Jaws IV

I have become a loan shark. I have ventured into it for a bit of fun and to see if there is an easy way to make money. It's through a web site called Zopa. You tell them how much you want to invest and give them a target rate of return and they do the rest.

I have stipulated a maximum loan of £30 per person and Zopa put together thousands of people to meet the requirement of a borrower. This is designed to minimise your risk. So at the moment I have interest in about twenty loans and am awaiting the interest rolling . You can also look at specific requests and loan as much or as little as you want against it. Most borrowers are looking for loan consolidation, a new car or some business venture funding and interest rates they are prepared to pay range from 5 to 15%. The borrowers are graded like A levels, from A* to C, and the lower the rating the more likely there will be some bad debt associated with them.

So I am up and running and all my borrowers are in the A* bracket, it will be interesting to see how it maps out. Find out more here http://uk.zopa.com/member/witherspoons you may fancy a dabble. I notice it featured in today's Daily telegraph, and with commercial rates lower that 3% it should be of interest !