Zopa has now funded over 100,000 individual loans for UK borrowers – meaning its 52,000 active lenders have made a staggering 27.9 million loans since the platform’s inception in 2005.
The leading consumer lending platform has provided some fascinating insight to accompany the news of the milestone. Of the 100,000 loans, 43,000 (44%/£237 million) were used to fund the purchase of a car. Astoundingly, that means that 1 in every 727 cars on the road has been bought with a Zopa loan – meaning you probably pass by one on most lengthy trips. A fifth of the total loans have gone towards home improvements – equating to over 20,400 spruced up abodes. The platform’s borrowing rates – which are significantly below typical card purchased APRs – make for an attractive debt-consolidation option. In fact, more than 20,000 borrowers have refinanced their debts through the Zopa platform.
Giles Andrews, Co-Founder and CEO of Zopa, commented:
“Funding 100,000 loans from other people’s money is a fantastic achievement for Zopa, made only possible by our customers that are willing to try an alternative lender and bypass the banks. We’re proud to help everyday people fund big purchases like cars, home improvements or paying off existing debts, but it is also great to be able to help people fund once in a lifetime holidays, weddings and even the odd art purchase or hot tub. Most importantly, our borrowers receive great value loans, award winning customer service and the option to pay back early with no extra penalties. Lending the next 100,000 loans shouldn’t take another nine years as we expect to do the same number in the next 12 months.”
Zopa's target to match the number of loans it has issued over the last 9 years in the next 12 months is ambitious (would you expect any less from the Platform that invented P2P lending?), but given all the positive recent developments in the peer-to-peer space and the strength and experience of the Zopa team, it is certainly not unrealistic. The map below details areas of high activity on the platform across the country. With ISA inclusion, talk of a bank referral scheme and institutional money all coming to a head, this image sees destined to edge ever closer to a monochrome shade of yellow.