Unbolted and easyMoney raise investor rates
Both Unbolted and easyMoney have increased their investor rates.
The rate hikes mean that Unbolted is now offering double digit returns to its investors for the first time. Meanwhile easyMoney has raised its rates across the board by 0.25 per cent, in the latest rate increase from the peer-to-peer property lender.
“In view of the general interest rate environment in the UK we have today increased our target rate to lenders to 10.2 per cent per annum,” said Chris Brown, head of lending and operations at P2P pawnbroker Unbolted.
“This is the first time we have gone into double digit territory since our launch in 2015.”
Brown added that Unbolted’s loan performance “remains excellent”, with a 100 per cent recovery rate on all defaulted loans. The platform has granted £47m in loans since its launch eight years ago.
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Unbolted’s new investor rates are 0.75 per cent higher than the previous target of nine per cent per annum.
Property lender easyMoney has already raised its target investor rates several times over the past year. The latest increase applies to all three of its investor accounts. The premium account – which is aimed at retail investors and comes with a minimum investment threshold of just £100 – now targets 5.03 per cent per annum. Meanwhile the premium plus and high net worth accounts are targeting 6.02 per cent and 7.01 per cent, respectively.
“Many companies have been less than prompt passing on the higher interest rates to the consumer, both within the sphere of conventional savings and the realm of ISA investment,” said Jason Ferrando, chief executive of easyMoney.
“At easyMoney we don’t think this is fair, particularly at a time when many of us are still feeling the pinch financially and so we’ve taken the decision to increase our target rates once again, following last week’s Bank of England announcement.”
easyMoney’s new target rates are effective immediately and all existing investments have been automatically moved to the new rates.
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