Starling Bank offers consumer loans through Zopa platform

Monday 17 February 2020 13:45 CET | News

UK-based challenger Starling Bank has announced it is funding consumer loans via Zopa's P2P lending platform.

Starling is now funding consumer loans originated by peer-to-peer lending pioneer Zopa, itself in the last throws of launching its own deposit-taking bank. Starling Bank then buys the loans and transfers them to its own balance sheet with Zopa continuing to service the loans. The dealis not the first between a challenger bank and marketplace lender. Zopa itself instigated a similar deal with Metro Bank five years ago.

Starling Bank reprezentatives have states for AltFi that the bank currently holds over GBP 1.25 billion on deposing and that the sum is growing at double digit rates every month. While the company is building its own lending capability, it’s deploying some of its deposits in forward flow arrangements with selected lenders, including Zopa.

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Keywords: Starling Bank, consumer loans, lender, P2P lending platform, lending, Zopa, UK, challenger bank, digital bank, online banking, Europe, lending capability
Categories: Banking & Fintech
Countries: United Kingdom
This article is part of category

Banking & Fintech