Ratesetter tops £3bn loans milestone

By Roger Baird on Tuesday 15 January 2019

Alternative Lending

The ‘big three’ peer-to-peer lender said have investors earned an average annual interest rate of 4.4 per cent since its 2010 launch.

Ratesetter said it has lent more than £3bn to households and firms since the peer-to-peer lending platform was launched eight years ago.

The milestone comes after a busy 2018, which saw the firm originate more than £700m of new loans and its active loans under management grow to £820 million.     

The London-based firm said since it set up shop in 2010 it has lent t £1.9bn to individuals and £1.1bn to the firms that make up its 600,000 customers.

It added that over that period borrowers have repaid £2.2bn, generating returns of £120m for the platform’s investors, who received an average annual interest rate of 4.4 per cent.

Ratesetter, led by chief executive officer and co-founder Rhydian Lewis (pictured), is one of the UK’s ‘big three’ peer-to-peer lenders, alongside Funding Circle and Zopa.

Peter Behrens, RateSetter chief lending officer, said: “Eight years ago, we spotted the opportunity to make investing and borrowing better for everyone - and we remain as focused on that mission as ever.  

“£3 billion is impressive, but we’re only getting started. Our vision is to make RateSetter a household name for the millions of investors and borrowers across the UK that are seeking better value.”

In November, Cambridge University research found the UK online alternative finance market volume jumped by 35 per cent in 2017 to £6.2bn, from £4.6bn the year before, as peer-to-peer business lending became an increasingly important part of overall financing of smaller British businesses.

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