Have any of you actually lost money investing in P2P?

With FS you need to be well diversified, with probably no more than 1% in any one loan, and that is not easy because quality loan flow is low. Although all the loans are asset backed the LTV is often 70% and the borrower is usually a developer. Developments often go wrong, over budget or over timescale and combining these factors means the loan is nearer 80% LTV. Add on receiver costs, auction costs etc and LTV is nearer 90%. And then you have valuation risk. FS is high risk, highish reward. My experience is that with adequate diversification you should approximate 10%, but it is not pleasant looking at 6 month loans which are 9 months and over - and that is not unusual.

i have not been with AC long enough to pass judgement, but glacial speed of getting invested in GBBA, poor diversification and unclear PF rules mean that I am only using their quick access account, with which I am very pleased. I have read on the forum that some lenders have loans where no interest has been paid for a year and yet there has been no payment from the Provision Fund, and no asset sale. I am waiting until I see clear evidence of when the PF pays out, how much interest is lost in the intervening period and resolving diversification and cash drag issues. I still think you would be very unlucky to actually lose money on AC.