The Anonymous Widower

Zopa Do Shorter Term Loans

Zopa’s minimum loan term has generally been three years, since I have used their web site to save and invest money.

They’ve just announced that they are now going to give shorter term loans of twelve months.

I’m not sure how this will work out for lenders, but it might attract those borrowers with good credit limits, who need tiding over. It might also attract a borrower, who has never used the system and only needs a small sum for a short time and is just trying it to see if borrowing from Zopa is for them.

I wonder if Zopa are going to allow shorter term loans to be effectively rolled on.  I suppose the simplest thing to do, would be to pay off the first loan and then start another.  But that would be two administration fees.

February 6, 2013 - Posted by AnonW | Business, Finance | Banks, Zopa