5,000 investors on our lending platform

This month we celebrated a significant milestone: 5,000 Australian lenders having joined our platform since our launch in 2014.

This milestone shows that peer-to-peer investing is continuing to gain traction in Australia, as an increasing number of everyday investors take advantage of the opportunity to invest in an asset class that has, until recently, been the exclusive domain of banks and other traditional lending institutions.

Strong demand from SMSF investors

The significant growth RateSetter has experienced in both the number of lenders and the amount invested on our platform has been underpinned by strong demand from SMSF investors, retirees and pre-retirees, who have been seeking attractive returns in an established asset class as they prepare for retirement.

A recent analysis of our lending markets showed that SMSFs are lending an average of $68,751, an increase of 20% on the average $57,300 invested by an SMSF around six months ago. Our analysis also showed that lenders over the age of 55 are also investing larger amounts of capital, with an average investment of $45,814, 35% higher than the average amount invested six months ago.

$80 million in loans, 1000s of borrowers

Together, our lenders have funded over $80 million in personal loans, helping thousands or creditworthy individuals borrow to finance a new car, renovate their home, get married or consolidate debt at rates often significantly lower than those offered by traditional lenders, as well as helping a number of Australian businesses invest in growth plans. By choosing to deploy their money through our peer-to-peer lending platform, RateSetter lenders are in turn supporting the Australian economy in a direct and efficient manner.

We recently ran a survey of some of our lenders and found that around 86% of our current investors expect to increase the amount they invest in peer-to-peer lending over the next 12 months, with the majority of existing investors set to invest between $5,000 and $25,000 more.

This information does not constitute financial advice and you should consider whether it is appropriate to your circumstances before you act in reliance on it. Any opinions, forecasts or recommendations reflect the judgement and assumptions of RateSetter as at the date of publication and may later change without notice.