Lending Works will remain a part of the 36H Group while Zopa will leave and RateSetter has already ended its membership, Peer2Peer Finance News has learned.
Mike Carter (pictured), head of platform lending at the 36H Group, said that Lending Works will remain a member of the trade body while it continues to run down its loanbook.
Meanwhile, he confirmed that RateSetter left after selling off its loanbook, and Zopa will leave after repaying investors all their funds.
Lending Works and Zopa announced their peer-to-peer lending exits last month. Lending Works said that lenders who already have money invested in loans will continue to receive repayments until their balance is fully repaid, while Zopa said it will repay investors all their funds by 31 January 2022.
In February 2021, Metro Bank purchased RateSetter’s remaining loanbook following its acquisition of the platform in September 2020.
“Ratesetter and Zopa both stopped P2P lending and sold off or are in the process of selling off their loanbook, they’re completely out so there’s no reason why they would carry on as members,” Carter said.
“Lending Works’ loanbook will run off over a number of years and the platform will remain a member and is still interested in what is happening in P2P, such as the rules it is still subject to when running off the loanbook.”
Carter said that the 36H Group is focused on helping platforms navigate new regulation, such as the Treasury’s proposals on self-certification and the Financial Conduct Authority’s proposals on strengthening the financial promotion rules for high-risk investments.
He said the trade body is also focused on supporting platforms with any other wider issues that may impact them.
“These two consultations are a key focus at the moment for P2P platforms which will be a continuing area for engagement in the coming months,” he said.
“However, P2P businesses are multifaceted, and they don’t just want to talk about P2P, but much wider industry issues.
“For example, we work with our P2P business lending members with different parts of government on initiatives for business lending and we have a range of other fintech areas of interest for P2P platforms.
“We can take the core of P2P and put it in a much wider context.”