Zopa is a place where creditworthy people who want to borrow money can get together with people who are happy to lend it to them. And because there's no middleman - the borrower just pays a 1% exchange fee to Zopa up front - both get a great deal.
They pool loans together so each lender's loans are distributed among 50 or so borrowers. Lenders can decide what type of debtors they want to lend to based on the debtors' credit.
Zopa is only open to UK residents. I wonder how such a system would work in the states with each state having different lending laws. It's an interesting idea, and easier than standing outside the check cashing store looking for customers.
The state is that great fiction by which everyone tries to live at the expense of everyone else. - Frederic Bastiat