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Post by indexfund on Mar 21, 2021 10:24:08 GMT
A slightly different thread from previous threads on LW ISA's.
What are most people doing right now with their LW ISA's? Obviously an ISA can only be moved in it's entirety when all the funds are repaid/in cash so this is a very long process.
Like others I have been removing some funds as they become available, losing the tax free wrapper status in the process. However, I am reluctant to lose all of the long built up tax free status (£60k) What do we do now? turn reinvestment back on now things have stabilised alittle at LW, wait for them to be bought out, or just accept the loss of tax? To maintain the tax advantage on the whole sum I'm guessing I'd have to wait for all funds to be repaid to move everything in one go, or are some moving chunks to other ISA providers?
Bearing in mind that LW is now my only P2P platform of significant exposure left, I'm tempted to just keep withdrawing, but it's tedious and could take years.
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IFISAcava
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Post by IFISAcava on Mar 21, 2021 10:30:51 GMT
A slightly different thread from previous threads on LW ISA's. What are most people doing right now with their LW ISA's? Obviously an ISA can only be moved in it's entirety when all the funds are repaid/in cash so this is a very long process. Like others I have been removing some funds as they become available, losing the tax free wrapper status in the process. However, I am reluctant to lose all of the long built up tax free status (£60k) What do we do now? turn reinvestment back on now things have stabilised alittle at LW, wait for them to be bought out, or just accept the loss of tax? To maintain the tax advantage on the whole sum I'm guessing I'd have to wait for all funds to be repaid to move everything in one go, or are some moving chunks to other ISA providers? Bearing in mind that LW is now my only P2P platform of significant exposure left, I'm tempted to just keep withdrawing, but it's tedious and could take years. Just do partial ISA transfers when you get some free cash. Sure you'll have to do several transfers but no way would I lose £60 K of tax free wrapping. I have done several from LW over the years, mostly to S&S ISAs now, will probably do another one soon even though it is only for a small three figure amount. Still about £1k left to get out.
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Post by indexfund on Mar 21, 2021 11:10:55 GMT
Just do partial ISA transfers when you get some free cash.
I have considered that, but wondered if it was overly complex. If it's worked OK for you then I think I'll give it a go. I guess I could wait for tranches of say £5k at a time and transfer into my Share SIPP over the long term... all a drag but it has to be done!
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IFISAcava
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Post by IFISAcava on Mar 21, 2021 11:14:15 GMT
Just do partial ISA transfers when you get some free cash.I have considered that, but wondered if it was overly complex. If it's worked OK for you then I think I'll give it a go. I guess I could wait for tranches of say £5k at a time and transfer into my Share SIPP over the long term... all a drag but it has to be done! It's form filling but otherwise straightforward (if sometimes a bit slow). But ISA tax benefits are absolutely critical IMHO. The other issue with LW is that it is one of the few IFISAs that isn't flexible so you can't withdraw money to keep it safe and then replace it prior to transfer. Another reason to do smaller, more frequent partial ISA transfers to mitigate against platform risk.
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Post by Ace on Mar 21, 2021 11:14:17 GMT
Just do partial ISA transfers when you get some free cash.I have considered that, but wondered if it was overly complex. If it's worked OK for you then I think I'll give it a go. I guess I could wait for tranches of say £5k at a time and transfer into my Share SIPP over the long term... all a drag but it has to be done! Yes, but you need to transfer to an ISA, not a SIPP, to maintain your ISA status.
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IFISAcava
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Post by IFISAcava on Mar 21, 2021 11:16:34 GMT
Just do partial ISA transfers when you get some free cash.I have considered that, but wondered if it was overly complex. If it's worked OK for you then I think I'll give it a go. I guess I could wait for tranches of say £5k at a time and transfer into my Share SIPP over the long term... all a drag but it has to be done! Yes, but you need to transfer to an ISA, not a SIPP, to maintain your ISA status. Good point, missed that. You can transfer to a cash or S&S ISA, most will accept from an IFISA if you fill out the transfer as for a S&S ISA and indicate you are transferring free cash only.
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Post by indexfund on Mar 21, 2021 14:06:52 GMT
Just do partial ISA transfers when you get some free cash.I have considered that, but wondered if it was overly complex. If it's worked OK for you then I think I'll give it a go. I guess I could wait for tranches of say £5k at a time and transfer into my Share SIPP over the long term... all a drag but it has to be done! Yes, but you need to transfer to an ISA, not a SIPP, to maintain your ISA status. Ah yes, thanks, I meant ISA...
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mogish
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Post by mogish on Aug 23, 2021 13:42:51 GMT
the slow withdrawal continues.....at this rate I might have my cash back by the time I retire!
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Post by overthehill on Aug 23, 2021 14:28:12 GMT
the slow withdrawal continues.....at this rate I might have my cash back by the time I retire!
Applies to both standard and ISA account of course. I was of the mind that they would want to get rid of noisy disgruntled investors by buying out the remaining loanbook but the takeover group are obviously not willing to address anything that pre-dates them. They are going to hang tough, hope things quieten down and earn as much as they can out of the investors who want out.
I'm not for moving as the last time I checked , the penalty interest they wanted was 'criminal', I hope the FCA are strutinizing their algorithms, there is no way a casual investor would be able to validate their pre post massaged adjusted return rates or whatever they call them.
Admittedly I've been in withdrawal mode but I'm still waiting for my interest to turn positive, 18 months on or is it longer..
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mogish
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Post by mogish on Aug 24, 2021 11:07:00 GMT
the slow withdrawal continues.....at this rate I might have my cash back by the time I retire!
Applies to both standard and ISA account of course. I was of the mind that they would want to get rid of noisy disgruntled investors by buying out the remaining loanbook but the takeover group are obviously not willing to address anything that pre-dates them. They are going to hang tough, hope things quieten down and earn as much as they can out of the investors who want out.
I'm not for moving as the last time I checked , the penalty interest they wanted was 'criminal', I hope the FCA are strutinizing their algorithms, there is no way a casual investor would be able to validate their pre post massaged adjusted return rates or whatever they call them.
Admittedly I've been in withdrawal mode but I'm still waiting for my interest to turn positive, 18 months on or is it longer..
Indeed. Intriva only want to see profits and the investor history is irrelevant. I am no longer willing to pay to get my own money back so patiently drawing down. LW for me has been a waste of time, definitely the worst p2p platform I've used. I transfer isa cash every £100 or so just to make them work for my money.
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jlend
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Post by jlend on Aug 26, 2021 8:16:40 GMT
With patience some of the current loans in default will get paid off in full by the Shield prior to their end date.
There are also loans that had forbearance as per the FCA regulations. LW call these re-aged loans. At the moment these loans cannot be sold even though they are technically not running late or in default on the LW platform. These loans have been extended. I asked LW about these loans. LW are working on a technical solution to be able to sell these loans but it will take some time. This will help the speed exiting LW for some people.
"However, we are working on a complex change to our system, which will allow loan chunks with active re-aged payments to be sold. We will update you once we have more information in this regard."
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mogish
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Post by mogish on Sept 3, 2021 12:00:47 GMT
Thankfully a borrower has repaid a loan , its not often £600 gets paid back quickly , that and the fact LW transferred the sum to another provider within 24hrs. £3k to go and no , I wont be back.
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