|« Funding Circle raise minimum rates||P2P regulation - what do you want? »|
Zopa drop 1 year loans (again)
Zopa have announced they are dropping 1 year loans again. These loans were originally dropped by Zopa as they were uncompetitive for borrowers, despite some lenders favouring them. They were brought back at the start of this year, but by Zopa's admission they have not been successful with borrowers.
Just to let you know we've stopped accepting applications for 1 year loans.
We introduced 1 year loans at the start of the year, with the expectation that they would become a strong channel for new loans and provide good returns to savers. We have found that a large number of customers have now come to us applying for 1 year loans, but unfortunately we approve comparatively few of them and for the time being we believe it is ultimately better for savers to bring in more applicants for 2-5 year loans (which are much more popular choices of loan length) than continue to assess 1 year applicants.