Finding high interest bank accounts that will return a decent level of interest on your money can be challenging. Many of the accounts on offer attempt to lure you in with temporary bonuses and then before you know it you are back earning a pitiful amount.
Lets face it the banks have never been there to help us earn a good return on the money we lend them. In fact it is getting to a point now where it is more like we are losing money if we leave it in what we thought were the safe hands of the banks. So where else can you get high interest money lending.
A few years ago I listened to Moneybox on Radio 4 where they were talking about a company that allowed people to cut out the middle man (the banks) and lend money directly to people.
My first reaction was probably the same as yours, it sounds risky so at first I did not even bother looking at their website. Some months later I saw a short interview on television talking to the founders and they explained how the whole system worked.
After careful research I decided to test it out and lend some money. To reduce your risk you are able to lend your money to several people rather than just lending it to one person. The idea is if you lend a thousand to a hundred people if any default you have only lost a tenner.
So far I have been lending money for 6 months and have enjoyed an average return of 11 percent. Just imagine how much money the banks are making out of your deposits. So far all the people have borrowed from me have paid their money back on time, no defaults.
You do not have to do anything yourself, they handle all the collecting of repayments. All you do is log into your account and see how much money has been repaid and how much interest you have earned.
So if it is so good why isn’t everybody doing this. Well a lot of people are, that is why currently there are more lenders than borrowers. You will also have to lend your money for either 3 or 5 years but unlike other investments you can withdraw any repayments or interest as soon as they are made.
I am earning an average of 11% interest on my savings. Find out you could earn the same, click here to find out.
