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4 comments

Franck

Posted on December 3rd, 2009 at 2:15 pm

Zopa could be an alternative if there was an easy way to get one’s money out. Depending on the average maturity of your portfolio it can take upto 2 years to get the money out. A secondary market needs to be created for this thing to grow significantly…

Cathryn

Posted on December 5th, 2009 at 10:29 pm

Yes, that’s the big difficulty with the zopa model. To get your money out, you have to stop reinvesting, then wait for some to accumulate in your account, then take it back, and keep doing that in little dribs and drabs until its all returned.

Andy

Posted on December 12th, 2009 at 11:28 am

If you are “investing” by lending then the idea surely is to build up and re-invest repayments of capital. Providing you can build up an investment over say 2 years then the repayment of interest by borrowers can be treated as a rising income so acting as an increasing annuity (providing Zopa’s credit rating is fairly accurate).

The original capital remains intact although I accapt that you may have to wait for up to 5 years to realise all the original investment-unless you expire!

Keith

Posted on January 9th, 2010 at 1:33 pm

This article is no longer on the Ecologist website so it might be sensible to pull this page.


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