Zopa

Zopa was the world's first peer-to-peer (P2P) lending company, launched in 2005. While it transitioned away from retail P2P investing in 2021 to become a fully licensed digital bank, it remains a major player in the UK financial landscape. Zopa Bank offers high-yield savings accounts ("Smart Saver"), credit cards, and personal loans.

For savers, Zopa provides competitive interest rates and tools to organize money into "pots." It is a legitimate, PRA and FCA-regulated bank with full FSCS deposit protection, offering a modern alternative to high street banks for savings and borrowing.

Frequently Asked Questions

1. Is Zopa a real bank?

Yes, Zopa obtained its full UK banking license in 2020. This means it is regulated by the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA), operating with the same standards as traditional banks like Barclays or HSBC.

2. Is my money safe?

Yes, because Zopa is a licensed bank, eligible deposits are protected by the Financial Services Compensation Scheme (FSCS) up to £85,000 per person. This gives savers the highest level of security available in the UK.

3. Can I still invest in P2P loans?

No, Zopa closed its retail peer-to-peer investment platform in 2021 to focus on its banking operations. New customers can open savings accounts or apply for loans, but the P2P investment product is no longer available to new investors.

4. What is the Smart Saver?

The Smart Saver is an easy-access savings account that offers competitive interest rates. You can create different "pots" for various goals and "boost" your rate by locking money away for notice periods (e.g., 7, 31, or 95 days).

5. specific fees for the credit card?

The Zopa Credit Card has no annual fee. It is designed to help users build credit and manage spending with features like real-time balance updates and instant freezing, all managed through the mobile app.