Throughout 2016, the borrowing market has become significantly more competitive, with loan providers reducing their headline rates across consumer loan products.
Since September at least 6 mainstream prime lenders have reduced their borrowing headline rates further. For Zopa, it’s important we remain competitive, and we have also reduced our rates on the borrowing side to attract more people looking for a loan.
Zopa has always believed in a prudent approach to risk. It’s against our principles to lower our criteria to attract riskier borrowers. It’s your money we’re lending, not ours, and we take that responsibility seriously.
With this in mind, we’ve taken the decision to reduce our lending rates next week. As of October 28th, we’ll be targeting the following rates for lender portfolios:
- 3.1% in Access
- 3.9% in Classic
- 6.3% in Plus
If you want to amend your lending settings, it’s easy to do so at any time via My Zopa.
If you have any questions or concerns, please get in touch.
As with all marketplace lenders, when you lend your money your capital is at risk and is not protected by FSCS. Our risk statement has all the details.
Andrew Lawson is Chief Product Officer at Zopa.