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Zopa in the current climate
Comments
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Which is exactly what I said.No, they don't. They stand the risk of losing 100% of the money lent to that specific borrower.
Oops, got me there! They didn't lose any capital though, which is what I meant and what I thought was being debated.All Icesave depositors lost a couple of months of interest.
True. However, their lending consumers stand to lose out if borrowers don't repay or Zopa goes bust.Zopa can't lose money it doesn't have.0 -
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Just need to ensure it's not Fools Goldamcluesent wrote: »No sure why peeps get over-excited about Zopa. IMHO it's there for lenders who can make a judgement on their exposure to risk and, as with holding gold, is OK as part of your overall financial portfolio.
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Absolutely. However, I have finally managed to get another loan in processing after some drastic cuts to my rates.
Whether or not it turns into a loan is another matter.Let's hope they can afford to pay it all back, otherwise Zopa lenders are going to end up taking a nasty hit!
Do you have a hidden agenda CoogarUK?0 -
Only because the government stepped in to cover the money the FSCS (w/c)ouldn't. i.e. it is the government covering the first £16K, not the FSCS.As I understand it, no-one with deposits in Icesave stand to lose a penny, except those with deposits that lie offshore, i.e. IoM, Guernsey, etc.
(Hence my 'the rest is history' comment.)Conjugating the verb 'to be":
-o I am humble -o You are attention seeking -o She is Nadine Dorries0 -
Paul_Herring wrote: »You clearly didn't have any money in IceSave, where the true implications of the FSCS 'passport' scheme weren't realised by most until after the fact.
I had a five figure sum in Icesave actually, but that wasn't what I was referring to. My comment was regarding the big UK banks - the original point was that Zopa is safer than a retail depost, which I totally disagree with. I would quite happily place a bet that there are absolutely no circumstances in which any of the high street banks will "go under" and cause retail depositors to lose their savings. High street banks are totally safe, even if you've got more than the £50k limit in them. There is no question the Government would bail them out if there was the slightest hint of trouble.Mmmm, credit crunch. Tasty.0 -
As a trustee, isnt RBS holding the money anyway. If they went under you'd be a corporate depositor, ie. a small creditor of a bankrupt
Not that I think that'd happen but it just shows if the banks went under everything else would too0 -
A&L didn't get "bailed out". It was acquired by Santander at a fair price, and no subsidy from anyone was involved.The others were Alliance & Leicester, Natwest via RBS and Bradford and Bingley.
Whilst it's great that you are such a supporter of Zopa, there are clearly some complete idiots lending money via Zopa. There were times when you could borrow from Zopa at 3-5% at a time when you could get way more than that in a (far more) risk-free bank savings account. After deducting Zopa's costs, that implies ridiculously low yields for the lenders - or untruthful advertising by Zopa. (And I have more than a fair suspicion of the latter, particularly given that every single one of the dozens of times I've followed a link in an e-mail to an unbelievable rate loan from Zopa, it has turned out to be complete b*******s).0 -
It's not a case of "wouldn't/couldn't". The money simply wasn't covered by the FSCS.Paul_Herring wrote: »Only because the government stepped in to cover the money the FSCS (w/c)ouldn't. i.e. it is the government covering the first £16K, not the FSCS.
(Hence my 'the rest is history' comment.)
It's like asking your next door neighbour's insurance company to pay up because your car has been stolen.0 -
Who do you hand your money over to, RBS or Zopa?sabretoothtigger wrote: »As a trustee, isnt RBS holding the money anyway.
Worth thinking about, that one.0
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