This announcement was recently distributed to Loanio members regarding a pause to the Loanio program activities.

Dear Members:

Loanio, Inc. has suspended its business activities so that we may begin the process of registering our promissory notes with the appropriate securities authorities. Please be advised that effective immediately, Loanio will no longer be accepting registration from lenders or borrowers or accepting new loan requests until further notice. We appreciate your understanding and patience during this “quiet period” and hope to reopen for business as soon as possible.

During this period we will not be responding to press, blogs, or other member inquiries specifically related to the suspension of business.

However, if you have questions related to your account, loans, or any other related issues, you may contact us, as always, by logging into your account and creating a customer support ticket.

Borrower and Lender FAQ:

1. What if I am a lender and I have some loans already in my portfolio or I am a borrower and have a loan already?

Loans that have already been originated will continue to be serviced by Loanio during this period with no interruptions or changes in procedures.

2. What if I am a lender and I have money in my account?

You may transfer all available balances by logging into the My Money section of your dashboard and clicking on the icon to “transfer.”

3. What if I am a lender and I have pending funds being deposited to My Loanio account?

Once the money becomes available you may transfer it out.

4. What if I am a borrower and I had a loan request currently listed?

Your loan request has been canceled and will not be funded at this time.

Again, we appreciate your understanding and patience during this “quiet period” and hope to reopen for business as soon as possible.

Sincerely,

The Loanio Team

Although the loan I bid on as a lender was only 51.5% funded for a total loan amount of $2,628, the loan closed and I am now earning a 15% interest rate on my $50 contribution to this loan, which will hopefully be paid back to me over the next 3 years.

I’ve also contacted customer service in regards to the $25 cash bonus I should receive for making my first loan on Loanio.

MaximizingMoney.com

I bid on my first loan at Loanio today to qualify for the $25 Loanio bonus as a new lender.

I selected a borrower with an excellent credit history and bid $50 towards a $5,000 loan at a 15% interest rate.

The bidding process at Loanio is extremely simple, and Loanio provides a wide range of information on the borrower including their full credit history and financial status, plus you can ask the borrower questions if necessary.

However, because Loanio is a relatively new peer lending service, there are not a lot of borrowers or lenders currently participating, so your loan choices are somewhat limited and some borrowers may have a harder time getting funded.

There are currently less than 20 borrowers seeking loans on Loanio and many of them have no bids on their loans, so there aren’t enough lenders participating to meet the demand for new loans.

The loan I bid on is 25% funded at this time, and there are about 5 days left of bidding, so we’ll see if the loan closes and enough bids are placed to reach the full $5,000 loan amount.

I’ll follow up with the progress of my loan, but please feel free to comment on your own Loanio experiences.

Thank you and good luck with your peer lending.

Max

The company is YadYap.com (payday spelled backwards).