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Post by barnsleybiker on Jun 4, 2021 16:51:40 GMT
Zopa are not taking any extra cash for a while, they have plenty, I imagine the office drawers and filling cabinets are full of unwanted folding stuff! Maybe sacksful of cash blocking up the corridors at Zopa Towers? haha............... here's the email in-case it ends up in your "junk" mail folder.....
Hi,
We’re getting in touch to let you know about an important update at Zopa.
We’re going to be pausing any new payments into the Zopa investment platform.
As someone who regularly adds money to their account by bank transfer, we wanted to give you a heads up and explain why we’re doing this.
Why we're doing this
As a result of our strong performance last year, we continue to see lots of investment despite the pandemic, with levels of new funding the highest they’ve been in two years and loan sale volumes the lowest since 2018. Combined with our diversified business model since bank launch, this means we have lots of money on our platform that needs to be matched with the right loans to help investors reach their projected returns. This has resulted in queue times going up.
That’s why back in December, we put in a waiting list system for new investors wishing to open a Zopa account. This was done so that we could reduce new money flowing into the platform and thereby prioritise the funds of existing investors, like you, in the queue.
However, queue times are still longer than we’d like. We can see that investors who make lump sum payments into Zopa have twice as much money waiting to be matched as those who just reinvest repayments, which is not a great experience for them. That’s why we’ve decided to take the next step and pause new money coming into the platform.
What that means for you
We’ve noticed that you regularly fund your investment. If this is through a standing order, we’d ask that you cancel this as any new money that you try to add to your investment will now be returned to your bank account. Please note it may take three working days to reach your account if you try to fund.
What this means for your reinvestments
Any money that’s already in the Zopa platform, for example in your holding account, or money you receive from repayments, can be reinvested, so there’s no change there.
If you have any questions about this, you can find the best way to reach us over on our support page.
Thanks,
The Zopa team
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coogaruk
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Post by coogaruk on Jun 4, 2021 17:05:13 GMT
When are punters going to wake up to the fact that Peer to Peer Lending is a dead duck? Well, comatose at best!
Why would a bank such as Zopa allow p2p lenders to make decent returns of the past when they now offer savings products?
What do you think they do with the money savers 'lend' to them at sub-1% (their current 1yr FR is 0.76) - Stuff it under the matress?
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agent69
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Post by agent69 on Jun 4, 2021 17:31:15 GMT
When are punters going to wake up to the fact that Peer to Peer Lending is a dead duck? Well, comatose at best!
Why would a bank such as Zopa allow p2p lenders to make decent returns of the past when they now offer savings products?
What do you think they do with the money savers 'lend' to them at sub-1% (their current 1yr FR is 0.76) - Stuff it under the matress?
For me, about 2 years ago.
Still trying to get the dregs returned.
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aju
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Post by aju on Jun 4, 2021 18:21:09 GMT
I tried just moving money from my holding account and a new message has appeared pointing to this link which it would appear has recently been updated too. Slightly different from the email that I didn't get as I haven't added any new money for well over a year now. It would appear that I can still lend funds that have been returned to holding as result of lending being turned off. I didn't try this though.
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Post by Ace on Jun 4, 2021 19:20:28 GMT
When are punters going to wake up to the fact that Peer to Peer Lending is a dead duck? Well, comatose at best!
Why would a bank such as Zopa allow p2p lenders to make decent returns of the past when they now offer savings products?
What do you think they do with the money savers 'lend' to them at sub-1% (their current 1yr FR is 0.76) - Stuff it under the matress?
This simply isn't true. I've been happily achieving over 7% returns from a very well diversified P2P portfolio for over 3 years now. It provides more than sufficient income for my needs. I'm happy to have almost excited Zopa though.
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dave4
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Cynical is a hobby not a lifestyle
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Post by dave4 on Jun 4, 2021 20:11:13 GMT
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r00lish67
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Post by r00lish67 on Jun 4, 2021 20:25:34 GMT
Never thought I'd raise an eyebrow in interest at a 1.00% 1 year fix, but here we are.
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Post by barnsleybiker on Jun 5, 2021 10:09:54 GMT
This simply isn't true. I've been happily achieving over 7% returns from a very well diversified P2P portfolio for over 3 years now. It provides more than sufficient income for my needs. I'm happy to have almost excited Zopa though. unfortunately i spend a lot of time not knowing what day it is due to meds (as a nipper 2 and a half years in bed would have sounded fab!) . i used to have a modest amount in ratesetter for about 8 years and when it closed i put it into my Zopa account that had been dormant for about 5 years. zopa looked pretty slick compared to the old days and it ticks over ok and when i cant get on line i don't worry too much, a kind of "fit and forget" solution. folks seem to have a downer on Zopa in particular, i wondered why? being flat out in bed i dont get thru' a lot of cash, just bills really, but i dont want to be loosing out can anyone enlighten me? thanks.
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Post by Ace on Jun 5, 2021 10:26:16 GMT
This simply isn't true. I've been happily achieving over 7% returns from a very well diversified P2P portfolio for over 3 years now. It provides more than sufficient income for my needs. I'm happy to have almost excited Zopa though. unfortunately i spend a lot of time not knowing what day it is due to meds (as a nipper 2 and a half years in bed would have sounded fab!) . i used to have a modest amount in ratesetter for about 8 years and when it closed i put it into my Zopa account that had been dormant for about 5 years. zopa looked pretty slick compared to the old days and it ticks over ok and when i cant get on line i don't worry too much, a kind of "fit and forget" solution. folks seem to have a downer on Zopa in particular, i wondered why? being flat out in bed i dont get thru' a lot of cash, just bills really, but i dont want to be loosing out can anyone enlighten me? thanks. Sorry to hear that you're not well barnsleybiker. Can't speak for others, but my view on Zopa is that the returns there just aren't good enough given my perceived risk. For me, they've always performed very near the bottom end of the very large number of platforms that I've tried. I don't see the value in unsecured lending at Zopa for the ~3% returns I've achieved when I can get property secured lending at 4% from the likes of Loanpad.
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coogaruk
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Post by coogaruk on Jun 5, 2021 11:26:45 GMT
This simply isn't true. I've been happily achieving over 7% returns from a very well diversified P2P portfolio for over 3 years now. It provides more than sufficient income for my needs. I'm happy to have almost excited Zopa though. Each to their own. I've enjoyed good returns in the past too. However, in my view p2p is a failed concept. Good luck with those returns going forward.
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Post by mfaxford on Jun 5, 2021 11:44:50 GMT
This simply isn't true. I've been happily achieving over 7% returns from a very well diversified P2P portfolio for over 3 years now. It provides more than sufficient income for my needs. I'm happy to have almost excited Zopa though. unfortunately i spend a lot of time not knowing what day it is due to meds (as a nipper 2 and a half years in bed would have sounded fab!) . i used to have a modest amount in ratesetter for about 8 years and when it closed i put it into my Zopa account that had been dormant for about 5 years. zopa looked pretty slick compared to the old days and it ticks over ok and when i cant get on line i don't worry too much, a kind of "fit and forget" solution. folks seem to have a downer on Zopa in particular, i wondered why? being flat out in bed i dont get thru' a lot of cash, just bills really, but i dont want to be loosing out can anyone enlighten me? thanks. I still have some funds in Zopa although I've reduced it over the last 6 months as I was overinvested for my current circumstances. My main complaints about Zopa are the lack of data and control (especially compared to what we had in the early days) and some of their attitudes (When I queried about the level of defaults on month the blame seemed to be put onto the fact I'd turned off reinvestment of funds). I do wonder how much of a future the P2P side of the business will have now they're also a bank. I do still trust them as a relatively safe place to leave funds that should grow overall (even if not as fast as the earlier days). Although only time will tell as to how well they've handled loans during the pandemic.
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trium
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Post by trium on Jun 5, 2021 12:13:10 GMT
I'm somewhat baffled. As I reported in another thread new money has been lent quickly despite the reported queuing times. I've been dripping in £100 a week for six weeks with no problems. Repayments are being recycled at the same time.
I received the email about 4.30 yesterday. Ten minutes later I sent another £100. Not only was it accepted but three loans had gone out of it by early this morning (and another just now). Maybe they allowed a grace period after sending the email, maybe I just got lucky, but my recent lending experience is very different from what would be expected from a cash glut scenario.
Out of interest, my weighted average gross return on loans picked up since lending resumed in February is 10.73% (in Plus).
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ashtondav
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Post by ashtondav on Jun 5, 2021 14:05:22 GMT
Hmmmmm.
i only have about £14k left in Z and I only invest repayments yet I have over £850 “in the queue” waiting to be loaned out. Cash drag has become a pain. Now stopped reinvestment and withdrawing from holding account for loanpad.
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Post by mfaxford on Jun 5, 2021 14:36:16 GMT
I'm somewhat baffled. As I reported in another thread new money has been lent quickly despite the reported queuing times. I've been dripping in £100 a week for six weeks with no problems. Repayments are being recycled at the same time. I suspect some lenders are investing much more than that and so see the effect of the longer queue. I also suspect Zopa are only be looking at the total size of the queue rather than it's breakdown and only have limited controls to affect it's size (how quickly loans are made and who can add funds to the queue). In the original post Zopa indicated they'd already stopped new investors putting money in, and now it seems they've stopped existing investors adding new money. No doubt as the queue shortens they'll allow new funds to be added. I wonder if it would be better to have limits on how much anyone can invest at a time - although that may get more complex and may have other issues around fairness. My suspicion is that as each loan is taking funds from a large number of people (1 £10k loan split into £5 chunks will need 200 investors) you might see some funds being used fairly quickly, however when your further back in the queue you might only see funds going into larger loans. Don't forget that unless your queued funds had dropped to zero before you added new funds you'll likely have funds at various different places in the queue. You might also pick up some loans that others have sold if those in front of you in the queue already have a portion of that queue. If you're loan book is relatively immature then you'll be able to take many more loans that have been sold than someone that's got a large mature loanbook. Out of interest, my weighted average gross return on loans picked up since lending resumed in February is 10.73% (in Plus). That'll almost certainly change over time. As defaults start occurring that average return will reduce. In theory in Plus you'll probably also see a few more defaults than those in Core (but some loans have much higher interest rates to make up for that )
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coogaruk
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Post by coogaruk on Jun 5, 2021 17:36:03 GMT
Never thought I'd raise an eyebrow in interest at a 1.00% 1 year fix, but here we are. Crazy, isn't it?
I've a lot of NS&I and other stuff maturing this year. Back in January I managed to get a 3yr fix @ 1% with Arbuthnot which had already been pulled and pushed back to 5yrs by the time I funded it, all the 2yr fixes at that rate having disappeared from the markets a tad too early for me.
Roll forward just a few months and inflationary fears have managed to push the rates higher again. I have managed 0.97% at SmartSave for 2ys but even that disappeared during my funding window. All before the one-year 1%s of this week appeared of course.
I've also piled in to Premium Bonds with reasonable success on the prizes but am now pretty much maxed out there.
Now I'm torn. Partly hoping that the inflation fears have been overdone (although that might be good for my LLOY shares) and partly not - I have a Cash ISA paying 2% maturing in July after five years. That one proved to be quite 'lucrative' as it has turned out. For a cash investment that is.
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