fed77
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Post by fed77 on Mar 12, 2022 16:35:45 GMT
Hi guys, P2P newbie here. My goal would be to spread about 10k across a few platforms (I think: Loanpad, Kuflink, CrowdProperty, Assetz Exchange, Unbolted and Ablrate). Ideally all in IFISAs. At the moment I've only opened an account with Kuflink and I haven’t got any other pre-existing ISA account. I googled how ISAs work (paying new money in, transferring etc.), I also checked this article, and I just want to check with you if I got it right. So, can I pay 10k into my IFISA with Kuflink and then after the 6th of April (new tax year) open new IFISAs at the same time with other P2P platforms and transfer, say, 8k from Kuflink to those? My take is that I’m not allowed to pay new money into more than 1 IFISA each tax year, but I can open as many IFISAs I want even in the same tax year and then transfer funds from ISAs opened in previous tax years to eg. 2 or more ISAs (even of the same type). Also, with regard to “logistics”, is it straightforward enough to transfer funds from Kuflink IFISA (or other P2P platform IFISAs) to the other IFISAs in the new tax year, or would it be easier to open and fund a Cash ISA with my bank (Lloyds) first, and transfer the funds from there? Many thanks |
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Post by Ace on Mar 12, 2022 17:03:24 GMT
Hi guys, P2P newbie here. My goal would be to spread about 10k across a few platforms (I think: Loanpad, Kuflink, CrowdProperty, Assetz Exchange, Unbolted and Ablrate). Ideally all in IFISAs. At the moment I've only opened an account with Kuflink and I haven’t got any other pre-existing ISA account. I googled how ISAs work (paying new money in, transferring etc.), I also checked this article, and I just want to check with you if I got it right. So, can I pay 10k into my IFISA with Kuflink and then after the 6th of April (new tax year) open new IFISAs at the same time with other P2P platforms and transfer, say, 8k from Kuflink to those? My take is that I’m not allowed to pay new money into more than 1 IFISA each tax year, but I can open as many IFISAs I want even in the same tax year and then transfer funds from ISAs opened in previous tax years to eg. 2 or more ISAs (even of the same type). Also, with regard to “logistics”, is it straightforward enough to transfer funds from Kuflink IFISA (or other P2P platform IFISAs) to the other IFISAs in the new tax year, or would it be easier to open and fund a Cash ISA with my bank (Lloyds) first, and transfer the funds from there? Many thanks Yes, you seem to have understood. You can open as may ISAs as you like anytime you like, but can only put new cash in to one of each type per tax year. So, you don't need to wait until the new tax year to open the 5 extra IFISAs that you want, you can do it now but you can't put any new cash in them yet. You can put new cash in one of them after 6th April (up to £20k). I haven't ever transferred out of Kuflink, so can't comment on how efficient they are. Personally, I use a Nationwide cash ISA to dump funds in now that I will transfer out to many IFISAs after 6th April, because I know that they are efficient and don't charge. I have transferred into all of those you've mentioned, except for AE, and they all went smoothly enough.
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scooter
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Post by scooter on Mar 12, 2022 17:13:31 GMT
To transfer your Kuflink ISA to another provider there is a fee of £35 payable to Kuflink, so not something you want to do often. You cannot mess up ISAS more than I have and the tax office was extremely understanding. Your understanding is correct though.
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fed77
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Post by fed77 on Mar 12, 2022 17:21:01 GMT
Ace and scooter thank you so much guys, it's all clear now, much appreciated 
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Greenwood2
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Post by Greenwood2 on Mar 12, 2022 20:36:25 GMT
Also you might not want to put all of your funds into one P2P site (even for a short while) just in case...
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fed77
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Post by fed77 on Mar 15, 2022 23:25:19 GMT
Also you might not want to put all of your funds into one P2P site (even for a short while) just in case... Yes, good point, thanks! What I'm gonna do is to fund an IFISA straight from my bank account now, and then I'll move the remaining funds to a cash ISA. In the new tax year I will then move this funds from the cash ISA to all the other IFISAs
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ptr120
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Post by ptr120 on Mar 16, 2022 13:24:48 GMT
I'd suggest you avoid Ablrate. They won't have any new loans for the immediate future (if ever) and the secondary market is clogged up. Like some other platforms, they also charge to transfer out of an IFISA. I've previously invested in the Assetz ISA, but there are slim pickings there in terms of available loans.
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Post by overthehill on Mar 16, 2022 15:47:01 GMT
proplend, capitalrise and landlordinvest is also missing from your list. Proplend's track record is practically impeccable, 1 small loss for a single Tranche B, Tranche A is safe as houses and not available with most other lenders, excuse the pun, also no xfer fees. I think CR and LLI also have no fees,haven't checked.
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Post by Ace on Mar 16, 2022 16:06:19 GMT
proplend, capitalrise and landlordinvest is also missing from your list. Proplend's track record is practically impeccable, 1 small loss for a single Tranche B, Tranche A is safe as houses and not available with most other lenders, excuse the pun, also no xfer fees. I think CR and LLI also have no fees,haven't checked. I agree, but all 3 have £1k per loan minimums. So, probably not suitable for someone with a £10k pot.
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ilmoro
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Post by ilmoro on Mar 16, 2022 16:11:21 GMT
proplend, capitalrise and landlordinvest is also missing from your list. Proplend's track record is practically impeccable, 1 small loss for a single Tranche B, Tranche A is safe as houses and not available with most other lenders, excuse the pun, also no xfer fees. I think CR and LLI also have no fees,haven't checked. Capitalrise has a £35 transfer out fee. It is also not strictly a P2P platform (not article 36h), you are investing in bonds issued by an SPV that then lends the money to the borrower. There are are also equity products but probably not IFISA eligible.
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fed77
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Post by fed77 on Mar 17, 2022 21:52:06 GMT
ptr120 thanks for the heads up, I'll skip Ablrate, at least for now
overthehill thanks, I'm sure proplend, capitalrise and landlordinvest are great, but as Ace wrote, I have about 10k to invest in P2P lending now. I'm still a newbie in this asset class, so I'm going slow and avoid the platforms for which I couldn't diversify enough.
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ptr120
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Post by ptr120 on Mar 18, 2022 14:13:50 GMT
One other thought on P2P IFISA accounts. My decision was only to use that accounts for fairly 'safe' platforms and loans (if such a thing exists in the P2P world, because you can't offset any losses against tax within an IFISA.
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Greenwood2
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Post by Greenwood2 on Mar 18, 2022 21:12:56 GMT
One other thought on P2P IFISA accounts. My decision was only to use that accounts for fairly 'safe' platforms and loans (if such a thing exists in the P2P world, because you can't offset any losses against tax within an IFISA. The percentage tax offset for losses on non ISA P2P is the same as the tax allowance on P2P ISAs, so take your pick. Hope to get the best of both with 'good/lucky' choices obviously. 
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