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If you already have a bit of capital, a high yield savings account. Just park your money there instead of a regular savings account.
What percentage of returns can someone expect from these? What amount of parked money would it take to see 1k per year?
It can range from between 4% and 5%+. Per nerdwallet, the highest they have listed is 5.07%. I'm not good at math and how bank rates work, but you can probably try computing based on those percentages.
Is it Zopa that provides what I can only describe as collective loans and high interest rate deposits? Not in a bank way.
I think there are other names too.
Because the risk would appear higher the rates are higher too.