Author: Philip vanDyk

“Banks are used to operating in a very competitive environment and have proven themselves adaptable in responding to new entrants in the market and changing customer demands. In a sense there’s nothing new here.”

Asked if distressed sales could jump once interest rates headed north, Mr Hope said a customer’s ability to repay the loan was the key to any lending decision. He urged anyone facing financial challenges to talk to their bank early.

Bankers’ Association chief executive Kirk Hope said: “Banks are responsible lenders. Historically low interest rates do not change this.”

New Zealand Bankers Association chief executive Kirk Hope said would-be investors should consider the levels of trust and reputation associated with peer-to-peer lenders.