Zopa has received its banking licence, making it the world’s first combined peer-to-peer (P2P) lender and digital bank, paving the way for the launch of a new selection of personal finance products.

Back in April, the UK FinTech announced a restructure to establish separate boards for the Zopa P2P business, proposed bank and group, with the appointment of two new board chairs and two new independent non-executive directors – Christine Farnish became chair of the P2P board and Peter Herbert chair of the proposed bank.

In August, it has raised £44 million, followed by a further £60 million round in November, in order to gather the financial backing to become a bank.

Chief executive Jaidev Janardana explained in a statement that Zopa is currently authorised with restrictions, which means it has to meet conditions set by the regulators, including testing any new products.

“When we can fully launch, we will offer FSCS-protected savings accounts and credit cards,” he stated. “These will run alongside our personal loans and P2P investment products, including our IFISA.”

All products will be brought together in the Zopa app, “which will put customers in control of their money and make managing it easier than ever”, Janardana added.

Since launching in 2005, Zopa has lent nearly £4 billion to consumers in the UK, finally reaching full year profitability in 2017.

Share Story: