Peer-to-peer lending is a lending arrangement that enables investors to fund borrowers via an online platform, without the involvement of traditional financial institutions like banks. Essentially, peer-to-peer lending provides a platform for investors and borrowers to do business.
Peer to peer lending is regulated and scrutinised by the same strict standards as traditional lenders. This is done by the Financial Marketers Authority (FMA) who are also responsible for issuing licenses.
Zagga is fully licensed and holds a Financial Service Provider license (FSP 393946) to provider peer to peer lending under the Financial Marketers Conduct Act (2013). Additionally, Zagga fully complies with the requirements of the Responsible Lending Code and applicable Anti-Money Laundering regulations.
Since 2015, the Zagga peer-to-peer platform has been enabling people to borrow money at competitive rates and with more flexible criteria than banks can offer, investors get access to new investment opportunities, receive attractive returns, regular monthly payments, investment security and the peace of mind that comes from knowing exactly where their money is invested.
Everbright works with Zagga to help customers fund their projects and thanks to the success for our clients, the partnership has now been extended into helping Everbright’s customers into peer-to-peer investments.
Zagga provides a platform to seamlessly match the investment risk preferences of registered investors to the credit risk of approved borrowers. Match investors can access relevant loan information before committing to fund the loan.
Loans are secured by a first registered mortgage over the borrower’s property. The interest rate is determined using the Zagga Credit Assessment Score, by a combination of Zagga’s detailed credit assessment, the loan amount and value against the security property (LVR).
Zagga’s flexible lending criteria and ability to cater for larger loan sizes, means they can help more borrowers, while still offering strong, risk mitigated returns to investors.
$537,600, Bay of Plenty
$130,000, West Coast
$62,650, West Coast