peer to peer lending

how much money do you realistically need to make money with peer to peer lending

What do you mean?

I've got peer to peer with ratesetter set up for 3.3% monthly access as part of my savings.
http://link.ratesetter.com/uvImw1s

As with anything though it's all about diversification, less than 10% of our savings are in there (with 60% stocks and shares and 30% other cash).

The OP wasn't very clear so I'm not sure what is being asked but for every £1,000 we make about £32 per year

What do you mean?

I've got peer to peer with ratesetter set up for 3.3% monthly access as part of my savings.
http://link.ratesetter.com/uvImw1s

As with anything though it's all about diversification, less than 10% of our savings are in there (with 60% stocks and shares and 30% other cash).

The OP wasn't very clear so I'm not sure what is being asked but for every £1,000 we make about £32 per year

My savings account which is much more than £1000 barely even gets £32pa... Have a feeling it might be worth me looking into these alternatives...!

It depends what the savings are for, we (my wife and I) keep various accounts for different reasons.

Short term, emergency fund
Current account linked savings account, 1.05% interest but accessible quickly. We tend to hold cash here for 3-4 weeks before moving it into longer term savings.

Mid-term, Regular savings account
(no longer open to new customers) gets 3.05% on £250 per month (1 withdrawal per year)

Mid/long term, Ratesetter .
Monthly contributions @ 3.3% - once this hits a certain figure I'll change future contributions to 3 year fixed @ 4.5%

Long term, 10-15 years at least
Stocks and shares ISA Currently seeing annualised returns of about 8%
It would be 13% but I made a bad shout on Lloyds last year.

Longest term, 30 years plus
Pensions, my wife has a company pension and we pay in above the minimums. I have a private pension (which I'm not adding to at the moment) and a government pension (career average) which costs me so much per month.

The ISA is by far the biggest and we put most of our monthly disposable income in there.
That is well diversified between individual shares, bonds, index funds (both established and developing economies)
We have slightly ambitious goals though, we both plan to be retired 50 and living in the countryside somewhere.

Also - disclaimer.
We're a little older than many on here will be, we've already bought a house, had the big flashy wedding and have no debt (aside from mortgage). Obviously I wouldn't advise sticking all your money away for 15 years plus if you've still got an overdraft and a credit card balance while living in a rented houseshare.

Isas don't earn this rate of return i'm afraid!

Erm, yes they do? You understand there are different types of ISA don't you?


Google is your friend here, read up on stocks and shares ISA's and then come back.

Well it still doesn't say that. So again i'd like to know where you got your data from. Also there is a cap on the amount you can pay in to isas, which until recently was £5000 pa. So it is small change anyway. Okay granted they have upped this recently but seeing as you were talking about over 15 years, something doesn't add up in your posts im afraid to say.

Google is my friend. She is yours too!? (interobang)

Firstly, re-read my post. 15 years is my anticipated time frame for these investments. I'm currently on year 2.
As an example of my investments (because it is a stocks and shares ISA) some of my portfolio is in this fund...
http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results/v/vanguard-lifestrategy-60-equity-accumulation

year 1 return = .63%
year 2 return = 19.06%

Average annualised return = 9.84%

You know that the percentage return is not impacted by the amount invested, so the annual limits have no relevance.

Do you understand how investment ISA's work? I fear I'm completely wasting my time.

What do you mean something doesn't add up? I've not given you any numbers to add up, wtf are you even talking about?

What do you mean?


The OP wasn't very clear so I'm not sure what is being asked but for every £1,000 we make about £32 per year

That's pretty low payout... you'd be better off just buying shares in Apple or something and saving the dividends, it will be the same amount of payments (30 odd quid) but there's a likelihood that one day your shares will have an increased value and you can just sell them for a profit, plus the dividends would be a much better deal than this 3.2% annual interest

You've just cherry picked part of my post and ignored the bit where I said that most of our money is in stocks and shares and I only use P2P for diversfication?

Lol how embarrassing, to be fair it's just one line I missed. Anyway, you seem to know what your doing so crack on

Along with the other guy telling me that it's impossible to get 8% returns from the stock market I was beginning to think I was being trolled Sorry if I was a bit blunt

how much money do you realistically need to make money with peer to peer lending

What do you mean?

I've got peer to peer with ratesetter set up for 3.3% monthly access as part of my savings.
http://link.ratesetter.com/uvImw1s

As with anything though it's all about diversification, less than 10% of our savings are in there (with 60% stocks and shares and 30% other cash).

The OP wasn't very clear so I'm not sure what is being asked but for every £1,000 we make about £32 per year

how much money do you realistically need to make money with peer to peer lending