niceguy37
Member of DD Central
Posts: 504 
Likes: 254
|
Sipp
Apr 13, 2015 15:07:32 GMT
Post by niceguy37 on Apr 13, 2015 15:07:32 GMT
Does AC have any plans to introduce a Sipp? I note that both RateSetter and ThinCats say that Sipps are now possible.
|
|
bigfoot12
Member of DD Central
Posts: 1,817
Likes: 816
|
Sipp
Apr 13, 2015 15:12:18 GMT
Post by bigfoot12 on Apr 13, 2015 15:12:18 GMT
I think that will take investments from your sipp if your provider allows it. For example, Sipp Club - although on another thread some said the fees were high. I don't have any p2p sipp investments.
Edit removed link as having read more about Sipp Club I am less happy about it. I don't fully understand what it is.
|
|
ramblin rose
Member of DD Central
“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
Posts: 1,370
Likes: 857
|
Sipp
Apr 13, 2015 15:24:23 GMT
Post by ramblin rose on Apr 13, 2015 15:24:23 GMT
I think that will take investments from your sipp if your provider allows it. For example, Sipp Club - although on another thread some said the fees were high. I don't have any p2p sipp investments. Maybe I need to look at this again - my understanding was that AC were partnered with Sipp Club and that you would have to go with them. As my SIPP is with someone else I rejected the idea when I looked before. Perhaps I got the wrong end of the stick. This was a post by Andrew, the first para of which was on this subject, in February: p2pindependentforum.com/post/36666/thread (and you were one of the people who 'liked' it niceguy37  )
|
|
bigfoot12
Member of DD Central
Posts: 1,817
Likes: 816
|
Sipp
Apr 13, 2015 15:31:22 GMT
Post by bigfoot12 on Apr 13, 2015 15:31:22 GMT
I think that will take investments from your sipp if your provider allows it. For example, Sipp club- although on another thread some said the fees were high. I don't have any p2p sipp investments. Not sure that Sipp Club is the sipp platform I thought it was. It seems to be an introducer for someone else.
|
|
bigfoot12
Member of DD Central
Posts: 1,817
Likes: 816
|
Sipp
Apr 13, 2015 15:38:45 GMT
Post by bigfoot12 on Apr 13, 2015 15:38:45 GMT
Maybe I need to look at this again - my understanding was that AC were partnered with Sipp Club and that you would have to go with them. You might be right. I got the impression from someone I spoke to somewhere that they had arranged for their sipp provider to use AC. But maybe I got the wrong end of the stick. Probably best to phone AC and talk to someone who does know.
|
|
ramblin rose
Member of DD Central
“Some people grumble that roses have thorns; I am grateful that thorns have roses.” — Alphonse Karr
Posts: 1,370
Likes: 857
|
Sipp
Apr 13, 2015 15:44:04 GMT
Post by ramblin rose on Apr 13, 2015 15:44:04 GMT
Maybe I need to look at this again - my understanding was that AC were partnered with Sipp Club and that you would have to go with them. You might be right. I got the impression from someone I spoke to somewhere that they had arranged for their sipp provider to use AC. But maybe I got the wrong end of the stick. Probably best to phone AC and talk to someone who does know. Well, I'd certainly be keen to know if other SIPP providers were doing it - I have sizeable amounts of cash in my SIPP currently and I'd love to push some of it ACs way.
|
|
tonyr
Member of DD Central
Posts: 477
Likes: 258
|
Post by tonyr on Apr 14, 2015 10:42:13 GMT
You might be right. I got the impression from someone I spoke to somewhere that they had arranged for their sipp provider to use AC. But maybe I got the wrong end of the stick. Probably best to phone AC and talk to someone who does know. Well, I'd certainly be keen to know if other SIPP providers were doing it - I have sizeable amounts of cash in my SIPP currently and I'd love to push some of it ACs way. I switched my SIPP to SIPPclub/evolutionSIPP in January this year which is actually run by Greyfriars Asset Management. There is a mountain of paperwork to do but both Brian Bennis of SIPPclub/evolutionSIPP and Greyfriars Asset Management were very helpful and efficient, as was Martin Heelam when the money arrived at the AC end. It was relatively fast considering I initiated the process on Christmas Eve, perhaps the worst day of the year. Now that it's set up it's all hunky dory, it looks just like any other AC account except I can't take the money out just yet. The fees are high for a SIPP, but there is quite a lot of specialised work to be done to get this right and I've made 10 times the fees in the first three months so long term the fees will be worth while. I'd recommend it to anyone who already has a decent SIPP built up.
|
|
mikes1531
Member of DD Central
Posts: 6,453
Likes: 2,320
|
Sipp
Apr 14, 2015 12:01:17 GMT
Post by mikes1531 on Apr 14, 2015 12:01:17 GMT
I'd recommend it to anyone who already has a decent SIPP built up. : How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum?
|
|
mike
Member of DD Central
Posts: 187
Likes: 121
|
Sipp
Apr 14, 2015 13:58:29 GMT
Post by mike on Apr 14, 2015 13:58:29 GMT
I also have dealt with Sipp Club and Greyfriars in setting up a SIPP and would agree with tonyr that they were very proactive and helpful. The investment choices available are also open to non SIPP cash.
|
|
|
|
Sipp
Apr 14, 2015 15:41:19 GMT
Post by phoenix on Apr 14, 2015 15:41:19 GMT
I'd recommend it to anyone who already has a decent SIPP built up. : How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum? SIPPclub say "typically you'll have at least £100k" in your pension and there are other qualifications such as £100k annual income etc. See their join-up page.
|
|
bigfoot12
Member of DD Central
Posts: 1,817
Likes: 816
|
Sipp
Apr 14, 2015 18:56:35 GMT
Post by bigfoot12 on Apr 14, 2015 18:56:35 GMT
I'd recommend it to anyone who already has a decent SIPP built up. : How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum? , it is going to depend on so much about your personal circumstances that it is hard to say. Are you a high rate taxpayer, what do you hold in your sipp now, what will you do with the money that used to be in P2P. If you have a £50k SIPP invested in gilts at 1% which you move to P2P at 9%, and if your existing £50k (non SIPP) P2P investments, you sell and buy gilts at 1% paying income tax of 45% you are better off by £1,800. Assuming that you had to pay something for your previous SIPP you should be better of paying £1,500 in fees, but possibly not by enough to bother, especially if P2P ISAs really do start next year. It is possible to construct much more extreme (if unlikely) examples, perhaps you earn between £100k and £120k so you suffer 60% marginal tax. Similarly I can think of examples were it wouldn't make sense even with a £200k SIPP. Id have thought that unless you expect to increase your SIPP in the near future, or you believe that ISAs aren't coming soon it isn't worth paying £1500 a year just to have P2P in a SIPP. Of course you might say that you don't want to own equities, bonds, or any of the basic SIPP investments in your SIPP and then it might make sense at a much lower size.
|
|
tonyr
Member of DD Central
Posts: 477
Likes: 258
|
Sipp
Apr 14, 2015 19:48:54 GMT
Post by tonyr on Apr 14, 2015 19:48:54 GMT
I'd recommend it to anyone who already has a decent SIPP built up. : How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum? Yes, I'd say it has to be a six figure sum. The charges are £1250 + VAT a year, so unless you've got six figures in there then you are paying more than 1% charges, which is at the rate I worry that someone is mining you.
|
|
tonyr
Member of DD Central
Posts: 477
Likes: 258
|
Sipp
Apr 14, 2015 19:53:34 GMT
Post by tonyr on Apr 14, 2015 19:53:34 GMT
tonyr: How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum? SIPPclub say "typically you'll have at least £100k" in your pension and there are other qualifications such as £100k annual income etc. See their join-up page. Note that this is only one of seven criteria on that page and when you get further along things get more complicated. But it's like the old "self certified" mortgages, they want your business, it's up to you to work out if it's sensible for you to give them you life savings.
|
|
sqh
Member of DD Central
Before P2P, savers put a guinea in a piggy bank, now they smash the banks to become guinea pigs.
Posts: 1,428
Likes: 1,212
|
Sipp
Apr 14, 2015 20:07:54 GMT
Post by sqh on Apr 14, 2015 20:07:54 GMT
You must also keep 2 years fees in cash at all times (£3000). That £3k gets no interest.
I'm hoping that Assetz Capital arrange for a single platform SIPP, which is now available on TC, fees are £350 p.a.
|
|
tonyr
Member of DD Central
Posts: 477
Likes: 258
|
Sipp
Apr 14, 2015 20:31:38 GMT
Post by tonyr on Apr 14, 2015 20:31:38 GMT
tonyr: How big a SIPP would you say is necessary for it to be a reasonable switch to make? Does it have to be a six-figure sum? , it is going to depend on so much about your personal circumstances that it is hard to say. Are you a high rate taxpayer, what do you hold in your sipp now, what will you do with the money that used to be in P2P. If you have a £50k SIPP invested in gilts at 1% which you move to P2P at 9%, and if your existing £50k (non SIPP) P2P investments, you sell and buy gilts at 1% paying income tax of 45% you are better off by £1,800. Assuming that you had to pay something for your previous SIPP you should be better of paying £1,500 in fees, but possibly not by enough to bother, especially if P2P ISAs really do start next year. It is possible to construct much more extreme (if unlikely) examples, perhaps you earn between £100k and £120k so you suffer 60% marginal tax. Similarly I can think of examples were it wouldn't make sense even with a £200k SIPP. Id have thought that unless you expect to increase your SIPP in the near future, or you believe that ISAs aren't coming soon it isn't worth paying £1500 a year just to have P2P in a SIPP. Of course you might say that you don't want to own equities, bonds, or any of the basic SIPP investments in your SIPP and then it might make sense at a much lower size. So first off, you can put a lot more into a SIPP than an ISA, so if you've maxed out your ISA then the SIPP is next. But more fundamentally, in spreadsheet land, lets assume you get 10% return from P2P and pay 40% tax. For simpicity, we assume the rate of tax going in and out are the same and forget abvout the 25% tax free. So if you put in and then take out in a year there's no gain, you get the uplift on going in and lose it on going out. However, within a SIPP you gain 10% year on year, you've eventually be taxed but the relative gain year on year (irrespective of tax) is 10%. Outside a SIPP you gain 10% but are then taxed at 40%, so your gain is 6% year on year. There are big simplifications here, it assumes you pay your tax at the year end, etc, etc, but it seems to me that paying the tax as a lump sum on withdrawal is much better than paying every year - my spreadsheet says 1.6% gain at 40% tax.
|
|
)
