4thWay compares P2P lenders Zopa, RateSetter & Funding Circle
Peer to peer lending comparison site 4thWay has shared comparison data of the &ldquo;big 3&Prime; direct lenders in the UK; Zopa, RateSetter and Funding Circle.  4thWay notes the platforms are &ldquo;aligned&rdquo; as expected and that all three have &ldquo;satisfactory to excellent bad debt rates&rdquo;. Returns from the last quarter averaged around 5.03%.
“Peer-to-peer lending returns have continued to be stable at the P2P lending websites that aim to be the safest and make spreading your money across lots of loans easy. No matter what day you lent on, you will now be on target to earn between 4.9% and 5.1% per year.

“In contrast, the stock market showed its typical volatility. You would have made a total loss of 3.7% if you invested in the FTSE 100 at the start of the quarter till the end. If you timed your investments badly, you would be sitting on an 8.5% loss. If you were lucky and timed the stock market fluctuations exactly right, you would have made 5.2%.

“The very best savings accounts and cash ISAs continue to pay significantly lower interest rates than these peer-to-peer lending websites, even if you take taxes into account.”