RateSetter increases cashback to £20

January 11th, 2013

RateSetter has increased their cashback offer to an amazing £20 for new lenders who invest and lend out £100 or more by 31st January 2013, which represents up to a massive 20% return on investment.  With rates on the 3 year and 5 year fixed rate loans starting to rise, now is an excellent time to become a lender on RateSetter.

RateSetter is the only major peer-to-peer provider to have a provision fund, which will step in to refund lenders if the borrower cannot repay for any reason.  While this isn't a guarantee, no lender on RateSetter have lost any money at all to bad debt.  Default rates are currently 0.29% which is very low compared with the industry.

New lenders can sign-up to RateSetter through the P2P money cashback site.

Rates fall on peer-to-peer lending

January 8th, 2013

Rates on on main peer-to-peer lenders Zopa, Funding Circle and to some degree RateSetter, have fallen over the last few weeks with lending supply currently outstripping borrower demand.  Over the next month this trend will be reversed with an increase of borrowers looking for low rate loans after Christmas.

If borrowers wish to take advantage of this drop in rates they should act quickly before they rise !  In past years the rate of increase in January and February has been quite significant.  There are still some cashback offers available, so borrowers can take advantage of low rates and cashback.

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Loan requests with ReBuildingSociety

January 4th, 2013

With loans on Funding Circle being fulfilled within the first day, lenders may be pleased to know that ReBuildingSociety have several loans requests that require funding within January 2013.  Rates with ReBuildingSociety are currently higher (greater than 15%) than other peer-to-peer providers, but as with Funding Circle, these rates will drop as the site becomes more popular.

Encash fails to fill first P2B loan

January 3rd, 2013

Encash predicted lending £1million to businesses in 2012, but their first peer-to-business loan failed to be funded, having raised only a fraction of the £5250 requirement.

Within the question and answer section for the loan, one of the potential lenders stated:

I shall probably get banned for saying this, but perhaps you should look at a much bigger, better P2P lending site like Funding Circle?

Encash has arranged 27 peer-to-peer loans in 2012 for a total of £74,570 which was a drop of 71% (by loan amount) from 2011.  Unfortunately Encash has not experienced the same success as Zopa which arranged loans worth over £79million in the same period.

The newcomers FundingKnight and ReBuildingSociety, also operating within the peer-to-business loans are already having more success.  With the growing number of companies entering this arena there will be further casulties, and we wish Encash the best of luck in turning the situation around.

Predictions for 2013

December 29th, 2012
P2P Money

The P2P money website has published its predictions for 2013, and reviews those made in 2012.  Next year will be see further exciting changes within peer-t0-peer lending in the United Kingdom.