Some peer-to-peer lending companies have had zero losses to lenders. They all have funds set aside to cover expected bad debts. And they have other protections, such as lending against property that can be repossessed if necessary. Of those, the ones that have the best 4thWay®…
FundingSecure is a peer-to-peer lending company has been lending your money while securing it against valuable items, such as power boats and mansions. Interest rates have been close to 13%, on average, but no lender has lost any money on loans gone bad. FundingSecure has three outstanding…
If you lent your money for five years in 2014, you probably got richer. If you started lending for fives in the safer, lower-rate P2P lending companies last year, you should have made at least 4% and it wouldn’t have been much trouble to make around…
I want to show you how different savings and investments did in the year just gone by. I’ve not cherry-picked this information to make peer-to-peer lending look good. I’ve looked for precisely the information that I want to know when doing a serious comparison of savings accounts…
Peer-to-peer lending companies get very high customer satisfaction ratings in surveys. Here, we collate some of the comments from their lender customers. Unfortunately, we don’t have access to negative comments! So we have to view the few comments selected by the P2P lending companies with…
While eyes have been focused on the upcoming P2P ISAs (tax-free lending), individuals lending through peer-to-peer have been able to lend tax-free in pensions for six months already. The latest peer-to-peer lending company to allow lenders to lend through a pension is rebuildingsociety. The higher-risk, higher-potential return…
It’s like when your say that a piece of art looks beautiful while the man at your side shakes his head in disgust. You’re both entitled to your opinions. Similarly, there are no regulations that define what an A+ loan is, or an A, or any other loan…
Here are the latest high-rate loans that are open for you to bid on from rebuildingsociety, the P2P lending company that finances riskier loans to businesses. Lending on rebuildingsociety over the next ten days could give you a pre-bad debt interest rate of 16% to…
Sorry that we missed this somehow, especially since I’m a Lending Works member: its bad-debt provision fund has got better from 1 January. The worst bit is that I was sort of told this by someone working there in December. Anyway… Here’s the situation: Lending…
Zopa, the oldest peer-to-peer lending company in the world, has increased its interest rates to 5.1% and 4%, but, at the same time, it has removed its rate promise. Zopa’s rate promise has been assuring lenders for over a year now that they will get…
Unbolted has just launched. It is the newest peer-to-peer lending company to focus on pawnbroking. The company is regulated by the UK’s Financial Conduct Authority and backed by early investors in Ocado. It is currently not accepting new lenders. It is not unusual for brand new P2P lending…
Expected interest rate of 10% to lenders before bad debts. You can lend as little as £1. Assetz Capital has just released some details of its new business invoice lending venture. The P2P lending company already does business loans, as well as short-term and developer property…
AltFi predicts that we will collectively lend close to £3 billion to people and businesses in 2015. That’s twice as much as in 2014. The introduction of tax-free lending through new P2P ISAs might help boost lending even further. Lenders using RateSetter, Funding Circle and…
A common theme in all today’s peer-to-peer lending news articles and blogs on 4thWay has been the see-saw effect: more borrowers make it easier for lenders to lend at better rates while borrowers have to pay more. This encourages more lenders to come, which makes…
When P2P ISAs arrive, probably this year, we’ll be able to lend tax-free, but a surge in lenders could see interest rates plummet. Here’s how to handle it. What good are P2P ISAs? Currently, when you lend your money through P2P lending websites in return…
Two factors can impact the best and worst times to lend your money: peak borrowing months and the see-saw that P2P lending companies struggle with to keep borrowers and lenders in reasonable balance. Worst and best month to lend to consumers Kevin Allen of RateSetter…
P2P lending provision funds set aside to reimburse lenders like you and me when loans go bad are of widely different sizes and some pay out sooner than others. How big is your provision fund? Sources: the P2P lending companies and 4thWay® As you can…
Everyone’s always trying to beat the FTSE. I’ve seen several articles in the past few weeks touting shares that will do just that in 2015. The mere existence of the FTSE benchmarks seems to inspire competition for competition’s sake. 4thWay has its own benchmark of P2P lending returns…
All individual lenders on Wellesley & Co. are now spreading their risks across 100 different loans. The number will likely rise as Wellesley continues to grow. Wellesley has just reached 100 outstanding loans. The property P2P lending company automatically splits all lenders’ money across all loans. It readjusts the…
Now is a very attractive time for peer-to-peer lending with interest rates well above where they should be for the risks involved. Why is 2015 such a good year? While borrowers are being quick to get on board for the lower rates and better terms,…
