Zopa Problems

pfozzy

Hi, Can Anyone help me with some advice please.

For a few years now I have been saving a small amount each month with Zopa, which then gets lent out to individuals and they pay me back plus interest.

Well recently I had a couple of these individuals fail to pay, and so the debts were written off somehow (Don't ask me how that works, I don't know) And as a result I not only lost my future repayments but lost whatever was left of what they owed me too.

This meant that the interest I had earned was being seriously eroded by the bad debt. And as a result the investment was not performing well.

I decided to withdraw my investment as soon as I could. So I switched off the autolend facility, and took out the "sell my loans to someone else" option so I could withdraw my money. They tell you the money will be ready to be withdrawn in the next few days.

When I next checked, the money had been returned to my account, and then re-lent to other borrowers!

I rang Zopa, who seemed very sympathetic over the phone and asked me to forward some e-mails while they sorted it out, and worked out what had gone wrong.

This was over a month ago, and since then I have had no contact at all, I have e-mailed them several times, they have not replied, I have tried ringing and can never get an answer.

This has gone beyond a joke now. I want my money back and I want compensation for all the messing about I have had to do.

Who should I complain to?

00ec25

your post would be more relevant on Zopa's own message forum where the MD himself is a member and thus likely to a) see it and b) respond to it
http://talk.zopa.com/

pfozzy

Thanks, I have placed a comment on the ZOPA forums. Unfortunately I am now being flamed by Zopa supporters as if it's all my fault.

pfozzy

Have complained to the financial ombudsman.

jamesd

pfozzy, the FOS will pass the matter to Zopa for two reasons:

1. you haven't been given a final negative response by Zopa and the time limit for a FOS complaint without action hasn't been reached.

2. lending money via Zopa has neither FOS nor FSCS protection, unlike most standard collective investments, which have both.

In the very unlikely event that Giles doesn't get the matter resolved you might next try the Trading Standards office local to Zopa. As a general trading matter it will be within their scope.

Had you borrowed money, it would have been within FOS scope. Borrowers get many, and the most significant, of the normal protections for consumers.

Declaration of interest: I've both lent money and borrowed money via Zopa and have active offers in the Zopa markets at present. It is unlikely that those offers will result in any actual lending at present.

pfozzy

Thanks for all the advice, Managed to get the issue sorted today.

jamesd

Good to read!

00ec25

pfozzy wrote: »

Thanks for all the advice, Managed to get the issue sorted today.

if anyone wants to know the answer (on an open forum) it is here, with user = Giles being the Zopa MD (or CEO to use that awful Americanism):

http://talk.zopa.com/index.php?showtopic=7960&st=20

Steve07

I have not lent money through Zopa, though I must comment that when the MD personally answers questions in public fora, I'm quite confident in the company's customer service.