Peer-to-peer lending: everything you need to know about the leading websites

His career in asset management included founding Threadneedle Asset Management and serving as CEO at both Rothschild Asset Management and Deutsche Asset Management. As a non-executive, Paul has held senior positions in both financial services and other sectors, including at Wm Morrison. He also chairs the Advisory Council of TheCityUK. Paul joined the RateSetter Board in June and .

Retrieved 28 March

Navigation menu

Learn more about RATESETTER ASSET MANAGEMENT LIMITED. Check the company's details for free and view the Companies House information, company documents and list of directors. Check the company's details for free and view the Companies House .

The amount varies, depending on the amount borrowed, the loan term and the borrower's credit history. Average return for lenders: Lenders receive monthly repayments of capital and interest. Borrowers can make overpayments or settle their loan early at any time, without charge. Lenders can withdraw repayments straight to their bank account or choose to reinvest the cash automatically.

Lenders can use a "quick withdraw" button to get easy access to their cash for a fee of 0. If you do withdraw cash, your loan will need to be transferred to another lender. Fees depend on a borrower's credit and experience, the size, term and type of loan, and the profile of the property being lent against. Professional landlords and developers that are looking for short-term mortgages to buy, build or renovate properties.

Investors are committed for the length of the term which on average lasts seven to eight months. There is no fee for withdrawing early but funds may only been withdrawn under 'exceptional circumstances' which the company must agree to. Interest payments are paid monthly and can be automatically withdrawn or invested. When a loan is repaid, capital is returned or can be reinvested automatically. Last year the company performed "stress tests" that predicted an average loss rate of 0.

A more stringent stress test, assuming a 3. Borrowers are generally experienced landlords. All loans are secured on income-producing properties in England or Wales, with a concentration in London and the South East. The reserve fund currently stands at 0. You can ask to withdraw money at any time but your request will be granted only if new lenders can cover the loan. There is no fee for this service and so far no requests have been refused.

Requests usually take three to five working days to process. Peer-to-peer lending has many supporters and many sceptics. He warned that consumers were taking huge risks when lending via peer-to-peer websites and that the future fallout could be terrible. L ord Turner said peer-to-peer firms were trying to automate the lending process and that proper credit checks on borrowers' ability to repay loans were not being completed. He added that advertising for peer-to-peer should contain clear warnings for lenders that the websites were suitable only for people who could afford to lose their money.

TrustBuddy filed for bankruptcy last year, shortly after opening to British business and promising lenders 12pc on unsecured loans. Earlier this month, Funding Knight - which promises investors up to 12pc for lending cash to small businesses - ran out of cash.

All editorial content is entirely independent of these relationships. We urge you to turn off your ad blocker for The Telegraph website so that you can continue to access our quality content in the future.

Visit our adblocking instructions page. Home News Sport Business. Telegraph Money Banking Savings. What is peer-to-peer lending? First ever peer-to-peer Isa offers up to 6pc returns. October Amount lent to date: None Fee paid by borrowers: On average it takes just 10 minutes to access your money, although it can take longer.

January Amount lent to date: Number of active lenders: Apart from investment banking, Barclays is organised into four core businesses: Barclays traces its origins to a goldsmith banking business established in the City of London in In several banks in London and the English provinces, including Backhouse's Bank and Gurney's Bank , united as a joint-stock bank under the name Barclays and Co.

Over the following decades Barclays expanded to become a nationwide bank. In , Barclays deployed the world's first cash dispenser. It has a secondary listing on the New York Stock Exchange.

Qatar Holdings , an investment vehicle of the State of Qatar , is the largest shareholder of the company. According to a paper by Vitali et al. Barclays traces its origins back to when John Freame , a Quaker , and Thomas Gould started trading as goldsmith bankers in Lombard Street, London.

The name "Barclays" became associated with the business in , when Freame's son-in-law James Barclay became a partner. The Barclay family were connected with slavery, both as proponents and opponents. David and Alexander Barclay were engaged in the slave trade in In the firm was styled "Barclay, Bevan and Bening" and so remained until , when another partner, John Tritton, who had married a Barclay, was admitted, and the business then became "Barclay, Bevan, Bening and Tritton".

Between and Barclays extended its branch network by making acquisitions of small English banks. Further expansion followed in when Barclays amalgamated with the London, Provincial and South Western Bank and in when the British Linen Bank was acquired by Barclays Bank, although the British Linen Bank retained a separate board of directors and continued to issue its own bank notes see Banknotes of the pound sterling.

In May , Barclays was the first UK bank to appoint a female bank manager. Barclays launched the first credit card in the UK, Barclaycard , in On 27 June , Barclays deployed the world's first cash machine , in Enfield. In , a planned merger with Martins Bank and Lloyds Bank was blocked by the Monopolies and Mergers Commission , but the acquisition of Martins Bank on its own was later permitted.

In , Barclays Bank International expanded its business to include commercial credit and took over American Credit Corporation, renaming it Barclays American Corporation. In Barclays sold its South African business operating under the Barclays National Bank name after protests against Barclays' involvement in South Africa and its apartheid government. Barclays introduced the Connect card in June , the first debit card in the United Kingdom.

Edgar Pearce , the "Mardi Gra Bomber", began a terror campaign against the bank and the supermarket chain Sainsbury's in Barclays retained the debt business which formed the foundation of what is now Barclays Capital. In , in an unusual move as part of the trend at the time for free ISPs , Barclays launched an internet service called Barclays.

Woolwich PLC thus joined the Barclays group of companies, and the Woolwich name was retained after the acquisition. The company's head office remained in Bexleyheath , south-east London , four miles from the original head office in Woolwich.

In Barclays closed branches in the UK, many of them in rural communities: Barclays took over sponsorship of the Premier League from Barclaycard in In January , Barclays announced that it had purchased the naming rights to the Barclays Center , a proposed 18,seat arena in Brooklyn , New York, where the New Jersey Nets planned to relocate. This is made available as a last-resort when banks are unable to settle their debts to other banks at the end of daily trading.

A Barclays spokesman was quoted as saying "There are no liquidity issues in the U. Barclays itself is flush with liquidity. However, a Barclays spokesman denied the rumours. Barclays sought to raise capital privately, avoiding direct equity investment from the UK government, which was offered to boost its capital ratio. Barclays launched a further round of capital raising, approved by special resolution on 24 November , as part of its overall plan to achieve higher capital targets set by the FSA to ensure it would remain independent.

Existing investors now took this up. On 16 September , Barclays announced its agreement to purchase, subject to regulatory approval, the investment-banking and trading divisions of Lehman Brothers including its New York skyscraper which was a United States financial conglomerate that had filed for bankruptcy.

Lehman Brothers became a victim, in effect the only true icon to fall in a tsunami that has befallen the credit markets. This is the most momentous bankruptcy hearing I've ever sat through. It can never be deemed precedent for future cases. It's hard for me to imagine a similar emergency. Luc Despins, the creditors committee counsel, said: We did not support the transaction because there had not been enough time to properly review it.

Lehman's attorney Harvey R. The Financial Services Authority announced an expansion of the investigation into the Barclays-Qatar deal in January , focusing on the disclosure surrounding the ownership of the securities in the bank. In January , the press reported that further capital may be required and that while the government might be willing to fund this, it may be unable to do so because the previous capital investment from the Qatari state was subject to a proviso that no third party might put in further money without the Qataris receiving compensation at the value the shares had commanded in October The sale was completed on 1 January Inline with costs cut, Barclays cut 1, jobs during the first half of and cut another 1, jobs for the rest of In March , the trading names of Barclays Capital, Barclays Wealth and Barclays Corporate were each changed to simply "Barclays", as part of an effort to simplify the operations of the company and to promote greater integration between its divisions.

In June Barclaycard acquired Analog Analytics, a digital coupon and daily deal business similar to Groupon. In May , Barclays announced it would cut 19, jobs over 3 years with 12, jobs cut in Investment banking will cut 2, jobs in and up to 7, jobs totally in making the investment banking portion shrink from 50 percent in to 30 percent of Barclay's assets in Barclays announced in June that it would sell its US wealth and investment management business to Stifel for an undisclosed fee.

Barclays sold its Retail Banking unit in Spain to Caixabank in At its peak, Barclays had 5, employees and offices in Spain. In the bank had 2, employees and offices.

With the sale, Caixabank acquired around , new retail and private banking clients and 2, employees. In August it was announced that Barclays would become the first UK high street bank to start accepting bitcoin , with the bank revealing that it plans to allow users to make charitable donations using the virtual currency. The bank announced in May that it would sell 1.

Barclays' operations are organised within two business 'clusters': Corporate banking; Investment banking ; and Wealth and investment management. Barclays has over 4, branches in about 55 countries and of which about 1, are in the United Kingdom. Barclays customers and the customers of many other banks can use Barclays ATMs for free in the UK, although in some other countries fees are charged.

Barclays is a member of the Global ATM Alliance , an alliance of international banks which allows each banks' customers to use their ATM or debit card at all other member banks with no ATM access fees when travelling internationally. The current members of Barclays' board of directors are: Barclays sponsored the Premier League from to from to under the Barclaycard brand and, from , the Churchill Cup. All three governing bodies of the permanent participants agreed to end the tournament after its edition.

Barclays also sponsored The Football League from until , succeeding Today newspaper and being replaced by Endsleigh Insurance. It also sponsored the Dubai Tennis Championships. Barclays helped to fund President Robert Mugabe 's government in Zimbabwe. Opponents have called the bank's involvement a 'disgrace' and an 'insult' to the millions who have suffered human rights abuses. Barclays also provides two of Mugabe's associates with bank accounts, ignoring European Union sanctions on Zimbabwe. In March , Barclays was accused of violating international anti-money laundering laws.

According to Global Witness, Obiang purchased a Ferrari and maintains a mansion in Malibu with the funds from this account. They did this by 'stripping' information out of wire transfers, thereby concealing the source of funds. Barclays was accused by HMRC of designing two schemes that were intended to avoid substantial amounts of tax. Tax rules forced the bank to tell the UK authorities about its plans. The United States Department of Justice and Barclays officially agreed that "the manipulation of the submissions affected the fixed rates on some occasions".

The BBC said revelations concerning the fraud were "greeted with almost universal astonishment in the banking industry. If the Barclays board has any backbone, they'll sack him. Barclays' June and November capital raisings are the subject of investigations. Barclays had sought to raise capital privately, avoiding direct equity investment from the Government of the United Kingdom and, therefore, a bailout. In June , following a five-year investigation by the UK's Serious Fraud Office covering Barclays' activities during the financial crisis of — , former CEO John Varley and three former colleagues, Roger Jenkins , Thomas Kalaris and Richard Boath , were charged with conspiracy to commit fraud and the provision of unlawful financial assistance in connection with capital raising.

In February , the Serious Fraud Office charged Barclays with "unlawful financial assistance" related to billions of pounds raised from the Qatar deal. In June the US state of New York filed a lawsuit against the bank alleging it defrauded and deceived investors with inaccurate marketing material about its unregulated trading system known as a dark pool. Specifically, the firm was accused of hiding the fact that Tradebot participated in the dark pool when they were in fact one of the largest players.

The state, in its complaint, said it was being assisted by former Barclays executives and it was seeking unspecified damages. A month later the bank filed a motion for the suit to be dismissed, saying there had been no fraud, no victims and no harm to anyone. The New York Attorney General's office issued a statement saying the attorney general was confident the motion would fail.

Furthermore, when clients questioned Barclays about these rejected trades, Barclays failed to disclose the reason that the trades were being rejected, instead citing technical issues or providing vague responses. From Wikipedia, the free encyclopedia. This article is about the British banking firm. For items that may be pluralised as "Barclays", see Barclay disambiguation. London , United Kingdom. Banks portal Business and economics portal Companies portal London portal.