Prosper.com recently allowed borrowers to take out a second loan while the first is still active.
Now Prosper changed the Borrower's Agreement and included the following rule: "You may not obtain a Loan from the Prosper marketplace to pay off an existing Prosper Loan."
The discussion on this change is lively, with many lenders wondering about the reason behind this and how Prosper will enforce this rule. Prosper allows prepayments with no penalty. How will Prosper know where the money for the repayment came from?
A possibility is that Prosper added this clause to benefit from servicing fees longer.