FMA figures show new loans to individuals rose to $143 million in the year to June, up from $124 million in 2017. P2P loans to businesses more than doubled from $31 million in 2017 to $64 million last year, according to the data.
The figures underline the growing market for alternative sources of lending in New Zealand, in a year that has seen strong growth for non-bank lenders in the mortgage market. The FMA P2P figures do not break out mortgage lending from other types of loan.
The data shows New Zealanders are building up more P2P debt. The total number of P2P borrowers registered hit 279,700 in the year to June, up from 207,230 in 2017. The total number of loans secured was up yo 1133 from 612 the year before.
The total number of outstanding loans highlights the rapidly growing lending space. Total outstanding loans hit $388 million last year, up from $282 million the year before.
A report earlier this year from KPMG predicted P2P lending would continue to "disrupt" the marketplace.
The trend towards P2P lending was revealed at the TMM Better Business Conference last month. Luke Jackson, the CEO of Southern Cross Partners, told audience members more deals were "falling into our bucket" due to the banks turning away customers. He added: “If you talk to other providers they will tell you their books are growing, and growing with stronger deals.”