Social Lending vs HYIP

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I know there are a lot of people on here that are very active in HYIP, some of you have been paid and some of you have lost money. This is all part of the risk people take when investing and I am not going into what i think about HYIP. There is something new in the world called social lending. After the 2008 world market crash banks have started to tighten up their lending and many people are struggling to get approved and when approved the rates tend to be really high. So along came social lending where people borrow from regular people like you and me. Sites such as The Lending Club have done over $1bn in loans in 5 years and growing at crazy rates and recently sites like Prosper are catching up. The lowest amount one can loan is $25 and open to US residents only. It is similar to Kiva but has returns for the lender. I know the UK and Australia have recently gotten a few similar sites and I myself have started to invest more in these sites and have started to see a good return. My portfolio is low risk and I am averaging 12.13% return/year which is far higher than any bank would ever offer me. Anyone else ever loaned or lent from to/from these types of sites and what was your experience?