Suppose you want to analyze loans based on the length of the loan term. We have only two choices here: 36 months and 60 months loans. Evaluate the risk versus return on loans with 36 months term versus those with 60 months term and decide which types of loans you want to invest. By return we mean the average interest on those loans and by risk, we mean the charged off rate for those types of loans. What will be your investment choice and why
Fully paid and Charged off idloan_amnttermint_rateinstallmentFiCO gradesub_gradepurposetitledescissue_yearissue_dloan_statusemp_titleemp_lengthannual_incverification_statusdtiaddr_statehome_ownershipearliest_cr_lineinq_last_6mthsmths_since_last_delinqdelinq_2yrsnum_accts_ever_120_pdtotal_acctot_cur_balrevol_balrevol_utilpub_recpub_rec_bankruptciestax_liensapplication_type 1361759662536 months8.8999996210.37715AA5debt_consolidationmy project to eliminate my debtBorrower added on 06/13/12 > i want to pay my credit cards because they have very high interest and i also want to help my daughter to her financial problems. 201212-JulFully Paidrescare home care1 year25200Source Verified15.48CARENTJul-921019784736000Individual 13617652000060 months18.25510.60001695DD3debt_consolidationconsolidation loan Borrower added on 06/13/12 > Hello - I just want to pay off my credit debt faster! I have managed to pay off $15,000 so far and I'm continuing to pay it off, just not as fast as I would like. I have never missed a payment and never will. I rather see my interest going to fund someone elses future then the banks. Thank you! 201212-JunFully Paidbridgestone americas2 years45000Verified21.389999WIOWNNov-9810272697852.700001000Individual 13622242185036 months24.52863.21997660GG3debt_consolidationLooking to clear my slate... Borrower added on 06/13/12 > About 1 year from completing my MBA, in April I accepted a position with my current employer of 2 yrs to gain experience in the my degree field. To prepare for my student loans payments to start in 18 months I want to consolidate my debt. I used LC in the past and paid it off early, I plan to again. 201212-JunFully PaidWells Fargo Dealer Services< 1="" year="" 45000="" verified="" 24.190001="" pa="" mortgage="" sep-00="" 0="" 0="" 38="" 15401="" 52.900002="" 0="" 0="" 0="" individual="" 1362497="" 10475="" 36="" months="" 15.81="" 367.29001="" 670="" c="" c4="" debt_consolidation="" debt="" relief="" borrower="" added="" on="" 06/13/12=""> I would like to consolidate my debts all into one monthly payment instead of multiple payment. If I can do this I can close the accounts down, and get back in control of my finances. 201212-JunFully PaidDDHS10+ years21600Not Verified28.5KSRENTMay-9920281594684.400002000Individual 13626892100060 months10.74453.88760BB2debt_consolidationDebt consolidationBorrower added on 06/14/12 > Debt consolidation so I can payoff my debts in 5 years and be out of debt except for my home. I estimate I will save approximately $200/month with this loan and be able to address my debts responsibly 201212-JunFully PaidPhoenix File & Pagidipati4 years52000Source Verified17.35FLMORTGAGEAug-9200321581934.200001000Individual 1362720860036 months7.9000001269.10001725AA4debt_consolidationPAYING OFF CCBorrower added on 06/13/12 > it is to consolidate my credit cards to one payment Borrower added on 06/14/12 > I really need this so sick of paying all of the high interest rates. Because it will take me over 10 years to pay off. Borrower added on 06/14/12 > I have been at the same job for 11+ years Borrower added on 06/15/12 > I have always paid my bills on time if not prior to the due date 201212-JunFully PaidANDERSON PUMP AND PROCESS10+ years35000Not Verified7.4099998WIRENTFeb-941010834958000Individual 13627591200036 months13.11404.97700BB4debt_consolidationDebt Free Borrower added on 06/14/12 > According to stength based leadership my top 5 strengths are discipline, consistency, adaptability, relator and responsibility. I am getting married soon and what to start my new life debt free. I am very committed, work hard, but can never get ahead. Borrower added on 06/22/12 > Please help!! Only five days left and counting... I have a good stable job which I just celebrated my ninth year. This loan will make a world of difference. I have had two car loans in the past, both paid off without a single late payment:) Borrower added on 06/26/12 > Time is running out.... Please consider lending to this loan and I promise you will not be disappointed. 201212-JunFully PaidHarry Meyering Center9 years40000Not Verified29.219999MNRENT1-Dec10241740156.700001000Individual 13630411000036 months14.65344.95001680CC2debt_consolidationDebtBorrower added on 06/13/12 > I want to consolidate 3 of my cards so they are paid off and I can then close the accounts to help with debt and make it easier not to use since the accounts will no longer be vaialable. I will be able to make more than the suggested amount for pay back and this is a good percentage that I found. 201212-JunFully PaidDDSP9 years47000Not Verified22.700001PARENT1-Sep1510442515850.700001000Individual 13632051500036 months16.290001529.51001685CC4debt_consolidationdebt consolidation Borrower added on 07/07/12 > Recent MBA grad with 8-month unemployment 4 years ago, and a battle with a serious illness drained my savings and credit was used during these times. Life is back on track with a great job and I want to be debt free within five years. This loan will be a great opportunity to help me meet my goal. 201212-JulFully PaidPolk County School Board3 years66000Not Verified19.83FLMORTGAGEDec-921460331323276110Individual 13637571800036 months12.12598.89001700BB3debt_consolidationDebt consolidationBorrower added on 06/14/12 > This loan is meant to consolidate my current debt into one payment to make managing my finances easier over the next year. I intend to have the full amount of loan repaid in advance. Borrower added on 06/15/12 > This loan is meant to consolidate my current debt into one payment to make managing my finances easier over the next year. I intend to have the full amount of loan repaid in advance. 201212-JulFully PaidThe opium Group3 years85000Source Verified18.77FLRENT4-Jun00251103559.400002000Individual 13638211000036 months13.99341.73001670CC1credit_cardrefinance loan201212-JunFully PaidTokyo Teriyaki Corporation3 years36000Not Verified26.77CARENT5-Mar026020259043.900002000Individual 13638991407536 months19.219999517.51001670DD5debt_consolidationmy loanBorrower added on 06/13/12 > I need the loan to free up some cash. I have credit cards which I pay way above the min anount but now I need to save money. I have just paid for some of my daughters wedding needs and i need to get back on track. 201212-JunFully PaidMount Sinai School of Medicine5 years41000Not Verified20.65NYRENTApr-86361271647355.799999000Individual 13643561960036 months13.99669.78998705CC1debt_consolidationConsolidate debtBorrower added on 06/14/12 > I wish to consolidate my credit cards to make payments easier and to finally become debt free in three years. Borrower added on 06/25/12 > Please help to fund this loan so I can have this lower interest rate which will allow me to pay off my debt sooner. 201212-JulFully PaidLakeside Camera Photoworks6 years43000Verified25.809999LAMORTGAGEAug-0020262931546.900002000Individual 13643631900060 months18.25485.07001695DD3credit_cardDebt ConsolidationBorrower added on 06/14/12 > To pay off all of my credit card debt Borrower added on 06/15/12 > and my wife's credit card as well. So we will only owe mortgage & one vehicle after this 201212-JunCharged OffCustom Window Systems10+ years39000Verified10.74FLMORTGAGEOct-9510182033174.5000Individual 1364369400036 months13.99136.7675CC1debt_consolidationconsolidationBorrower added on 06/20/12 > Tell your story. What is your loan for? Borrower added on 06/20/12 > debt consolidation for a lower rate. 201212-JulFully PaidMaywood Public Library10+ years50000Not Verified28.030001ILOWNFeb-002203201236357.5000Individual 13644401225060 months15.31293.42999725CC3debt_consolidationDebt consolidation - 401k loan and CC Borrower added on 06/14/12 > The loan is intended to pay off a loan on my 401k due to changing employers. If I do not pay off the outstanding loan within two weeks, I will be hit with a taxable event for the distribution paired with an early distribution penalty. This loan is a means to avoid that tax. Borrower added on 06/14/12 > This is a loan to payoff a loan on my 401k. I recently changed jobs which forces me to pay off the 401k loan in full or have a taxable event via forced distribution. Since the tax rate plus distribution penalty on my 401k is 45%, a personal loan is a much smarter option. Thanks. 201212-JunFully PaidPIMCO< 1="" year="" 300000="" verified="" 1.25="" nj="" mortgage="" feb-99="" 1="" 13="" 1="" 19="" 5506="" 27.5="" 0="" 0="" 0="" individual="" 1364776="" 15000="" 36="" months="" 17.99="" 542.21997="" 665="" d="" d2="" debt_consolidation="" debt="" consolidation="" borrower="" added="" on="" 06/15/12=""> I have several loans and credit cards that i would like to combine together for lower interest rates and easy monthly budgeting. I would like to make one easy manageable monthly payment :) 201212-JunCharged OffUSDTL10+ years60000Verified16.74ILRENT5-Sep337025570633.599998000Individual 1364821712536 months13.11240.45680BB4debt_consolidationCredit card pay off201212-JulFully PaidESB BANK1 year28598.4Not Verified28.110001PARENT8-Mar0021792052.099998000Individual 13650021000036 months13.11337.47700BB4debt_consolidationDebt ConsolidationBorrower added on 06/15/12 > I will be using this money to consolidate all my credit card debt. 201212-JulFully PaidClark County School District8 years100000Source Verified13.73NVOWNNov-991033961345.299999000Individual 13650871280036 months12.12425.88705BB3debt_consolidationLowerInterestLoan Borrower added on 06/25/12 > I have recieved a loan from lending last year and have made 13 succesful payments of that loan, I am requesting a new loan for a lower interest rate as well as to consolidate all my debt into this one loan and have one payment instead of three. 201212-JulFully PaidESAB Welding and Cutting2 years60000Not Verified9.6499996CARENT6-Sep108495941.299999000Individual 13650971747536 months13.67377.60001705BB5credit_cardrefinance201212-JulFully Paidrbs5 years55000Verified23.32MIMORTGAGEOct-9610322976368.900002000Individual 1365248700036 months12.12232.91690BB3debt_consolidationDebt ConsolidationBorrower added on 06/14/12 > This loan is for debt consolidation purposes. Borrower added on 06/18/12 > This loan is to consolidate high interest credit cards into one monthly payment which is to be automatically deducted from my account. 201212-JulFully PaidBarclays2 years71000Source Verified14.15NYRENTJan-952530271269678.400002000Individual 13654241000036 months10.74326.16700BB2debt_consolidationPEACE OF MIND Borrower added on 06/14/12 > This loan will allow a good night's rest, a chance to breathe, have lunch out with co-workers sometimes, a chance to put something more in the collection plate at Church, get necessary meds without skemping. Just be able to have a peace of mind! 201212-JulFully Paid42d FSS/FSR (Dept of the Air Force)10+ years38000Not Verified15.13ALMORTGAGEMay-8800201091151.700001000Individual 13670991440036 months6.6199999358.47770AA2debt_consolidationDebt consolidation and relocationBorrower added on 06/15/12 > This loan will be used to consolidate some high interest credit card debt as well as assist with moving expenses at a much lower rate than a typical credit card. My credit is excellent and I appreciate everyone's assistance. 201212-JulFully PaidPNC Bank< 1="" year="" 40000="" verified="" 11.13="" nj="" rent="" apr-99="" 2="" 0="" 26="" 4400="" 14.4="" 0="" 0="" 0="" individual="" 1367157="" 12000="" 36="" months="" 9.7600002="" 385.85999="" 710="" b="" b1="" debt_consolidation="" debt="" consolidation="" borrower="" added="" on="" 06/15/12=""> I am trying to consolidate my debt and get a manageable monthly payment. 201212-JulFully PaidThe MITRE Corporation3 years84000Not Verified14.01MAMORTGAGEAug-990690201177044.400002000Individual 13674041300036 months17.99469.92001670DD2debt_consolidationDebt consolidationBorrower added on 06/18/12 > To pay down existing high interest debt. 201212-JulFully PaidEdwards Wildman Palmer LLP10+ years56000Source Verified18.51RIRENTMay-990250381568975.400002000Individual 13674531975036 months13.99674.91998700CC1credit_cardhomefree201212-JulFully Paid46913Verified10.19RIOWNAug-862530351206751.5000Individual 13680013000060 months23.83860.09003665FF5debt_consolidationDebt ConsolidationBorrower added on 07/05/12 > To consolidate debt to one payment. 201212-JulFully PaidSt. Luke's Hospital7 years79000Verified21.34TXRENTJun-9510322349663.400002000Individual 13680291000036 months10.74326.16720BB2debt_consolidationDebt ConsolidationBorrower added on 06/16/12 > I want to consolidate all my credit cards that have high interest rate. Borrower added on 06/29/12 > This loan will help me consolidate my credit cards that have high interest rate. My credit report will show all of my bills have always been paid on time and never missed a single payment . This loan will help me achieve a debt free status sooner . 201212-JulFully PaidChildren's National Medical Center4 years80000Not Verified17.809999MDOWN4-May10201570287.599998000Individual 13680712800060 months13.67646.73999725BB5credit_cardNo More Credit Cards! Borrower added on 06/15/12 > A fully funded loan would allow us to be 98% credit card free, allowing us to concentrate on college funds for our three children. Thank you! Borrower added on 06/16/12 > A fully funded loan would allow us to be 98% credit card free! Thank you! 201212-JulCharged OffOptima Healthcare Solutions5 years90000Verified13.27FLMORTGAGEJan-9700162516972.699997000Individual 13681431680036 months12.12558.96997700BB3debt_consolidationdebt consolidation loanBorrower added on 06/19/12 > To pay off a truck loan. A personal loan and 4 credit cards. Everything always gets paid on time just thought it would be much easier to have only one payment instead of six. Saves me money in interest too. 201212-JulFully PaidKy Mirror & Plate Glass8 years57000Not Verified16.58KYMORTGAGE2-Jun058019744660000Individual 13681722500060 months20.5669.33002680EE2debt_consolidationCredit Freedom! Borrower added on 06/18/12 > This loan will allow me to consolidate all of my monthly revolving debt into one payment. It will also allow me to save more money at the end of the month. The interest rates on my cards are too high and I'd rather pay interest to my peers than to a large company with poor