Zopa has landed £20 million from existing investors after picking up £250 million in deposits following the launch of its app-only bank last year.
The P2P lending pioneer gained a restricted UK banking license in December 2018 after picking up £60 million in funding for the build-out and received its full banking licence in June following a £140 million fundraise, enabling it to meet regulatory capital requirements for its foray into banking.
Initially launching with a one-to-five year fixed term savings account, the banking operation has since moved into credit cards, unsecured loans and auto-finance, lending £5 billion to customers.
The firm says it has seen annualised revenue per customer almost doubling in the period since launch.
“Less than a year since launching our bank, we have exceeded our plan for growth, both in terms of customers and balance sheet,” says CEO Jaidev Janardana. “This capital injection will enable us to continue on this accelerated path. Our strong entry to the UK savings and credit card markets shows the organic appeal of our products and we are happy to have investors who share our excitement at the opportunity to serve more customers across more product categories.”
The round was led by IAG Silverstripe, with participation from Augmentum, Waterfall managed Alternative Credit Investments and Venture Founders.