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Post by Ace on Jan 26, 2020 12:22:23 GMT
If you want to split your ISA cash over multiple IFISAs (or any other type of ISA) then there is a fairly simple and legitimate way to do this when approaching the tax year boundary.
1. Load your remaining ISA allowance for this year into a cash ISA that does not charge for transfers out (I've used Nationwide in previous years). 2. Wait for the tax year boundary to pass. 3. The funds in your cash ISA will now be classed as "previous years" cash. Fill out ISA transfer in forms for as many accounts as you like (including new accounts) to make partial transfers from your cash ISA to the new accounts. You must do this by filling out the forms provided by the target accounts.
So, as an example, you could put £20k in a cash ISA now. Then, come April, you could transfer this cash to ten new accounts in £2k chunks.
As for which platforms are most trustworthy, you're unlikely to find two people on the forum that will agree. For what it's worth, my current preferred list, in no particular order is:
ABLrate, CrowdProperty, Loanpad, Assetz Capital, Unbolted, Proplend, Landlord Invest.
I've only been in this game for a couple of years, but several platforms have moved in and out of my preferred list in that time. The ones above have remained consistently in it (apart from Loanpad as they haven't been around for that long).
As you mentioned CR, I do like them too, but their loan flow has been a bit to too low to make it on to my preferred list. One particular advantage with them is that they have been happy for me to pledge to a loan without me having any ISA funds available on the platform. They let me fill out an ISA transfer form at the point of pledging which can then take 4 or 5 weeks to arrive. This avoids the problem of cash drag, where you have uninvested funds on a platform waiting for loans to invest in.
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archie
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Post by archie on Jan 26, 2020 12:34:36 GMT
I'll just add that if any ISA limits are breached it works on a last in first out principle for unwinding.
Any interest/capital gain earned on the over funded/in breach amount would now be taxable.
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jj
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Post by jj on Jan 26, 2020 15:18:47 GMT
Hi guys, I am looking to invest in peer2peer, after a bit of research I came across CP (crowdproperty), the interest looks good 8%, you don't get that at any bank in the UK, you barely get 2.5 with HSBC HTB ISA. I got a few questions: 1. Have you had problems with projects that went default? Did you manage to get your investment back? 2. I have just opened a IFISA account with CP, should I transfer 20k to this IFSA and let auto-invest on? or spread the IFISA 20k accross more p2p? which ones give you confidence? 3. How much are you guys diversifying? 4. How do you calculate the tax? I will probably have more questions, but meanwhile if you can help me with these with be awesome! Regards, D Hello there,
I am only going to answer the way I see it, which it seems going to be different from everyone else:-
1. Yes! It's not obvious if there are defaults or not because CP doesn't show that on their investment page. Only if you are in the loan you would know. (ref E** T*** I**)-ongoing.
2 & 3. I drip feed over a year generally 20 loans x £1000. Works for me may not for everyone else. I don't auto invest. Remember these loans are made to the same class of borrowers as FS & Lendy had. Some of the borrowers have a shocking bad history of bankruptcy.
4. You get figures from CP to work it out if you must.
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corto
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Post by corto on Jan 26, 2020 15:40:41 GMT
If you want to split your ISA cash over multiple IFISAs (or any other type of ISA) then there is a fairly simple and legitimate way to do this when approaching the tax year boundary. <snip> It does not necessarily have to be a cash ISA. FC did a number of free partial transfer for me, too, for the same purpose.
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Post by Ace on Jan 26, 2020 17:24:19 GMT
Hi guys, I am looking to invest in peer2peer, after a bit of research I came across CP (crowdproperty), the interest looks good 8%, you don't get that at any bank in the UK, you barely get 2.5 with HSBC HTB ISA. I got a few questions: 1. Have you had problems with projects that went default? Did you manage to get your investment back? 2. I have just opened a IFISA account with CP, should I transfer 20k to this IFSA and let auto-invest on? or spread the IFISA 20k accross more p2p? which ones give you confidence? 3. How much are you guys diversifying? 4. How do you calculate the tax? I will probably have more questions, but meanwhile if you can help me with these with be awesome! Regards, D Hello there, I am only going to answer the way I see it, which it seems going to be different from everyone else:- 1. Yes! It's not obvious if there are defaults or not because CP doesn't show that on their investment page. Only if you are in the loan you would know. (ref E** T*** I**)-ongoing.
2 & 3. I drip feed over a year generally 20 loans x £1000. Works for me may not for everyone else. I don't auto invest. Remember these loans are made to the same class of borrowers as FS & Lendy had. Some of the borrowers have a shocking bad history of bankruptcy. 4. You get figures from CP to work it out if you must.
Hi jj , I'm not I this loan. Has it actually defaulted? CP's stats page says that there are no loans that are over 180 days late that originated in 2019 and zero defaults. One problem with their stats page is that it doesn't say when the stats were last updated, so it could be an out-off-date issue with the stats.
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littleoldlady
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Post by littleoldlady on Jan 26, 2020 22:45:07 GMT
I am in ETI but I have not received any adverse information about it. What have you heard?
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jj
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Post by jj on Jan 27, 2020 6:40:09 GMT
I am in ETI but I have not received any adverse information about it. What have you heard? You should have. The loan will not progress to phase 2 because the borrower has not bothered to do the work required.
You should have got some money back at the same time you received the email via your inbox. Dated 20/01/20.
There will be some debate about what is a default, again. CP perhaps claiming it is not a default. Hence:-
noun failure to act; inaction or neglect: They lost their best client by sheer default. failure to meet financial obligations.
verb (used without object) to fail in fulfilling or satisfying an engagement, claim, or obligation. to fail to meet financial obligations or to account properly for money in one's care: When he defaulted in his payments, the bank foreclosed on the car. verb (used with object) to fail to perform or pay: to default a debt. to declare to be in default, especially legally: The judge defaulted the defendant.
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Post by Ace on Jan 27, 2020 8:38:00 GMT
According to their stats page CP use the following definition of default:
"Total Projects > 180 Days Late As per P2PFA policy, Brismo methodology and FCA proposals, technical default of a project is 180 days which must be disclosed. CrowdProperty has recovered all > 180 days late projects fully in terms of both capital and interest."
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littleoldlady
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Post by littleoldlady on Jan 27, 2020 12:23:56 GMT
I am in ETI but I have not received any adverse information about it. What have you heard? You should have. The loan will not progress to phase 2 because the borrower has not bothered to do the work required.
You should have got some money back at the same time you received the email via your inbox. Dated 20/01/20.
There will be some debate about what is a default, again. CP perhaps claiming it is not a default. Hence:-
noun failure to act; inaction or neglect: They lost their best client by sheer default. failure to meet financial obligations.
verb (used without object) to fail in fulfilling or satisfying an engagement, claim, or obligation. to fail to meet financial obligations or to account properly for money in one's care: When he defaulted in his payments, the bank foreclosed on the car. verb (used with object) to fail to perform or pay: to default a debt. to declare to be in default, especially legally: The judge defaulted the defendant.
Thanks, found it. However IMO it is unduly pessimistic to describe this as any sort of default when it is not even due until June. Having said that I cannot understand the figures. They raised £250000 and released £134791 and then £11850 but had only £94150 left to return to lenders.
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Post by Ace on Jan 27, 2020 12:42:51 GMT
You should have. The loan will not progress to phase 2 because the borrower has not bothered to do the work required.
You should have got some money back at the same time you received the email via your inbox. Dated 20/01/20.
There will be some debate about what is a default, again. CP perhaps claiming it is not a default. Hence:-
noun failure to act; inaction or neglect: They lost their best client by sheer default. failure to meet financial obligations.
verb (used without object) to fail in fulfilling or satisfying an engagement, claim, or obligation. to fail to meet financial obligations or to account properly for money in one's care: When he defaulted in his payments, the bank foreclosed on the car. verb (used with object) to fail to perform or pay: to default a debt. to declare to be in default, especially legally: The judge defaulted the defendant.
Thanks, found it. However IMO it is unduly pessimistic to describe this as any sort of default when it is not even due until June. Having said that I cannot understand the figures. They raised £250000 and released £134791 and then £11850 but had only £94150 left to return to lenders. I presumed that the difference was the paid and/or retained interest.
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Post by gravitykillz on Jan 29, 2020 10:23:17 GMT
Only thing that annoys me though is the level of investment in each project. £500 unless you use autoinvest! Surely £250 or £100 would be better and allow more diversification. That's a good point Gravity, as they're happy to accept £50 investments in AutoInvest then why do SelfSelect loans have to be £500? CrowdProperty Representative ? Hi Thanks for getting in touch. £500 is what we have determined to be a suitable minimum investment size for self-select investments and the majority of our lenders are happy with this. For those wanted to achiever further diversification we introduced the AutoInvest feature - allowing lenders to invest from £50 per project. Kind regards,
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Post by gravitykillz on Jan 29, 2020 10:24:46 GMT
I asked the question to crowdproperty via email and this is the reply I got. Question is are the vast majority of investors ok with this level of investment?
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littleoldlady
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Post by littleoldlady on Jan 30, 2020 9:49:02 GMT
Thanks, found it. However IMO it is unduly pessimistic to describe this as any sort of default when it is not even due until June. Having said that I cannot understand the figures. They raised £250000 and released £134791 and then £11850 but had only £94150 left to return to lenders. I presumed that the difference was the paid and/or retained interest. CP say it was fees.
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