How does Prosper make money?

Prosper has two primary sources of revenues: origination fees and servicing fees.

Origination Fees

We charge Origination Fees for facilitating the origination of loans by WebBank. Origination fees range from 1-9.99% of each loan amount. This fee comes out of the borrower’s loan at the time of origination.

Servicing Fees

We subtract a loan servicing fee from each loan payment we receive from borrowers. Our servicing fee is 1% per annum of the outstanding loan principal balance, withdrawn after a borrower makes a payment. Learn more about investor fees.

If our servicing fee were to increase or decrease, the new amount will only apply to loans that originated after the date of the fee’s change.