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
Historically, some banking activities such as trading have been relying heavily on analytics and cutting edge algorithmic tools. The coming of age of powerful data analytics solutions combined with the development of intelligent algorithms have created new opportunities for financial institutions. In his session at 20th Cloud Expo, Sebastien Meunier, Head of Digital for North America at Chappuis Halder & Co., discussed how these tools can be leveraged to develop a lasting competitive advantage ...
IT organizations are moving to the cloud in hopes to approve efficiency, increase agility and save money. Migrating workloads might seem like a simple task, but what many businesses don’t realize is that application migration criteria differs across organizations, making it difficult for architects to arrive at an accurate TCO number. In his session at 21st Cloud Expo, Joe Kinsella, CTO of CloudHealth Technologies, will offer a systematic approach to understanding the TCO of a cloud application...
With Cloud Foundry you can easily deploy and use apps utilizing websocket technology, but not everybody realizes that scaling them out is not that trivial. In his session at 21st Cloud Expo, Roman Swoszowski, CTO and VP, Cloud Foundry Services, at Grape Up, will show you an example of how to deal with this issue. He will demonstrate a cloud-native Spring Boot app running in Cloud Foundry and communicating with clients over websocket protocol that can be easily scaled horizontally and coordinate...
In his session at 20th Cloud Expo, Chris Carter, CEO of Approyo, discussed the basic set up and solution for an SAP solution in the cloud and what it means to the viability of your company. Chris Carter is CEO of Approyo. He works with business around the globe, to assist them in their journey to the usage of Big Data in the forms of Hadoop (Cloudera and Hortonwork's) and SAP HANA. At Approyo, we support firms who are looking for knowledge to grow through current business process, where even 1%...
"With Digital Experience Monitoring what used to be a simple visit to a web page has exploded into app on phones, data from social media feeds, competitive benchmarking - these are all components that are only available because of some type of digital asset," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at DevOps Summit at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
SYS-CON Events announced today that Secure Channels, a cybersecurity firm, will exhibit at 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. Secure Channels, Inc. offers several products and solutions to its many clients, helping them protect critical data from being compromised and access to computer networks from the unauthorized. The company develops comprehensive data encryption security strategie...
In his session at @ThingsExpo, Sudarshan Krishnamurthi, a Senior Manager, Business Strategy, at Cisco Systems, discussed how IT and operational technology (OT) work together, as opposed to being in separate siloes as once was traditional. Attendees learned how to fully leverage the power of IoT in their organization by bringing the two sides together and bridging the communication gap. He also looked at what good leadership must entail in order to accomplish this, and how IT managers can be the ...
Most companies are adopting or evaluating container technology - Docker in particular - to speed up application deployment, drive down cost, ease management and make application delivery more flexible overall. As with most new architectures, this dream takes a lot of work to become a reality. Even when you do get your application componentized enough and packaged properly, there are still challenges for DevOps teams to making the shift to continuous delivery and achieving that reduction in cost ...
For financial firms, the cloud is going to increasingly become a crucial part of dealing with customers over the next five years and beyond, particularly with the growing use and acceptance of virtual currencies. There are new data storage paradigms on the horizon that will deliver secure solutions for storing and moving sensitive financial data around the world without touching terrestrial networks. In his session at 20th Cloud Expo, Cliff Beek, President of Cloud Constellation Corporation, d...
Deep learning has been very successful in social sciences and specially areas where there is a lot of data. Trading is another field that can be viewed as social science with a lot of data. With the advent of Deep Learning and Big Data technologies for efficient computation, we are finally able to use the same methods in investment management as we would in face recognition or in making chat-bots. In his session at 20th Cloud Expo, Gaurav Chakravorty, co-founder and Head of Strategy Development ...
DevOps at Cloud Expo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st 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 no time to w...
Vulnerability management is vital for large companies that need to secure containers across thousands of hosts, but many struggle to understand how exposed they are when they discover a new high security vulnerability. In his session at 21st Cloud Expo, John Morello, CTO of Twistlock, will address this pressing concern by introducing the concept of the “Vulnerability Risk Tree API,” which brings all the data together in a simple REST endpoint, allowing companies to easily grasp the severity of t...
The goal of Continuous Testing is to shift testing left to find defects earlier and release software faster. This can be achieved by integrating a set of open source functional and performance testing tools in the early stages of your software delivery lifecycle. There is one process that binds all application delivery stages together into one well-orchestrated machine: Continuous Testing. Continuous Testing is the conveyer belt between the Software Factory and production stages. Artifacts are m...
Recently, WebRTC has a lot of eyes from market. The use cases of WebRTC are expanding - video chat, online education, online health care etc. Not only for human-to-human communication, but also IoT use cases such as machine to human use cases can be seen recently. One of the typical use-case is remote camera monitoring. With WebRTC, people can have interoperability and flexibility for deploying monitoring service. However, the benefit of WebRTC for IoT is not only its convenience and interopera...
There is only one world-class Cloud event on earth, and that is Cloud Expo – which returns to Silicon Valley for the 21st Cloud Expo at the Santa Clara Convention Center, October 31 - November 2, 2017. Every Global 2000 enterprise in the world is now integrating cloud computing in some form into its IT development and operations. Midsize and small businesses are also migrating to the cloud in increasing numbers. Companies are each developing their unique mix of cloud technologies and service...