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Old 03-24-2005, 11:15 AM  
rowan
Too lazy to set a custom title
 
Join Date: Mar 2002
Location: Australia
Posts: 17,393
As far as delinquent borrowers go,

"Here?s the really clever bit. An individual lender doesn't lend to an individual borrower because that?s too risky. Instead a lender lends their money across at least fifty Zopa borrowers, and similarly a borrower borrows from a group of Zopa lenders. So the risk is well and truly spread."

Great idea: I'd rather lose 1% of my return than be the 1 person in 100 that doesn't recover ANYTHING.
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