Stoozing on personal loans

Anyone tried this?

I can get £15k at 2.8% and invest it at 6.5%, thus making 3.7% net interest. Compound that over two years and you've made over £1k interest.

Anyone see the downside I've missed? It won't let me post links even to MSE, otherwise I would source the above.

PS My annualised return on the above investment vehicle has actually beens over 9%, so I'm not sceptical about 6.5% claim.


  • Yes, many people have tried this.

    You're just missing that you need to repay the £15k plus interest over the term, so the stoozed pot effectively shrinks each month, reducing your estimated net interest.

    There's also the question of getting the headline rate.
  • Curls2208Curls2208 Forumite
    192 Posts
    Fourth Anniversary 100 Posts
    I'm trying it right now. But it's dangerous, I'm doing it with 20K spread among a few Peer to Peer lenders. It's bringing profit but I fear for my money, and im not sure if its worth the doubt in my mind. Still I've paid off 11 K now and will make about £500 profit over the year, so its not too shabby so long as the P2P sites don't go bust.
  • Curls2208Curls2208 Forumite
    192 Posts
    Fourth Anniversary 100 Posts
    I have regular savers Maturing in december so I'll probably chuck the money from them at the loan too rather than investing it further. When the loans paid off I'll be tempted to draw 10K of the 20K out of p2p lending to combat any potential losses.
This discussion has been closed.
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