Ratesetter - really basic question warning

Fatbritabroad

I'm sure this is an extremely stupid question that I shouldn't need to ask, but can someone just explain to me why at present the rolling monthly interest rate is more than the 5 year fixed?

Appreciate it's not a savings account so no reason why locking your money away should guarantee a better rate but is it as simple as the demand for the rolling product is more?

djpix99

The markets get crossed over quite a lot, there is some discussion around this on the 'p2p Independent Forum' however know one knows exactly why. They believe it may be down to Ratesetter deciding which market they most want to use funds from which raises the rates when funds are used up at the lower rates.

PeacefulWaters

There appears to have been a shift from mostly personal lending to riskier business lending.

Fatbritabroad

Thanks I'm glad it wasn't a totally idiotic question