account at Lending Club FOLIO Secondary Market Order Management. Any modification in note selection criteria or pricing strategy for a saved sell filter without filter name change will automatically be used during next automated sell order execution cycle.

Six Steps to Automated Selling on Lending Club Folio Secondary Market

Related Posts

Enhancements to Automated Note Selling on Lending Club Folio Secondary Market

How to automate Note Selling on Lending Club Secondary Market with PeerCube?

Best Practices for Automated Lending on Lending Club and Prosper Platforms through PeerCube

Automated Buying of Notes on Lending Club Folio Secondary Market

Reading Referrals

The Education of a Value Investor: My Transformative Quest for Wealth, Wisdom, and Enlightenment

Happy Money: The Science of Happier Spending

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