Bad apples or bad barrels? The promise of P2P lending
Laura Miller looks at whether recent examples of poor compliance and governance could undo public confidence in the peer-to-peer model.
Fresh twists in the checkered story of peer-to-peer lending emerged in June, with revelations the founders of failed P2P loan platform Lendy have had their assets frozen.
Lendy collapsed last year, leaving 9,000 P2P loan investors owed nearly £152m. It’s administrators claim the founders channelled £6.8m offshore for their own benefit.