we have not gone into a serious period of economic difficultiesNot strictly true. I have been with ZOPA since 2005 and believe me 2008, the worst recession since the 30s, was a corker for defaults. If I remember the default rate at ZOPA was about 5%.I and many others still made money whereas my equity investments lost over 30% that year.I am suspicious of 10% - 12% rates. Even if they are backed by assets, assets can be slow to sell at precisely the time you need to sell them. Look at how property funds have had to freeze redemptions, locking investors in because they cant sell fast enough.I stick with the conservative ZOPA and Ratesetter for more peace of mind.FSCS will never cover p2p. It is for deposits.