Peer to peer savings

Does anyone have personal experience of this? Any recommendations?

Re: Peer to peer savings

Sorry can't say I've ever done it but I have researched it a tad.

Seems that you can either do it direct i.e. one to one which is risky or you can do it through one of the intermediaries who spread your loan across several borrowers which in my view would be safer.

As this is a new way of saving, I am unsure how well the market is controlled, all the firms involved seem to be new and I've never heard of the people running them.

Also, I have assumed that any interest would have to be declared to the tax man and I have nightmares about them

Re: Peer to peer savings

check out this info, it could help you decide if it's what you want

Re: Peer to peer savings

There is also a new Investment Trust comming to the market soon which will invest only in people like Zoopa, Ratesetter, and Funding Circle.

This would be my prefered method since you will not be tied in for any long term contract (You will be able to sell your shares at the market price anytime) the forecast dividend yield is said to be 6 - 8% and (If you are a standard rate tax payer) no further tax liability. A simple Google search should find it (I've already forgotten the name )