The Anonymous Widower

Zopa Simplifies The Markets

Zopa has today announced that instead of having five markets; A*, A, B, C and Youth, this will soon be simplified to just three, with C and Y being discarded.

Effectively this will bring it in line with what I do, as I don’t invest in the Youth market and although I’ve recently added the C market to my offer, I haven’t lent anything there yet. All market rates of late have been very stable, so my control engineering theory says hat everything should be in balance.

I think they are right to do this.

1. They would now be appearing to be making a much better offer to younger borrowers with a good credit rating.
2. The simplified structure makes it easier to decide your lending strategy.
3. It also makes it less important to get it right on the optimum.

We shall see if they are right and business and returns improve.

September 10, 2012 - Posted by AnonW | Business, Finance | Banks, Zopa