P2P Industry Updates in the UK
There have been several changes in the P2P industry in the UK recently.
Zopa changes its matching algorithm which will be undertaken in several phases over the next few weeks. Summary of the actual writeup below:
- Phase 1: Maximum exposure limit to rise from 0.5% to 2% of borrower’s loan
- Phase 2: First In First Out lending to allow existing funds to be matched more efficiently; with repayment funds of a higher priority than new funds
- Phase 3: End of day matching to boost overall loan matching efficiency
Individual pension owners can now invest in P2P scheme through their Self Invested Personal Pensions (Sipps), thanks to a partnership between P2P platform ThinCats and financial portal SippClub.
This is a direct result of a pension changes in this year’s UK Financial Budget. ThinCats were first to benefit from the new changes which allowed greater flexibility for pensioners to invest their funds. However, other P2P platforms such as RateSetter and Funding Circle are also eying entry into this new market of lenders.
P2PMoney Blog has a great writeup covering RateSetter in facts and figures. It covers the top 10 towns / cities by money lent; top 10 by average value of first deposit; top 10 towns / cities for car loans and more.
An interesting stat line – RateSetter is currently averaging £700,000 in loans arranged daily.
Via (Wiseclerk; Financial Times; P2P Money Blog)
Other P2P News
- Interview with Prosper President Ron Suber on the company’s recent positive turnaround
- Australian tycoons James Packer and Lachlan Murdoch eye a stake in Australian P2P leader SocietyOne
