Interesting article about p2p banking. The two big players are currently zopa.com and prosper.com.
It removes the middle man and gives both lenders and borrowers better deals. The only drawback is the maximum amount of £25 000, but this is supposed to be extended in the near future.
I have some money I am gonna use for buying a holiday home, so I withdrew it from the stock market a few weeks ago. These services seem like an ideal place to stash it away for 3-9 months.
Other blog posts about P2P banking:
Zopa raises $5 million to match Prosper
Review of Prosper + Review of Zopa
Zopa welcomes powerlenders: For the first time at Zopa, it is possible to lend more than £25,000