Zopa passes full Bank of England interest rate increase to lenders

Zopa lenders with money waiting to be lent out to borrowers enjoyed the full benefit of the Bank of England’s base rate rise from midnight last night.

Zopa - the world’s first marketplace where people meet to lend and borrow money – is pleased to confirm that the rate of interest paid on lenders’ holding accounts, before their money is taken up by borrowers, was increased by the full 0.25% rise made by the Bank of England yesterday. This put the holding account interest rate at Zopa up to 5%.

James Alexander, co-founder and UK CEO of Zopa said, “People with money to lend come to Zopa to get returns significantly higher than cash deposit accounts, but of course it is still important that their money enjoys a good rate of return in the period before it is taken up by borrowers on the Zopa marketplace. That is why we have again passed on the Bank of England rate hike - in full - as soon as we were able.”