The Anonymous Widower

My Zopa Summary For 2014

I’m publishing these figures, as in my view, they are very indicative of a mature Zopa account.

Remember that I started investing in 2008, so some of the money is possibly on its third loan.

I have added to the pot over the years, when I have spare money left over at the end of the month. I’ve also repatriated money at times, when because of circumstances, I have some large bills to pay.

At the start of the year I had £147,000 invested and at the year end that had risen to £156,000.

Over the year, I’ve actually taken out £16,700 and paid in £18,500, so I haven’t really paid anything into the pot.

Interest and repayments to my holding account in Zopa has been almost £96,000, which conveniently works out at £8,000 a month. So I could bring up to this sum into my bank account for paying bills every month. As these payments usually occur around the beginning of each month, it is very easy to juggle them with my approved overdraft limit to avoid paying the wunch, excess fees I don’t need to.

Over the last year, the amount of money I’ve earned works out as a return of five percent before tax.

Because most of my money has been lent out in the last couple of years or so, I suspect that a high proportion of my Zopa money is covered by their Safeguard scheme.

The downsides are that I could earn more with more risky peer-to-peer lenders and I have to pay tax on my earnings.

I never give financial investment advice, but I have found Zopa to be the ideal mattress to put my spare money in a place, where I can access it reasonably quickly. It certainly pays a better interest rate.

January 2, 2015 - Posted by AnonW | Finance | Banks, Peer-to-Peer Lending, Zopa