Do you want a bit of income every month or do you want it generate a lot of wealth in the future, which are two different goals.
Lending loop is a good potential income generator, not a wealth building generator,
But a word of caution: don’t be distracted by the high returns and fail to properly assess the risks vs rewards.
Only invest money that you can afford to lose because there will be some losses as this involves risks.
Plus the principle investments you make are illiquid so it will take some time to get all of your money back depending on the loan term.
So I highly encourage you to only invest a small percentage of your net worth.
Your net worth is the sum of all your assets (cash, savings, mutual funds, equity in your home, etc.) minus your liabilities (student loans, credit card debt, mortgages, etc.).
I began by investing in a very small percentage of my net worth to Lending Loop. Don’t make any bets you can’t afford to lose.
If you want to get started with a Lending Loop account of your own, be sure to hit up my affiliate link to get $25! It is a win-win situation. You get $25 for opening an account with a minimum investment of $1500 and you also help me out by supporting this blog.