Welcome!

News Feed Item

Peer-to-peer Lending Hits the Mainstream as Zopa Lends Over Half a Billion Pounds

LONDON, April 1, 2014 /PRNewswire/ --

World's first peer-to-peer lender, Zopa, hits industry record by lending over £500m to UK consumers with 40% of its total lent in the last 12 months 

 

The UK's largest peer-to-peer lender, Zopa, has now lent over £500 million of consumer savings to UK borrowers since launching in 2005. The pioneering lending company has shown significant levels of growth by lending over £200 million (40% of total) in the last 12 months.

These record lending levels highlight how peer-to-peer lending is no longer an experiment but a reliable, trusted alternative for thousands of consumers to cut out the banks and get a better deal.

Zopa currently has 52,000 active savers lending on average £5,500. With the average saver aged 48, savers are fully embracing peer-to-peer lending as a predictable way to look after their financial futures. Interestingly, Zopa expects to hand back over £20m in interest from borrowers this year alone and has helped deliver £30m in interest since it launched.

Zopa is calling on thousands of consumers to ditch their underperforming ISAs and banks by embracing peer-to-peer lending to get a better rate on their savings.  Zopa now has savers lending amounts from £10 to £1.3 million but there is no maximum lending limit. By reaching £500m lent Zopa has proven that peer-to-peer lending is a trusted activity for savers.  Zopa has a default rate of just 0.17% on all money lent in the last three years - lower than any other bank or peer-to-peer lender.

With over 90,000 loans made in total Zopa has a total of 70,000 active borrowers. A significant 40% of all loans go towards cars and in 2013, £86m were car loans; £39m went towards home improvements and £36m helped people cut down existing debts. Surprisingly, 30% of Zopa borrowers pay their loans back early - benefiting from there being no early repayment penalties. The average borrower is 40 years old and typically borrows £7,500.

Giles Andrews, Zopa CEO and co-founder said, "Lending half a billion pounds of other people's money is a superb achievement for Zopa made possible only by our customers. Our mission is to deliver every saver and borrower in the UK better rates and service, as they deserve.  By cutting out the banks and offering returns of 5% (compared to bank savings rates typically under 1%) we are rewarding people for being sensible with their money. Even better to know is that with the protection of our Safeguard fund, no saver has lost money with Zopa. Our borrowers enjoy market-leading low-rate loans and award winning service. Lending the next £500m shouldn't take another nine years as we expect to reach £1bn lent in the next 12 months."

The UK's peer-to-peer lending industry is growing at a rapid rate as more savers and borrowers move away from banks. With regulation coming into effect on April 1st and ISA inclusion announced in the budget, Zopa is predicting a huge surge of new consumers and funding to accelerate this growth.

About Zopa 

Zopa is the UK's leading peer-to-peer lending company - bypassing banks and their high charges to put more back into the pockets of the UK's savers and borrowers. Zopa matches smart borrowers looking for lower-rate loans with savers looking for higher interest.  Since Zopa was founded in 2005, it has arranged more than £500 million in peer-to-peer loans and has been voted 'Most Trusted Personal Loan Provider' in the Moneywise Customer Service Awards for the past four years and Consumer Moneyfacts best overall customer service in 2014. Zopa has over 52,000 active savers lending between £10 and £1.3 million and has a lower default rate on loans than the banks at 0.17% for all money that has been lent in the last 3 years.


More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
@DevOpsSummit at Cloud Expo taking place Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center, Santa Clara, CA, is co-located with the 21st International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is ...
After more than five years of DevOps, definitions are evolving, boundaries are expanding, ‘unicorns’ are no longer rare, enterprises are on board, and pundits are moving on. Can we now look at an evolution of DevOps? Should we? Is the foundation of DevOps ‘done’, or is there still too much left to do? What is mature, and what is still missing? What does the next 5 years of DevOps look like? In this Power Panel at DevOps Summit, moderated by DevOps Summit Conference Chair Andi Mann, panelists loo...
Cloud applications are seeing a deluge of requests to support the exploding advanced analytics market. “Open analytics” is the emerging strategy to deliver that data through an open data access layer, in the cloud, to be directly consumed by external analytics tools and popular programming languages. An increasing number of data engineers and data scientists use a variety of platforms and advanced analytics languages such as SAS, R, Python and Java, as well as frameworks such as Hadoop and Spark...
"MobiDev is a Ukraine-based software development company. We do mobile development, and we're specialists in that. But we do full stack software development for entrepreneurs, for emerging companies, and for enterprise ventures," explained Alan Winters, U.S. Head of Business Development at MobiDev, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
A look across the tech landscape at the disruptive technologies that are increasing in prominence and speculate as to which will be most impactful for communications – namely, AI and Cloud Computing. In his session at 20th Cloud Expo, Curtis Peterson, VP of Operations at RingCentral, highlighted the current challenges of these transformative technologies and shared strategies for preparing your organization for these changes. This “view from the top” outlined the latest trends and developments i...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.
For organizations that have amassed large sums of software complexity, taking a microservices approach is the first step toward DevOps and continuous improvement / development. Integrating system-level analysis with microservices makes it easier to change and add functionality to applications at any time without the increase of risk. Before you start big transformation projects or a cloud migration, make sure these changes won’t take down your entire organization.
Automation is enabling enterprises to design, deploy, and manage more complex, hybrid cloud environments. Yet the people who manage these environments must be trained in and understanding these environments better than ever before. A new era of analytics and cognitive computing is adding intelligence, but also more complexity, to these cloud environments. How smart is your cloud? How smart should it be? In this power panel at 20th Cloud Expo, moderated by Conference Chair Roger Strukhoff, paneli...
The current age of digital transformation means that IT organizations must adapt their toolset to cover all digital experiences, beyond just the end users’. Today’s businesses can no longer focus solely on the digital interactions they manage with employees or customers; they must now contend with non-traditional factors. Whether it's the power of brand to make or break a company, the need to monitor across all locations 24/7, or the ability to proactively resolve issues, companies must adapt to...
SYS-CON Events announced today that TMC has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo and Big Data at Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Global buyers rely on TMC’s content-driven marketplaces to make purchase decisions and navigate markets. Learn how we can help you reach your marketing goals.
Managing mission-critical SAP systems and landscapes has never been easy. Add public cloud with its myriad of powerful cloud native services and this may not change any time soon. Public cloud offers exciting new possibilities for enterprise workloads. But to make use of these possibilities and capabilities, IT teams need to re-think everything they have done before. Otherwise, they will just end up using public cloud as a hosting platform for their workloads, aka known as “lift and shift.”
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...
SYS-CON Events announced today that TechTarget has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. TechTarget storage websites are the best online information resource for news, tips and expert advice for the storage, backup and disaster recovery markets.
SYS-CON Events announced today that Telecom Reseller has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Telecom Reseller reports on Unified Communications, UCaaS, BPaaS for enterprise and SMBs. They report extensively on both customer premises based solutions such as IP-PBX as well as cloud based and hosted platforms.
SYS-CON Events announced today that Ayehu will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on October 31 - November 2, 2017 at the Santa Clara Convention Center in Santa Clara California. Ayehu provides IT Process Automation & Orchestration solutions for IT and Security professionals to identify and resolve critical incidents and enable rapid containment, eradication, and recovery from cyber security breaches. Ayehu provides customers greater control over IT infras...