Oct 30, 20070
Zopa Listings may end in tears
Zopa , the peer to peer online lending service, has launched Zopa Listings, allowing borrowers to request a loan and lenders to compete to make a loan.
Individuals post their request for a loan giving details of the amount they want to borrow, preferred interest rate and their name, age, job etc. Lenders who like the look of the request get to bid in an auction, offering the amount and the best interest rate they are prepared to make. Zopa make an identity and credit checks of individuals. Successful borrowers pay 0.5% of the value of the loan and lenders pay 0.5% of the value of their loans per year, as an annual charge to Zopa.
Risky business.
